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NARTO raises alarm over ‘monopolistic’ tendencies in petroleum industry

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The Nigerian Association of Road Transport Owners has called on the Nigerian Midstream and Downstream Petroleum Regulatory Authority to tackle what it termed “monopolistic tendencies” within the country’s midstream and downstream petroleum sector.

Speaking at the association’s annual general meeting in Abuja over the weekend, NARTO President Yusuf Othman warned that monopoly practices are harmful to the industry’s survival.

He urged the adoption of a fair pricing framework that would ensure petroleum product transportation remains both sustainable and profitable.

“We hope the NMDPRA will continue to ensure the viability of the sector through fair pricing mechanisms that make petroleum transportation sustainable and profitable,” Othman said.

He noted that in September 2025, the Federal Competition and Consumer Protection Commission and NMDPRA inaugurated a 10-member joint technical working committee to investigate and monitor activities in the midstream and downstream oil and gas sector, with the aim of preventing monopolistic practices.

Othman said the association would continue to protect the interests of its members against operators allegedly seeking to sideline and marginalise transporters.

“We will continue to stand firm against the marginalisation and outright emasculation of transporters by any monopolistic operators within the midstream and downstream petroleum industry,” he said.

The NARTO president also commended the Dangote Group for its investment in domestic refining, highlighting the construction of a major refinery as well as the importation of about 4,000 trucks to strengthen nationwide fuel distribution.

He also outlined several challenges confronting transporters, including shrinking revenues linked to disputes over freight rates, ageing truck fleets, limited access to low-interest financing, poor road infrastructure, and insecurity.

He urged security agencies to tackle what he described as the harassment and extortion of truck drivers.

Othman also praised the administration of Bola Tinubu for the presidential initiative on compressed natural gas (PiCNG), noting that the programme has opened up new opportunities for transport operators.

He further commended ongoing road construction and rehabilitation efforts, while urging the Federal Government to fast-track project completion, particularly ahead of the rainy season.