Nigerian Oil Marketers Seek Relief from Price Volatility

Oil marketers in Nigeria are facing significant financial losses due to volatility in the downstream petroleum sector, with losses amounting to billions of naira. Chinedu Ukadike, the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), stated that marketers struggle with price fluctuations, particularly when prices fall suddenly.

This situation is exacerbated by rising global crude oil prices linked to conflicts in the Middle East. Marketers are pressured by consumers to maintain petrol prices despite rising costs, while they are expected to lower prices when costs decrease.

The average petrol price rose from N1,077–N1,205 in early July 2026 to N1,395–N1,500 in September, before recently dropping to N1,370. Additionally, petrol smuggling remains a concern, driven by price differences with neighboring countries.

Ukadike proposed the establishment of an Energy Bank to help marketers manage the financial impact of price volatility, allowing them to access funds during price increases.