Deregulation Allows Global Market Forces to Dictate Fuel Prices in Nigeria

Nigeria's Minister of State for Petroleum Resources, Sen. Heineken Lokpobiri, has explained that the prices of refined petroleum products in Nigeria are determined by global market forces under a deregulated market.

Lokpobiri stated this while reacting to the constant hike in fuel prices, emphasizing that crude oil is an international commodity with its price set globally, regardless of individual countries' production volumes.

The minister highlighted that market dynamics must be allowed to determine prices of refined petroleum products, just like in other parts of the world. He noted that increasing Nigeria's crude oil production would not necessarily reduce the prices of locally refined petroleum products under a deregulated market.