Major Oil Marketers Association of Nigeria (MOMAN) said the Federal government will soon implement full deregulation its downstream oil sector. The marketers who had earlier predicted the increase in the official pump price is making yet another prediction.
The Executive Secretary, Major Oil Marketers Association of Nigeria, Mr. Obafemi Olawore making this prediction said “What we have now is a step towards deregulation. Deregulation is actually the end point; we are in the process and we will get there.”
Olawore, who spoke as a guest during a television programme monitored by our correspondent in Abuja, stated that the gains of a fully deregulated oil sector could not be over-emphasised.
On the difference between what currently obtains in the industry and what will happen when it becomes totally deregulated, he said, “When we get to deregulation, you will have the refining process included. As it is now, we are looking at only the petrol import side. Deregulation will have to start from the point of refining.”
The MOMAN secretary stated that Nigeria’s oil industry was deregulated in the past, noting that during the period, dealers were made to buy crude, take it to the refineries and pay refining fees.
He explained, “Once that happens, you take your refined products and then you look at your own cost, not the other person’s cost, and you fix a price. That was why you could get a price in Lagos that was different from the one in Ibadan, and that of Ibadan was different from Port Harcourt.”