Petrol Prices Jump As NMDPRA Says It Cannot Set Pump Rates
- The NMDPRA said the Petroleum Industry Act requires petrol prices to be set by market forces, not government regulators
- Petrol prices climbed to between N1,400 and N1,450 per litre in Lagos and Abuja amid rising global crude oil costs
- The regulator said it is partnering with the FCCPC and Nigeria Customs Service to crack down on price-gouging and product smuggling
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Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has said it lacks the legal authority to fix petrol pump prices, even as Premium Motor Spirit (PMS) costs climb sharply across the country.
The authority made this clear in a statement released on September 19, 2026, citing the statutory framework that governs Nigeria's downstream petroleum sector.
Source: Getty Images
According to the NMDPRA, Section 205(1) of the Petroleum Industry Act (PIA) requires that wholesale and retail petroleum product prices be determined under free-market conditions.
On that basis, the regulator said it does not set pump prices or issue pricing templates to fuel retailers.
the NMDPRA said:
"The Authority does not fix pump prices or issue administrative price templates."
The regulator added that government intervention in petroleum pricing is only permitted under Sections 205(2) to 205(4) of the PIA, and only where a market failure has been formally declared. No such declaration has been made.
NMDPRA moves against price-gouging
Despite its limited role on pricing, the NMDPRA said deregulation does not excuse operators from meeting regulatory and fair-trade obligations.
Leadership reports that the authority said it is ramping up collaboration with the Federal Competition and Consumer Protection Commission (FCCPC) under an existing Memorandum of Understanding to watch for price-gouging, collusion, under-dispensing, and compromised product quality.
It is also working alongside the Nigeria Customs Service and security agencies to tighten surveillance along border corridors and curb petroleum product smuggling.
The NMDPRA also said dedicated reporting channels are being set up so consumers and industry stakeholders can flag irregular pricing and other exploitative conduct for investigation.
Source: Getty Images
Petrol prices rise across Nigeria
The clarification comes as fuel costs continue to climb in major cities. Checks showed filling stations selling petrol at between N1,400 and N1,450 per litre.
In Lagos, prices at most stations ranged from N1,400 to N1,430 per litre, while MRS stations dispensed at N1,395 per litre. Abuja stations were selling at between N1,400 and N1,450 per litre.
Dangote Refinery announces new diesel and jet fuel prices
Earlier, Legit.ng reported that Dangote Refinery had reduced the price of Automotive Gas Oil (diesel) at its gantry by N100 to N1,600 per litre, raising expectations of lower transport, logistics and manufacturing costs.
Analysts said the price reduction could intensify competition in Nigeria's downstream petroleum market, particularly as depot prices have remained relatively high in recent weeks.
Diesel has recently sold for between N1,660 and N1,670 per litre at major Lagos depots, including African Terminal, Sahara, Ibeto and Duport.
Source: Legit.ng
