MRS filling stations in Lagos on Tuesday implemented the new petrol pump price of N739 per litre.
Its Abuja stations were, however, still selling the product at N910 per litre as at Tuesday evening.
Following the reduction of petrol gantry price from N828 to N699 per litre on Friday, the President of the Dangote Group, Alhaji Aliko Dangote, had vowed to enforce a new pump price regime of N739 per litre.
Dangote said on Sunday that he was aware that, despite lower gantry prices, some filling stations often chose to retain high pump prices, thereby undermining his efforts. According to him, MRS would commence the sale of petrol at N739 per litre from Tuesday, while other partners would follow.
“We are going to use whatever resources we have to make sure that we crash the price down. For this December and January, we don’t want people to sell petrol for more than N740 nationwide. Those who want to keep the price high to sabotage the government, we will fight as much as we can to make sure that these prices are down. If you have money to come and buy, you can pick up petrol at N699,” he said.
While MRS stations brought down their price, other filling stations were still selling at the old price.
However, reacting to the development, President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said the announcement or pronouncement of petroleum product prices by any individual, corporate body, or agency, contravenes the provisions of the Petroleum Industry Act, 2021.
He said the Act clearly stipulates that petroleum product prices in the downstream sector should be determined by market forces and competitive commercial engagement.
“Section 205(1) of the PIA specifically states that wholesale and retail prices of petroleum products shall be based on unrestricted free market conditions, subject only to limited regulatory oversight and protection against monopolistic practices,” he stated.
According to Gillis-Harry “the current dirty price war is already causing collateral damage to all parties involved.”
He stated that most of the “aggressive price crashes appear designed to frustrate importers and are often executed below cost”.
Consequently, he said, “all parties in the price war may be operating at a loss in a bid to gain market dominance, a development PETROAN considers unsustainable and harmful to the long-term stability of the downstream sector.”
He further warned that prolonged conflict among key stakeholders could expose the sector to risks of market monopolisation, reduced competition, and heightened operational uncertainty for retail outlet owners, with increased pressure on consumers through unstable pricing regimes and wider adverse implications for the economy.
