₦airaland Forum

The Federal Competition and Consumer Protection Commission (FCCPC) has expressed concern over findings from an ongoing surveillance of the downstream petroleum market suggesting undue exploitation of consumers.

In its statement, FCCPC stated that a review of the gantry prices of local refiners, marketers, depot operators and retail outlet operators revealed token reductions in prices that are not commensurate with the steep fall in crude prices in the global market.

Reacting, the Executive Vice Chairman and Chief Executive Officer of the FCCPC, Mr. Tunji Bello, stated:

"To be clear, the Commission does not regulate or approve petroleum prices in a deregulated downstream market. Our responsibility under the Federal Competition and Consumer Protection Act, 2018, is to promote competitive markets, prevent anti-competitive conduct, and protect consumers from unfair, deceptive and exploitative business practices.

“We are concerned that while dealers often respond swiftly by hiking pump prices whenever crude prices rise, it is curious that it is taking forever for consumers to benefit significantly when crude prices fall. Competitive markets must work fairly in both directions."

Following a ceasefire accord between U.S. and Iran two weeks ago and the reopening of the Straits of Hormuz, crude prices have fallen to $73, a sharp drop from the peak of $120 per barrel in April.

Across the global market, crude prices have since returned to the February levels.

The earlier spike in crude prices saw local refiners and marketers raising pump prices swiftly across the country, with petrol price climbing to between N1,350 to N1,500 and diesel selling N2,000 as hostilities intensified in the gulf between April and May.

In February, common PMS (petrol) averaged between N800 and N900.

Across the country today, PMS is still sold at average of N1,200 while some local refiners fixed between N1,025 and N1,075 as their gantry prices.

Though recognising that domestic prices are influenced by a range of commercial and market factors (including refining costs, foreign exchange movements, logistics, financing and distribution expenses), the Commission however expects competitive market dynamics to have eased the swift transmission of resulting cost efficiencies to consumers.

Mr. Bello further stated: "Market liberalisation does not diminish businesses' obligations to compete fairly or consumers' right to fair treatment. Where credible evidence indicates conduct that undermines competition, exploits consumers or otherwise contravenes the Federal Competition and Consumer Protection Act, the Commission will investigate and take appropriate enforcement action."

He encouraged consumers to continue reporting suspected anti-competitive conduct, misleading pricing practices and other forms of unfair market behaviour through the Commission's established complaint channels.


Ondaje Ijagwu
Director, Corporate Affairs

https://independent.ng/crude-price-fall-fccpc-frowns-at-exploitation-by-oil-marketers-threatens-sanction/

Dangote is just exploiting. So wrong. Our economy was virtually collapsed by Buhari to help fund his refinery with cheap fx and all kinds of waivers.

Auto pilot country. Wait for the world prices go up, immediately, they'll increase the price

When we tell them say an average Nigerian is corrupt whether in small scale or large scale they think na joke. No be only government deh rip off citizens, even citizens deh rip off themselves. You can't continue to blame the government every time when you're also culpable of the same irresponsible acts.

Dangote that should lead by example is also trying to rip Nigerians unjustly. Why nau?

This is the problem with monopoly. Dangote, abeg do the needful.

Dangote is not different from Tinubu, they are both green snakes under the grass. Petrol was ₦650 before Iran and Isreal started, immediately the war started crude oil jumped up to close to $100 per barrel. Now crude is selling for $72 per barrel & petrol is still selling at ₦1,200. Shame on Dangote & Tinubu

Who is fooling who?

You guys know what you are doing

Bunch of extortionist

When govt officials have personal interests in private businesses, they will abandon their regulatory functions and powers. These private business men fund the lifestyles of govt officials and political, this country needs total formatting 💔

They should simply cal out Dangote for exploting hapless Nigerians. Why is the govt of the day keeping quite and allowing this criminality.

Dangote is a branch of the Nigeria government... very wicked people everywhere 🙄

Dangote will claim old stock bought at above 100 dollars per barrel is what he is still refining and selling....petrol cost wan wound all man.....

Market forces no see this one. Dangote really disappointing Nigerians after all the support and advocacy he has received from the Nigerian populace. Quite frightening to see the extent man can go to exert unnecessary pain on his fellow man.

badoh:
When we tell them say an average Nigerian is corrupt whether in small scale or large scale they think na joke. No be only government deh rip off citizens, even citizens deh rep off themselves. You can't continue to blame the government every time when you're also culpable of the same irresponsible acts.

So who is now the referee to control the mess if not the government. Yes, we have evil citizens too always looking for ways to exploit their fellow Nigerians, however a responsible government would always live up to its oath taken.

So, what you opined is as a result of useless government.

End of discussion!.

What exactly can this government do right .. After announcing subsidy is gone what else

Following a ceasefire accord between U.S. and Iran two weeks ago and the reopening of the Straits of Hormuz, crude prices have fallen to $73, a sharp drop from the peak of $120 per barrel in April.


Fuel should be 820 per litre now if you know your maths using the bolded...factoring in the price it was before the US Iran war started. It should be cheaper sef coz...omo

Why are we all lamenting.

Can we go back to a few months ago when marketers were battling for control....when the regulators were battling for control...when the NLC was battling for control.

Nigerians took sides with chicken one party and fought all the other three in succession. Visionless Nigerians, sentimental Nigerians, ignorant Nigerians.

And yours sincerely. MADE IT ABUNDANTLY CLEAR that:
Nigerians have removed all the safety devices that make for a safe and secure market driven industry and that whosoever won the battle to control and dominate WILL ENSLAVE EVERYONE ELSE.

Those posts are not far.
You can all go back and check your collective folly.

Unfortunately, there's absolutely nothing the government can do in this regard.

The petroleum sector is deregulated and everyone is free to sell at the price they pleases.

Infact, the government can be sued for dictating prices to them.

Nigerians have the option to vote obi again this time around. If them like make another mistake they will suffer more than what they are facing now


Old men when near grave still de gather money with no legacy

The idea of deregulation of the petroleum sector was a foolish idea, Initna well thought out plan by tinubu and his team. government couldn’t maintain it refinary the right thing to do was to pay private refineries the refinimgs cost better than turn around maintenance. Its a win win for everybody. Instead of allowing businesses men to destroy the country economy with fuel prices

malali:
This is exactly why Nigerians are suffering. The same government that forcefully removed subsidy and told us “market forces will work” has suddenly gone deaf and blind while marketers and refiners exploit citizens mercilessly.

They were quick to remove subsidy, a so-called “national decision.” But now that crude has crashed and consumers deserve relief, the government is nowhere to be found. No pricing committee, no regulation, just pure silence while a few people smile to the bank.USA,UAE, Saudi Arabia, Iran, Iraq, even countries we love to insult, stepped in to protect their citizens with sensible pricing when crude fell. But here? The Nigerian government looks the other way, leaving us at the mercy of greedy merchants whose only religion is “more money in our pockets.”Inflation is already choking us.

Cost of living is unbearable. Now even fuel refuses to come down. One refinery cannot hold the entire nation to ransom. Activate the pricing committee immediately. Let genuine importers compete. Protect the people you claim to serve!Enough of this selective deafness. Nigerians are not fools.

The first paragraph of your comment shows the major problems of Nigerians.
During the 2023 electoral campaign, all three major presidential candidates promised to remove petrol subsidy when they get into power. Tinubu got into power and announced that "subsidy is gone", frame it "free money to rich", corruption and quoted market forces determining the price. President Tinubu was praised for removing subsidy corruption as they called but own myopic brains didn't us that subsidy was shield protecting Nigerians from the real price of petrol.
Now, it is not up to fours that petrol subsidy was removed and now that you are tired of market forces determining the price of petrol shifting blames.

Olokonla40:
Dangote is not different from Tinubu, they are both green snakes under the grass. Petrol was ₦650 before Iran and Isreal started, immediately the war started crude oil jumped up to close to $100 per barrel. Now crude is selling for $72 per barrel & petrol is still selling at ₦1,200. Shame on Dangote & Tinubu

Was it Dangote or Tinubu that announced "subsidy is gone" in May 2023?

Macphenson:
They should simply cal out Dangote for exploting hapless Nigerians. Why is the govt of the day keeping quite and allowing this criminality.

Exploiting you or the market forces of demand and supply they taught in school and you celebrated Tinubu for removing petrol subsidy?

I have spoken against that before that government must take action.

Apus:
Market forces no see this one. Dangote really disappointing Nigerians after all the support and advocacy he has received from the Nigerian populace. Quite frightening to see the extent man can go to exert unnecessary pain on his fellow man.

So the current price of petrol you are buying is determined by subsidy or market forces?

OmoAlphonso101:
Dangote is a branch of the Nigeria government... very wicked people everywhere 🙄

Wicked people are those who quiet when Tinubu removed in 2023 and expect to buy subsidize in 2026.

oz4real83:
When govt officials have personal interests in private businesses, they will abandon their regulatory functions and powers. These private business men fund the lifestyles of govt officials and political, this country needs total formatting 💔

After using tribe and religion to vote bad government, blames imaginary things!

Dangote, you can't be right all the time. As your supporter I expect you to play by your own standards. Bird came to tell us that they were fully exposed to the market when crude oil prices rose sharply up to $120 per barrel necessitating an immediate upward adjustment in fuel price simultaneously. Is it not in the same market that you are exposed to that the same price has crashed back to
$72 per barrel or even less? The ex-depot/pump price should reflect the same swiftness too.

Gboss247:
Exploiting you or the market forces of demand and supply they taught in school and you celebrated Tinubu for removing petrol subsidy?

First this is not market forces, the price of crude is down so the price of petrol should be down..

Secondly, I did not clap for Tinubu when he removed subsidy.

GreenCovering:
Dangote, you can't be right all the time. As your supporter I expect you to play by your own standards. Bird came to tell us that they were fully exposed to the market when crude oil prices rose sharply up to $120 per barrel necessitating an immediate upward adjustment in fuel price simultaneously. Is it not in the same market that you are exposed to that the same price has crashed back to
$72/barrel or even less? The pump price should reflect the same swiftness too.

The right thing like selling at loss to have moribund refineries like NNPCL?
Or the right thing by your federal government introducing temporary subsidy on petrol?

Macphenson:
First this is not market forces, the price of crude is down so the price of petrol should be down..

Secondly, I did not clap for Tinubu when he removed subsidy.

The petrol you are buying, was it refined from old crude bought over a $100 per barrel or new crude?

Obaofaba:
Unfortunately, there's absolutely nothing the government can do in this regard.

The petroleum sector is deregulated and everyone is free to sell at the price they pleases.

Infact, the government can be sued for dictating prices to them.

Why is dangote suing governments for granting importing license