Fuel Queues: FCCPC, NMDPRA To Go After Oil Marketers Hoarding Petroleum Products

The Federal Competition and Consumer Protection Commission, the Lagos State Consumer Protection Agency (LASCOPA); and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) will begin to go after oil marketers that are hoarding petroleum products following the announcement of the removal of subsidy on petrol.

President Bola Ahmed Tinubu had during his inauguration speech said that the era of fuel subsidy payment is “gone. ”

The announcement by the President triggered panic buying from some motorists while many filling station shut down their outlets to take advantage of a potential increase in the price of petrol.

Reacting to the development, the FCCPC in a statement by Babatunde Irukera, Executive Vice Chairman/Chief Executive Officer stated that it had observed a significant and potentially inexplicable emerging increase and lengthening of wait-times in procuring fuel at filling stations in certain locations across the country.

It added that this emerging hardship on motorists and other consumers invariably impedes commerce, traffic and presents other difficulties, unintended consequences and financial constraints for citizens.

In dealing with this development, the Commission stated that it held engagement with LASCOPA; NMDPRA; and MOMAN noting that the outcome of these engagements between the top-level Executives of the Commission and these other relevant entities, as well as key operatives, demonstrates that, there is no operational basis or sufficiently diminished/acute reduction in product availability at both supply and retail points in the value chain to justify the hardship and constraints otherwise emerging.

The statement reads, “The Commission adopts the Advisory issued by NMDPRA on May 29, 2023, advising consumers not to engage in panic purchases or otherwise stockpiling products in a manner inconsistent with regular periodic purchases and consumption.

“Petroleum products are generally flammable and require transportation, dispensation, consumption and storage in strictly controlled and regulated manners. Any contrary approach to these strictly regulated manners constitutes danger and risk of significant losses, even fatality.

“As such, and in accordance with the assurances of the NMDPRA and MOMAN that existing supplies are not insufficient for regularly established consumption levels, the Commission encourages consumers not to modify their regular purchase and consumption patterns.

“With respect to businesses/undertakings in the supply chain, the Commission hereby reiterates their obligations under the Federal Competition and Consumer Protection Act, 2018 (FCCPA).

“The Commission has today agreed with LASCOPA, (and its expanding participation) on a Joint Inter-Agency Task Force to enforce the provisions of the law, ensure compliance and prevent hardship on citizens.

“The Commission possesses the will and desire, and is committed to the strictest enforcement of the law. Product marketers have been informed that any infringement which distorts the market or enables others to exploit consumers and perpetuate inconvenience will be subject to the aggravated and highest spectrum of penalties where evidence supports violation.

“Organised marketing or trading associations/platforms such as MOMAN and the Independent Petroleum Marketers Association of Nigeria (IPMAN) are in particular invited to note this and their collective and individual possible exposure in the event of evidence-supported violations.”

Irukera said in the statement that the Commission and collaborators will continue to engage and update consumers.

He urged Consumers to provide credible information about any conduct or practices they experience which they perceive may be a possible violation of the law.

ENDS