The Federal Government has reiterated its commitment to a market-driven approach for crude oil pricing, rejecting price-fixing measures.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) Chief Executive, Gbenga Komolafe, made this statement during a stakeholder meeting in Abuja with the Oil Producers Trade Section (OPTS) and the Independent Petroleum Producers Group (IPPG).
Komolafe stressed the government’s adoption of the willing-seller, willing-buyer model, aligning with international best practices. He assured stakeholders that the NUPRC would continue to regulate the sector while fostering growth and avoiding arbitrary decisions that could deter investments.
Discussions also focused on addressing operational challenges, including pre-allocation of crude oil to domestic refiners, domestic supply obligations, and pricing concerns.
Komolafe reaffirmed the commission’s readiness to address these issues, provided they support sectoral growth and align with national interests.
To boost oil production in 2025, the NUPRC has outlined a five-point agenda, including increasing production by one million barrels, enhancing hydrocarbon measurement transparency, digitalising regulatory activities, optimising unit costs, and revitalising non-performing assets through licensing rounds.
The commission has also implemented regulatory measures to enforce compliance with Domestic Crude Supply Obligations (DCSO). Komolafe clarified that denying export permits would only target non-compliant operators, ensuring legitimate investors remain protected while safeguarding Nigeria’s energy security.
