By John Moses
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has called on the country’s petroleum regulatory authority to implement a transparent pricing structure for fuel, warning that Nigerians are being unfairly burdened by inflated pump prices despite falling crude oil rates.
Speaking during a press briefing in Abuja on Monday, PENGASSAN President, Mr Festus Osifo, criticised the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for its failure to enforce pricing oversight, accusing petroleum marketers of exploiting consumers.
“Crude oil has dropped to $60 per barrel, yet pump prices remain stubbornly high, hovering between N850 and N900 per litre,” Osifo stated. “The absence of a clear pricing template from the NMDPRA has allowed this unjustifiable situation to persist.”
He urged the regulator to publish recommended retail price bands and actively monitor compliance, arguing that Nigerians would continue to suffer if the current opacity remained unchecked. “If oil drops to $50 per barrel and pump prices don’t adjust accordingly, the public gains nothing,” he added.
Osifo also praised the federal government’s recent Executive Order aimed at reducing operational costs in the upstream oil sector, citing security expenses as a major barrier. “In Nigeria, upstream companies are forced to hire multiple armed security vessels per installation—expenses not seen in other oil-producing nations,” he said.
He further highlighted these burdens as one of the key factors pushing international oil companies (IOCs) to exit Nigeria’s energy sector.
Turning to the long-standing issue of dormant refineries, the union leader renewed PENGASSAN’s longstanding advocacy for adopting the Nigeria Liquefied Natural Gas (NLNG) ownership model—where the government retains 49% and private investors hold 51%.
“The politics of managing national assets has stifled refinery reform. For over 15 years, we’ve urged the adoption of the NLNG model because it works,” Osifo said.
He also disclosed that PENGASSAN had successfully resolved an employment-related dispute with Sterling Oil Company regarding expatriate recruitment policies.
