PETROAN calls on FG to reinstate petrol import licences to boost competition and stabilise prices

• PETROAN urges the Nigerian government to reinstate petrol import licences to increase competition and lower fuel prices.
  

• The World Bank supports this recommendation, warning that restricted competition and supply constraints are driving up fuel prices.
  

• PETROAN advocates for a mix of fuel importation and privatisation of government-owned refineries to enhance competition and prevent monopolies.
  

• The association also calls for the commencement of production at the Port Harcourt refinery and the creation of a more deregulated and competitive market environment.

The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) is calling on the Federal Government to bring back petrol import licences, arguing that doing so could help stabilise fuel prices and create a more competitive downstream sector.

This comes not long after the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) announced that fuel imports had been suspended, citing improved local refining capacity.

But PETROAN isn’t convinced that shutting out imports is the best move right now.

In a statement signed by its National Public Relations Officer, Joseph Obele, the association said reopening imports would allow multiple supply sources and reduce the pressure on prices. They also referenced concerns raised by the World Bank, which warned that limiting competition could trigger even higher inflation.

According to PETROAN’s National President, Billy Gillis-Harry, this stance only reinforces what the association has been saying for a while.

“The recent outrageous price of petroleum products would not have occurred if government-owned refineries were fully functional or properly privatised,” he said.

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He stressed that competition is still the most reliable way to keep prices in check and ensure energy security. In his view, relying on a limited number of suppliers, especially in a market as sensitive as fuel, creates room for price spikes and inefficiencies.

PETROAN believes that bringing back import licences would help diversify supply, reduce the risk of monopolies, and ultimately protect consumers from unfair pricing.

Interestingly, the association drew a comparison with Nigeria’s telecoms sector, where the entry of companies like MTN and Airtel led to better services and more affordable pricing over time. The idea is simple: more players, better outcomes.

At the same time, PETROAN made it clear that this isn’t about undermining local investments like the Dangote refinery. Instead, they see competition as a way to support the market while domestic refining capacity continues to grow.

Beyond import licences, the group is also pushing for deeper structural changes, like the full privatisation or commercial restructuring of government-owned refineries in Port Harcourt, Warri, and Kaduna, as well as the immediate start of production at the Port Harcourt refinery.

“In light of the foregoing, PETROAN makes the following recommendations to the Federal Government, NMDPRA and the Nigerian National Petroleum Company Limited: immediate reinstatement of petrol import licences to encourage multiple supply sources, deepen competition, and stabilise pump prices; full privatisation or commercial restructuring of government-owned refineries to ensure efficiency, transparency, and optimal performance; and commencement of production activities at the Port Harcourt refinery,” PETROAN said.

For now, the message is clear: PETROAN wants a more open, competitive fuel market, and fast.

Whether the government will shift its stance is another conversation entirely.