The Manufacturers of Energy and Allied Products Association of Nigeria (MEMAN) held a press webinar, addressing critical issues in the petroleum industry, including the prevalence of counterfeit lubricants and the importance of supply diversity. The webinar offered comprehensive solutions to these significant concerns.
Experts highlighted the urgent need for stringent quality assurance measures to combat counterfeit lubricants. They emphasized the importance of collaboration among stakeholders, enhanced monitoring, and stronger regulation to ensure rigorous quality control through regular inspections and certifications. Public awareness campaigns are crucial to educate consumers about the dangers of counterfeit lubricants and promote the purchase of verified products.
The discussion also underscored the need for partnerships with law enforcement to prosecute counterfeiters and implement stricter penalties. Leveraging advanced technologies for tracking and authenticating genuine products, along with encouraging innovative solutions to detect and prevent counterfeiting, were identified as vital strategies to strengthen these efforts.
Promoting supply diversity is essential for enhancing competition within the petroleum industry. Effective implementation of the Petroleum Industry Act (PIA) 2021 was recommended to streamline operations and reduce costs associated with refining or importing petroleum products. Key recommendations included engaging stakeholders to ensure cost recovery for refiners and PMS importers, resisting anti-competitive practices, and enforcing fair competition through the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Federal Competition and Consumer Protection Commission (FCCPC).
Transparency in the downstream value chain and managing price volatility through monthly guided prices were deemed crucial. Additionally, repositioning and adequately funding NNPC Limited Pipelines and Storage under a Public-Private Partnership (PPP) arrangement, encouraging alternative energy sources like LPG, CNG, LNG, and electric vehicles (EVs), and recognizing the impact of the Dangote Refinery in the deregulation process were also highlighted. Increasing local refining and addressing the challenge of insufficient locally sourced feedstock for domestic refineries were identified as key measures to support these efforts.
Experts and energy editors recommended acknowledging the interconnected roles of various industry stakeholders, including oil producers, refiners, marketers, transporters, consumers, media, NGOs, and development partners. They advocated for periodic, all-inclusive industry stakeholder meetings to keep the industry informed on various issues. Promoting sustainability, transparency, compliance, and fair practices, as well as encouraging the private sector to develop and share benchmarks for the landed costs of major crude oil products and other relevant market parameters, were also emphasized.
Supporting the expansion of the industry with local refineries and fostering collaboration for growth were deemed crucial for the sustainability and economic growth of the sector. These measures, if effectively implemented, are expected to address the current challenges and pave the way for a more robust and competitive petroleum industry in Nigeria.