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NMDPRA cracks down on filling stations for petrol under-dispensing

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Filling station operators across the country are under pressure to check and recalibrate their dispensing equipment as the Nigerian Midstream and Downstream Petroleum Regulatory Authority intensifies its crackdown on outlets accused of under-dispensing petrol to motorists.

The regulator’s latest directive followed a series of enforcement operations carried out in the past, in which several filling stations were sealed for short-measuring customers, with the authority warning that persistent offenders risk losing their operating licences.

About 20 filling stations were reportedly sealed by the regulator between 2025 and 2026 for under-dispensing.

Following the NMDPRA warning, petroleum marketers said they had risen to ensure fuel retailers give customers the right value for their money. While some of them said pump attendants might be responsible for such sharp practices, others said faulty fuel pumps could be responsible for under-dispensing.

The NMDPRA, in an industry notice issued on Tuesday, directed all retail outlet operators to immediately calibrate and verify their dispensers and totalisers to ensure that consumers receive the full quantity of petroleum products for which they pay.

The authority said it had observed incidents of under-dispensing at retail outlets nationwide, describing the practice as a serious breach of consumer trust.

The regulator warned that outlets found under-dispensing, operating improperly calibrated equipment or otherwise compromising dispensing accuracy would be required to take immediate corrective action.

It added that persistent or serious violations would attract sanctions, “up to and including revocation of the outlet’s licence”.

IPMAN alerts members

Reacting to the directive, the Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, said the association had circulated the NMDPRA notice to its members nationwide.

Ukadike said marketers were operating in a competitive environment where product quality, price and quantity were important factors in attracting and retaining customers.

He explained that the deregulated nature of the downstream sector made it important for independent marketers to protect their reputation and retain customers.

“I’m aware of the NMDPRA notice. We have also distributed the information to our members nationwide, drawing their attention to the NMDPRA notice. But I still want to let you know that we are in a very competitive environment. What drives the market is: one, quality of the product; two, price of the product; three, quantity of the product.

“These are the things that drive this kind of market now. We are in a deregulated economy. And what drives your market is your ability to convince your customers and sustain your customers. You have seen the innovations that we have done in all our businesses nationwide. We are ready for this deregulation and this competition. So nobody will indulge in underselling or cheating customers,” Ukadike said.

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However, he acknowledged that sharp practices by individual pump attendants could not be completely ruled out, saying IPMAN was working to reorient its members and their employees.

“But sometimes you cannot rule out some sharp practices from some of our pump attendants, which is why we are trying to go nationwide now, to see how we can reorientate them, to be steadfast and truthful to customers,” he noted.

Ukadike disclosed that the association would not allow customers to be cheated at the pump, stressing that marketers had a responsibility to ensure that their dispensing equipment remained accurate.

“I don’t know if there is any reason that could prompt a manager to adjust the pump below the normal value. But this is an announcement by NMDPRA. We have set out our eyes to ensure that such a thing does not happen. And if there are sharp practices, we are ready to curtail them. So, some pump attendants adjusting prices and engaging in sharp practices may not be ruled out. But we are ready to ensure no customer is cheated at the pumps,” he said.

He added, “Don’t quote me incorrectly. I say you cannot rule out sharp practices from a few individuals like some attendants. For us, the independent marketers, we want to build our brand, and the three cardinal points of building our brand are low pricing, quality, and service.”

Another IPMAN major dealer, who spoke in confidence due to the lack of authorisation to speak on the matter, stated that the association had identified some lapses among pump attendants and would intensify its orientation programme to address the problem.

“No independent marketer will like to indulge in any sharp practices, but because we employ people who are working for us, we have identified some of the lapses, and the executive council will move into this orientation policy to ensure that some of these sharp practices by some pump attendants will be cut out,” he said.

PETROAN intensifies checks

The Petroleum Products Retail Outlets Association of Nigeria also directed its members to inspect their dispensing meters following the NMDPRA warning.

Speaking on Channels Television’s The Morning Brief on Wednesday, the National President of PETROAN, Billy Gillis-Harry, said the association had convened an emergency meeting of its National Executive Council on Tuesday after receiving the regulator’s warning.

He said the meeting lasted until about 10 pm, after which members were instructed to check their dispensing equipment. “PETRON circulated a message around the country, calling our members to check their meters as quickly as possible,” Gillis-Harry said.

He explained that prolonged use could cause dispensing equipment to develop faults, resulting in either under-dispensing or over-dispensing. “Equipment can be faulty over time because of usage,” he said.

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Gillis-Harry assured motorists that PETROAN members would ensure that customers received the quantity of fuel they paid for. “But I can tell you that PETRON members will, at all times, insist on making sure that they sell their products one litre for one litre,” he said.

He advised motorists to monitor the quantity displayed on the dispenser whenever they buy fuel and request receipts after transactions.

The PETROAN president also urged consumers to familiarise themselves with their vehicles’ fuel capacities and compare them with the quantity shown on the dispensing meter.

“Oftentimes, we educate our staff to call the attention of the customer to check the meter while it is being dispensed. And also to get the customer to check after the product has been dispensed,” he said.

Gillis-Harry said PETROAN worked with the Weights and Measures Division of the Ministry of Industry, Trade and Investment and the NMDPRA on the maintenance and accuracy of dispensing meters.

“PETRON consistently works with the Weights and Measures Division of the Ministry of Trade and Investment, and also the NMDPRA. These are the two regulatory authorities that ensure that our meters are functional. And they are up to date and accurate,” he said.

He stressed that the association had commenced engagement with its members following the regulator’s warning. “We took what the NMDPRA called our attention to yesterday very seriously. And we already started working on that,” he said.

NMDPRA seals stations

The NMDPRA’s latest directive comes after the regulator had stepped up enforcement against filling stations found to be short-measuring customers.

In February, the authority sealed 11 petrol stations in Rivers State for alleged under-dispensing, failed pumps and other regulatory infractions.

The exercise, conducted in Obio-Akpor and Port Harcourt City Local Government Areas, was part of the NMDPRA’s “Operation One Litre for One Litre” surveillance initiative. The authority said the affected stations would remain shut until the integrity of their pumps was confirmed.

The NMDPRA’s South-South Coordinator, Victor Owodiasa, warned at the time that persistent offenders could have their licences revoked.

He also said under-dispensing could sometimes result from mechanical faults, but insisted that operators had a responsibility to regularly check their meters rather than wait for regulators to detect the problem.

In July, the NMDPRA Abeokuta Field Office also sealed two filling stations in the Akute/Ajuwon area of Ifo Local Government Area of Ogun State for under-dispensing and other sharp practices.

The authority said one of the stations had repeatedly violated regulatory requirements, including allegedly removing official seals placed on the facility and resuming operations without authorisation. It disclosed that the station had been sealed at least six times since 2025.

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The regulator warned that further violations could lead to penalties, suspension of operating licences and criminal prosecution where applicable.

Earlier, in October 2025, the NMDPRA Eket Field Office sealed five petrol stations in Akwa Ibom State over various infractions, including alleged under-dispensing, diversion and operating without a licence.

The issue has also affected major oil marketers. In August 2025, NNPC Retail sanctioned employees at its Ikorodu, Lagos, station after an investigation confirmed an incident involving a pump attendant who allegedly attempted to short-change a customer.

The company said the attendant was disengaged, the station manager was suspended, and a formal warning was issued to the dealer.

With the latest directive, the NMDPRA has now directed industry associations, including IPMAN, PETROAN, the Major Energy Marketers Association of Nigeria and the Depot and Petroleum Products Marketers Association of Nigeria, to notify their members and support compliance.

The regulator said its intensified inspections were aimed at protecting consumers, promoting transparency and ensuring that motorists receive the quantity of petroleum products for which they pay.

The directive comes against the backdrop of the Federal Government’s broader efforts to strengthen regulatory oversight of the downstream petroleum sector following the removal of the petrol subsidy and the transition to a market-based pricing regime.

With petrol now sold at prices determined largely by market conditions, accurate dispensing has become an important part of consumer protection, particularly as motorists and other users pay varying pump prices across locations.

Under-dispensing occurs when a retail outlet’s dispensing equipment delivers less product than the quantity displayed or paid for by the consumer. Faulty or improperly calibrated pumps can therefore result in consumers paying for a volume of petrol that they do not receive.

The NMDPRA said its latest enforcement action was aimed at preventing such practices and improving confidence in petroleum product transactions. The Authority also directed major industry associations to ensure that their members comply with the directive.

“MEMAN, DAPPMAN, IPMAN and PETROAN are kindly requested to promptly notify their members of this directive and to support full compliance across the industry,” the regulator stated.

The NMDPRA stressed that consumer protection remained a key part of its regulatory responsibility, particularly in ensuring that petroleum transactions were transparent and accurately measured.

It said, “NMDPRA remains committed to protecting consumers, promoting transparency, and upholding the integrity of petroleum product transactions nationwide.”

The directive means filling stations now face closer scrutiny of their dispensing equipment, while operators will be expected to correct any identified defects promptly or risk regulatory sanctions.

Source: punchng.com

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IMF advises Nigeria against restoring blanket petrol subsidy, read details

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The International Monetary Fund has advised Nigeria against restoring blanket petrol subsidy, urging the Federal Government to channel support towards vulnerable citizens as rising energy costs put pressure on households.

The Director of the IMF’s Fiscal Affairs Department, Rodrigo Valdés, gave the advice on Wednesday while responding to a question about calls for the return of petrol subsidy in Nigeria ahead of elections, during the IMF and World Bank Group annual meetings in Bangkok, Thailand.

Valdés acknowledged the political pressure governments face when fuel prices rise but said blanket subsidies were costly and that available resources would be better used to support people most affected by higher energy prices.

He said, “At the end of the day, it’s very tempting politically speaking because it’s not trivial the political effect of the price of oil, of fuels, of gasoline, of diesel.

“But you have to explain that this is a global shock, first. Second, that it’s very, very expensive for the country not to recognise that shock.

“And third, it’s much better to use some of that money that would you spend in the subsidies channeled towards more vulnerable people.”

He added that targeted support was preferable to a blanket subsidy, saying: “Yeah, gasoline could go up and perhaps bus fees may be subsidised in a way. That is a much better policy at the end of the day than just a blanket subsidy for everybody.”

He said governments should consider targeted assistance rather than keeping fuel prices artificially low for all consumers.

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The IMF has argued that broad-based fuel subsidies are expensive and often disproportionately benefit higher-income consumers, who tend to consume more fuel.

The advice comes as Nigeria faces renewed pressure over petrol prices following increases in global energy costs.

The Federal Government recently announced a 30-day petrol discount at Nigerian National Petroleum Company Limited retail stations, with priority for public transport operators, to cushion the impact on consumers.

Finance Minister Taiwo Oyedele said NNPC retail would sell petrol at cost by foregoing its retail profit margin, describing the measure as temporary relief rather than a return to petrol subsidy.

The government has also proposed negotiating a ceiling of N1,350 per litre on petrol’s ex-gantry or landing cost, subject to monthly reviews.

Valdés said fuel subsidies could also worsen global energy pressures by preventing demand from adjusting when supplies were constrained.

“When you subsidise, you don’t allow, at the end of the day, demand to adjust.

“And reality is that we have less fuels in the world economy. That means that someone else has to adjust more, and the market produces a higher price for that,” he said.

The IMF also recommended targeted interventions to cushion the impact of higher fuel prices on transportation costs.

A division chief in the fund’s Fiscal Affairs Department, Davide Furceri, suggested that governments could redirect resources from blanket subsidies towards support for public transport users and other vulnerable groups.

He also suggested measures such as school feeding programmes, geographical targeting and assistance for vulnerable farmers.

Furceri acknowledged that some countries lacked household registries and digital payment systems needed to deliver targeted assistance effectively, but said governments could adopt alternative approaches while developing stronger systems.

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He recommended that support should be limited, targeted and temporary.

Source: punchng.com

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African cocoa farmers face possible exclusion from EU market, group warns

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The Coffee Farmers Alliance Association of Africa has warned that up to 40 per cent of African smallholder cocoa farmers could be excluded from the European market because they cannot meet compliance requirements under the European Union Deforestation Regulation.

The Global President of COCEFAAA, Adeola Adegoke, raised the concern at the conclusion of the two-day Africa Cocoa and Coffee Conference held in Lagos, where stakeholders called for stronger African participation in shaping international trade policies affecting the continent’s cocoa and coffee industries.

In a statement issued on Wednesday, Adegoke expressed concern that the regulation could impose significant challenges on smallholder farmers, particularly those who lack the financial resources, technology and documentation systems required to meet its traceability standards.

He said, “Up to 40 per cent of African smallholder farmers could face exclusion from the European market if they are unable to comply with the requirements.

“The EUDR is designed to ensure that certain commodities entering the European Union market are not linked to deforestation. However, concerns have emerged over the cost and complexity of compliance, particularly for small-scale farmers who may struggle to provide the necessary information to demonstrate compliance,” he added.

Adegoke stressed the need for African cocoa-producing countries to strengthen their negotiating positions and improve traceability systems to protect farmers from potential disruptions to international trade.

He called for measures to ensure that smallholder farmers receive adequate technical and financial support to meet evolving market requirements without losing access to key export destinations.

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Another major issue discussed at the conference was the emergence of cell-cultured cocoa technologies and their potential implications for traditional cocoa-producing communities.

Adegoke expressed concern that increased investment in alternative cocoa production technologies could affect demand for conventionally grown cocoa and create additional uncertainty for farmers whose livelihoods depend on the crop.

He urged African countries to assess the potential economic and social implications of these technologies while developing strategies to safeguard the interests of cocoa farmers and their communities.

The conference also highlighted the need for stronger cooperation among African cocoa- and coffee-producing countries to ensure that the continent has a greater voice in shaping international trade policies and standards.

Participants adopted the Lagos Declaration 2026, a shared statement of commitments aimed at improving farmers’ livelihoods, boosting productivity and expanding African ownership of the cocoa and coffee industries.

More than 200 delegates attended the conference, representing producing countries, governments, research institutions, development partners, commodity associations, private businesses, multilateral organisations and the media.

Speaking on the challenges facing the continent’s cocoa and coffee sectors, Adegoke said Africa had the expertise and solutions needed to transform the industries but lacked effective mechanisms to scale them across the continent.

“Africa is not short of solutions. We are short of mechanisms to scale them,” he said.

The Lagos Pact outlines three key positions that African cocoa- and coffee-producing countries intend to advance at continental and international negotiations.

These include reserving the terms “cocoa” and “coffee” for farmed products, advocating mandatory “Cell-Cultured Product” labelling at the Codex Alimentarius, and proposing a one per cent adaptation levy on revenues from cell-cultured products to support African smallholder farmers through the Common Fund for Commodities.

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The pact is expected to serve as Africa’s common position at the African Union Summit scheduled for February 2027.

The conference further highlighted Africa’s limited share of the value generated by its cocoa and coffee production, despite the continent’s significant contribution to global output.

According to figures presented by Adegoke, Africa produces about 75 per cent of the world’s cocoa and 12 per cent of its coffee but captures less than six per cent of the value of chocolate, while many farmers earn approximately $1.20 a day.

The Lagos Declaration 2026 commits participants to coordinated action in eight key areas: planning and coordination; unity and governance; farmers’ welfare; productivity; sustainability; traceability and product identity; value addition and finance; and people’s welfare.

Under the declaration, participants pledged to develop African strategic plans with clear responsibilities, timelines, and measurable outcomes. They also committed to strengthening farmers’ cooperatives, improving farmers’ incomes, investing in research and extension services, protecting forests and promoting climate resilience.

The declaration further calls for greater investment in local processing, stronger African brands and expanded access to markets under the African Continental Free Trade Area (AfCFTA).

The commitments are intended to strengthen Africa’s position in global cocoa and coffee value chains, protect farmers’ livelihoods and ensure that a greater share of the value generated by these commodities remains on the continent.

Source: punchng.com

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NNPC awaits reports on PH, Warri refineries’ revival

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The Nigerian National Petroleum Company Limited is waiting for technical assessments from two Chinese firms on Port Harcourt and Warri refineries before proceeding with plans for additional investment agreements.

The NNPC’s Chief Corporate Communications Officer, Andy Odeh, disclosed this in an exclusive interview with our correspondent, following the company’s latest update on the proposed partnership.

The Chinese firms – Sanjiang Chemical Company Limited and Xinganchen (Fuzhou) Industrial Park Operation and Management Co. Limited – have conducted about three months of detailed on-site assessments alongside NNPC’s technical teams.

In its response to questions from The PUNCH, the company said the technical report was being finalised after the assessment, which is expected to establish the work and technology required to make the refineries commercially competitive.

“The prospective partners have carried out approximately three months of detailed on-site assessment with their senior engineers, working alongside NNPC teams. The technical report is being finalised. The assessment is intended to establish what work and technology are needed for competitive operations,“ Odeh said.

The NNPC said it was pursuing a technical equity partnership model to restore the facilities to sustainable operations, stressing that rehabilitation work alone would not guarantee success.

“As the Group Chief Executive Officer, Engr Bayo Ojulari, has explained, successful rehabilitation requires financing, competent engineering and construction, and strong operating capability.

“Completing repairs alone is not enough; the facilities must also be able to operate reliably and profitably,” he noted.

The company said the next steps would involve completing the assessment report, receiving a detailed proposal from the prospective partners and agreeing on the technical and commercial terms.

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“The next milestones are completion of the assessment report, a detailed partner proposal, and agreement on the technical and commercial terms. Definitive agreements, the necessary approvals and an investment decision would then provide the basis for a credible programme for completing work and restarting operations,” it stated.

However, the NNPC said it could not announce a restart date until the requirements had been settled.

“We cannot responsibly promise a restart date before these requirements are settled,” the company said, adding that the assessment was concrete progress but that Nigerians would ultimately judge the initiative by sustained production and reliable product supply.

“We cannot responsibly promise a restart date before these requirements are settled. The engineering assessment is concrete progress, but Nigerians will ultimately judge success by sustained production and reliable product supply. We will continue to communicate verified milestones as the process advances,“ Odeh stated.

The proposed partnership follows the memorandum of understanding signed by the NNPC and the two Chinese firms on 30 April, 2026. The agreement covers the completion of outstanding work, operation and maintenance of the Port Harcourt and Warri refineries, and the assessment of possible upgrades and expansion, including petrochemical opportunities.

The NNPC, however, clarified that the MoU was only a preliminary framework and not a final investment or operating agreement.

At a media parley on 29 September, Ojulari reaffirmed that the company would not proceed with further rehabilitation without a credible route to commercial viability.

The company said the proposed model was intended to bring in partners willing to invest and share responsibility for the refineries’ performance, rather than contractors whose involvement ends after payment for completed work.

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“This is intended to protect public value and avoid repeating arrangements that did not deliver sustained results,” the NNPC stated.

It also clarified that work on the Kaduna refinery had not commenced under the partnership model, noting that the agreement with the Chinese firms covered only Port Harcourt and Warri.

On the impact of the proposed revival on petrol prices, the NNPC said more efficient domestic refining could strengthen supply, increase competition and reduce dependence on imported finished products.

“We understand why Nigerians are asking about our refineries as petrol prices put pressure on household budgets and businesses. Our priority is to restore reliable, commercially sustainable refining capacity while supporting practical relief for customers,“ Odeh noted.

Meanwhile, the NNPC said its retail petrol discount, introduced on 1 October, would continue until 31 October, 2026, as part of efforts to provide temporary relief to customers.

Source: punchng.com

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