The Secretary of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN),Olufemi Adewole, on Monday, 14 July, 2025, disclosed that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reduced cross-border fuel diversion by 35 per cent through stricter anti-smuggling measures, reports thegazellenews.com.
Adewole, who made this disclosure in a statement issued on Monday, 14 July, 2025, attributed the development to “stability, innovation, energy access and continuing growth“ in the sector to what it called strategic regulatory oversight by the NMDPRA.
DAPPMAN scribe said the, “firm, fair and functional” leadership of the NMDPRA has facilitated improved operational efficiency, product availability, and investor confidence in the downstream sector.
Adewole maintained that the NMDPRA under the leadership of Farouk Ahmed was transforming the sector, adding that DAPPMAN would continue to support and work with the agency to achieve sustainability in the sector and enhance access to world-class energy solutions across the nation.
“DAPPMAN applauds the commitment of the NMDPRA to fostering a competitive market, enhancing energy security, and encouraging innovation as the sector responds to unfolding global oil and gas market challenges and opportunities,” he said.
Adewole said the intervention of the NMDPRA and its collaboration with the Nigerian National Petroleum Company Limited and other stakeholders in the sector have significantly reduced fuel scarcity incidents, ensuring a consistent nationwide supply.
DAPPMAN noted that Nigeria had maintained petrol sufficiency in recent times, describing it as a marked improvement from previous years.
Adewole added that NMDPRA’s transparent regulatory framework has attracted new investments into refining and distribution, citing the authority’s licensing of modular refineries and compliance enforcement to bolster private sector participation.
The ES said streamlining licensing processes has attracted $1.2bn in modular refinery investments since 2022, going by the NMDPRA Industry Brief, 2024.
“Other notable achievements of the NMDPRA include its price stricter anti-smuggling measures which have reduced cross-border fuel diversion by 35 per cent, according to an NNPC Security Report; improved innovation and compliance enforcement through the Automated Downstream System which is reducing hoarding and illegal sales through real-time monitoring of product distribution; zero tolerance for adulterated products yielding improved fuel quality, with 98 per cent compliance in major depots; and regulatory predictability driving long-term planning and investment,” he added.
Lauding the Petroleum Industry Act, Adewole stated that it had empowered the NMDPRA to implement market-driven policies, including the deregulation of the downstream sector and the accompanying price liberalisation and promotion of a more competitive market.
“We have seen NMDPRA take Stakeholder Engagement and Compliance to a strategic level, and this is driving open dialogue with industry players, ensuring policies align with market realities.
“We have witnessed an unprecedented reduction in illegal refining and improved product quality through the authority’s enforcement of standards,” he noted.
Adewole urged all stakeholders in the downstream sector to join forces with the NMDPRA to make the sector more competitive and shore up the capacity needed for fresh investments, innovation and sustainable energy solutions.
“Overall, DAPPMAN is delighted that the NMDPRA is driving sectoral resilience as their proactive policies on depot operations and import regulations continue to restore confidence among investors and consumers alike.
“Ultimately, what we need in the sector is sustained collaboration to drive full deregulation and enhanced contribution to the nation’s economic growth and development,” Adewole said.
