NMDPRA Reveals Drop in Nigeria’s Daily Petrol Consumption

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has revealed that the country’s daily petrol consumption has dropped to 46.38 million litres due to the removal of subsidies by the Federal Government.
This represents a significant 35% reduction compared to the previous figure of 65 million litres per day.
Ahmed Farouk, the Chief Executive of NMDPRA, disclosed this information during a meeting with oil and gas downstream operators in Lagos.
He explained that the daily consumption of petrol has been steadily decreasing since the announcement of the subsidy removal on May 29.
In January, the daily consumption was 62 million litres, followed by 62 million in February, 71.4 million in March, 67.7 million in April, 66.6 million in May, 49.5 million in June, and 46.3 million litres in July.
The purpose of the meeting was to assess the downstream sector after the subsidy removal and commend the marketers who have taken up the offer to import petrol.
Over 56 companies applied for import licenses, but only 10 committed to the process. Currently, Emadeb Energy, A.Y Shafa, and Prudent Energy are among the companies that have imported petrol into the country. Others, including 11 Plc, are expressing interest in importing petrol in the coming months.
The NMDPRA emphasized that the era of subsidy payments is over, and they encourage all interested marketers to apply for import licenses.
The move is intended to foster a competitive market with various players rather than having Nigeria National Petroleum Corporation Limited (NNPCL) dominate.
“The era of subsidy payment is gone; we encourage all marketers who are interested in importing petrol to apply for license.
“The meeting is to encourage marketers to import, so that there will be availability of petrol at every nooks and crannies of the nation.
“The marketers have the choice to fix their price, because it is a free market where there will be competition.
The authority is collaborating with the Federal Competition and Consumer Protection Commission (FCCPC) to prevent marketers from taking undue advantage of consumers.
Ensuring consumer protection and the quality control of imported products, particularly to avoid substandard petrol, will be a priority.
“We will ensure safety, consumers protect and standard in ensuring quality control within marketers.
The meeting brought together managing directors of all downstream sector operators, as well as representatives from the Major Oil Marketers Association of Nigeria (MOMAN) and Depots Owners Association of Nigeria (DAPPMAN).

Source: Allnews Nigeria

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