The Major Energies Marketers Association of Nigeria (MEMAN) has asked the government to create a level playing field in Nigeria’s deregulated downstream petroleum sector. Speaking during its Q2 2025 virtual press briefing, MEMAN stressed the need for fair, open competition to ensure that consumers and the economy truly benefit from deregulation.
MEMAN said it welcomes deregulation, but called for stronger regulation and transparency to guide the market and prevent unfair dominance by any one player.
Deregulation Brings Opportunity — And Risks
While speaking at the event, MEMAN Chairman, Mr Huub Stokman, said Nigeria’s downstream sector has entered a new era. He explained that deregulation is opening the door for more innovation and efficiency, but warned that without the right policies and consistent oversight, those gains could be short-lived.
“Deregulation is changing how Nigeria’s energy market works,” Stokman said. “But for it to succeed, we must keep working together, set clear policies, and embrace innovation.”
He also called on regulators the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to monitor the market closely, support innovation, and protect consumers from exploitation.
Experts Share Concerns About Market Dominance
The session featured respected speakers like Samer Matta (World Bank), Francis Anatogu (AfCFTA), and Ogechi Nkwoji (MEMAN Economic Intelligence Head).
Together, they discussed how big infrastructure projects like the Dangote Refinery could improve supply chain efficiency but may also lead to market imbalance if left unchecked.
In response, the MEMAN Secretariat announced it would review Dangote’s fuel distribution model, including its use of company-owned trucks and supply routes, to determine its effect on competition.
Innovation Must Not Exclude Others
MEMAN CEO, Clement Isong, highlighted the rise of Compressed Natural Gas (CNG) in fuel transport, noting it could cut costs by as much as 40%. However, he warned that not all marketers have access to CNG stations or infrastructure, which could give some players an unfair edge.
“We support innovation,” Isong said, “but we also want fairness. Everyone should have equal access to cleaner, cheaper transport options.”
He encouraged oil marketers to explore solar-powered petrol stations, shared trucking services, and other cost-saving models that also protect the environment.
Lessons from Other Industries
Samer Matta of the World Bank explained that competition pushes businesses to improve. “In open markets, prices drop, services get better, and customers benefit,” he said. But he added that many sectors in Nigeria are still dominated by just a few players, making strong oversight necessary.
Francis Anatogu, former Executive Secretary of the AfCFTA and now CEO of Transaharan, said Nigeria should learn from the telecoms, banking, and aviation sectors where competition led to better services and lower costs. He called for:
- Clear rules on market dominance
- Open access to infrastructure
- Protections for small and medium-sized businesses
- Easy-to-use complaint systems for customers
Regulators Must Stay Alert
Across the board, speakers agreed that regulators need to step up. As major players like Dangote enter the space with massive infrastructure and financial strength, FCCPC and NMDPRA must ensure no player uses size to squeeze out competition.
The group also stressed the need to watch the market closely and act fast when signs of unfair practices appear especially as new investments continue to reshape Nigeria’s downstream sector.
Final Thoughts
MEMAN’s message is clear: deregulation brings huge promise, but only if everyone gets a fair chance to compete. As big players like the Dangote Refinery shake up the market, and innovations like CNG gain traction, Nigeria’s fuel sector stands at a crossroads.
With the right balance of innovation, fairness, and firm regulation, the downstream market can deliver better value to consumers and boost the economy. But without a level playing field, small players may struggle to survive—and the average Nigerian could pay the price.