The Group Managing Director of Rainoil Limited, Dr Gabriel Ogbechie, has said full deregulation of the downstream petroleum sector will increase competition among marketers and this will drive down the pump price of petrol.
Ogbechie said full deregulation would bring about cost savings for the government and increased funds for critical infrastructure.
He said it would enable marketers to freely source products and leverage supply chain options, adding that increased competition would improve efficiency and customer service.
“A fully liberalised sector will attract further foreign direct investment. Margins [are] expected to be tighter as competition drives down PMS pump price,” he said while addressing energy correspondents at a webinar, with the theme ‘Deregulation and sustainable energy future through natural gas’.
Ogbechie noted that the Nigerian National Petroleum Corporation had remained the sole importer of Premium Motor Spirit (petrol) into the country.