The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has proposed new regulations aimed at preventing fuel price coordination, market sharing and other anti-competitive practices in Nigeria’s petroleum industry.
The proposed Midstream and Downstream Petroleum Prevention of Anti-Competitive Practices and Behaviour Regulations, 2026, seek to stop conduct capable of distorting competition, influencing petroleum prices or restricting market access across the midstream and downstream sectors.
In a public notice issued on Thursday, August 6, 2026, the Authority invited licence holders, permit holders and other stakeholders to submit comments on the draft regulations within 21 days, in line with Section 216(1) of the Petroleum Industry Act (PIA) 2021, which requires stakeholder consultation before regulations are finalised.
The notice, signed by NMDPRA Chief Executive Rabiu A. Umar, directed industry participants to review the draft and submit their observations through the approved process. The Authority also fixed a stakeholders’ consultation forum for September 22, 2026, at its headquarters in Abuja.
The proposed framework prohibits petroleum operators from entering agreements or arrangements, whether formal or informal that could restrict competition, including coordinated pricing, market allocation and supply manipulation.
It specifically targets the coordination of pump prices, depot prices, margins, freight charges, discounts and other commercial terms that influence petroleum product pricing.
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The draft rules also outlaw market-sharing arrangements, bid rigging, collusive tendering and joint actions by competitors to restrict imports, reduce supply or create artificial scarcity.
Operators would further be restricted from exchanging sensitive commercial information, including future pricing plans, supply strategies, customer data and bidding intentions, where such disclosures could undermine competition.
The regulatory push comes amid renewed scrutiny of Nigeria’s downstream petroleum market following concerns over petrol pricing and supply dynamics after the entry of the Dangote Petroleum Refinery into the market.
In July 2026, some independent petroleum marketers raised concerns over imported Premium Motor Spirit (PMS) pricing, arguing that some imported products were being sold above locally refined alternatives, triggering fresh calls for greater transparency and stronger competition oversight.
The move also builds on reforms introduced under the Petroleum Industry Act 2021, which expanded the role of regulators in promoting efficiency, transparency and fair competition across Nigeria’s petroleum value chain.
If approved after consultations, the regulations will provide the NMDPRA with a dedicated framework to investigate and sanction anti-competitive conduct while supporting a more transparent and consumer-focused petroleum market.