The Major Energy Marketers Association of Nigeria (MEMAN) says the removal of petrol subsidy has transformed the country’s downstream oil sector, driving innovation, digitalisation, and new business models across the energy value chain.
MEMAN Chairman, Huub Stokman, made this known on Wednesday during the Oil Trading and Logistics (OTL) Africa Downstream Week 2025 held in Lagos.
Stokman said the removal of the petrol subsidy, announced by President Bola Tinubu on May 29, 2023, marked a turning point for the industry, allowing market forces to spur creativity and competition among private operators.
He noted that the shift to full deregulation — including the 2024 government approval for marketers to purchase petroleum products directly from local refineries such as Dangote Petroleum Refinery — has opened doors for new operational models like energy-as-a-service, peer-to-peer trading, and virtual power plants.
According to him, “The downstream market is now being redefined by innovation and technology. Companies are investing in solar solutions, advanced monitoring systems, and digital platforms to enhance efficiency and sustainability.”
Stokman, however, emphasised the need for consistent regulatory policies to attract investment and ensure long-term sector growth.
“Significant investment is still required in refining, storage, distribution, and low-carbon infrastructure to achieve Nigeria’s energy transition targets,” he said.
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Addressing Africa’s broader energy challenge, the MEMAN boss said the continent must balance tackling energy poverty with embracing cleaner energy alternatives.
“Natural gas — whether LNG, LPG, or CNG — remains a key bridge fuel for Africa’s transition, promoting industrialisation while expanding access to cleaner energy,” he stated.
He further called for greater regional collaboration through cross-border gas pipelines and harmonised energy regulations within ECOWAS and SADC, urging African firms to invest in renewable energy, battery storage systems, LPG, and CNG facilities.
Stokman concluded by highlighting the vast opportunities in decentralised renewable solutions, noting that about 600 million Africans still lack access to electricity — a gap that digitalisation and sustainable technologies can help bridge.