NMDPRA threatens licence revocation over fuel under-dispensing

LAGOS, Nigeria: The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has warned petrol station operators nationwide that persistent or serious under-dispensing of petroleum products could lead to sanctions, including licence revocation.

Kanyi Daily reports that the NMDPRA announced the warning on September 22, 2026, as it intensified inspections and enforcement across the downstream petroleum market.

The Authority said it had identified cases of under-dispensing at retail outlets and directed operators to immediately calibrate and verify their dispensers and totalizers to ensure customers receive the quantity of fuel they pay for.

“To safeguard the interests of consumers, all retail outlet operators are hereby directed to carry out immediate calibration and verification of all dispensers and totalizers,” the NMDPRA said.

The regulator said outlets found under-dispensing fuel, operating improperly calibrated equipment or otherwise compromising dispensing accuracy would be required to take corrective action. “Persistent or serious violations will be subject to appropriate sanctions, up to and including revocation of the outlet’s license, in line with NMDPRA’s regulations.”

The NMDPRA also directed the Major Energy Marketers Association of Nigeria (MEMAN), Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Independent Petroleum Marketers Association of Nigeria (IPMAN) and Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) to notify their members and support compliance.

The latest enforcement follows the regulator’s recent announcement of increased surveillance amid rising petrol prices. The NMDPRA said deregulation does not remove operators’ obligations to meet regulatory and fair-trade standards and that it was working with the Nigeria Customs Service and other security agencies to monitor border corridors and curb petroleum smuggling.

The Authority also said it was collaborating with the Federal Competition and Consumer Protection Commission (FCCPC) under an existing Memorandum of Understanding to monitor price-gouging, collusion, under-dispensing and product quality.

Crude oil prices declined on Tuesday, with WTI at US$89.94 per barrel and Brent at US$98.29 per barrel, after Iran indicated that it could reopen the Strait of Hormuz within seven days if conditions were eased. Brent had settled at US$104.87 per barrel two trading days earlier.