NMDPRA Moves Against Fuel Pump Fraud, Threatens Licence Revocation

NMDPRA Moves Against Fuel Pump Fraud, Threatens Licence Revocation

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has intensified its crackdown on fuel pump fraud, directing filling stations nationwide to immediately inspect, calibrate and verify their dispensing equipment following the discovery of cases of under-dispensing.

The regulator said it had identified incidents in which motorists and other consumers received less petrol than the quantity displayed on the pump, describing the practice as a serious breach of consumer trust.

Under its latest directive, operators of retail outlets must check and calibrate their fuel dispensers and totalisers to ensure that the equipment accurately measures the quantity of petroleum products sold.

The NMDPRA warned that stations found to be under-dispensing, operating with improperly calibrated equipment or otherwise compromising dispensing accuracy would be required to take corrective action.

It also warned that persistent or serious violations could lead to the revocation of operating licences.

The crackdown comes as motorists contend with elevated petrol prices across Nigeria. Recent reports put pump prices at around ₦1,350 to ₦1,400 per litre in Lagos, with prices reaching about ₦1,450 in Abuja and higher levels in some other locations.

The combination of higher pump prices and inaccurate dispensing has heightened concerns about the amount of fuel consumers actually receive for their money.

READ ALSO:

• $2.1m Land Suit: Court Orders Wike’s Son to Produce American Passport
• Two Nigerians Jailed 15 Years Over $2.4m US Cyber Fraud
• Osogbo Food Bonanza: Angry Customers Loot Warehouse After Operators Vanish

The problem, however, is not necessarily limited to deliberate manipulation. Faulty or poorly calibrated dispensing equipment can also cause inaccurate measurements, making regular inspection and verification important for both consumers and station operators.

The Petroleum Products Retail Outlets Association of Nigeria (PETROAN) has directed its members to inspect their dispensing meters following the NMDPRA warning.

PETROAN National President Billy Gillis-Harry said the association held an emergency meeting after the regulator raised the issue and subsequently instructed its members to check their equipment nationwide.

He also urged motorists to pay attention to the quantity displayed on the pump while buying fuel and to request receipts for their purchases.

The NMDPRA has also called on major industry associations, including the Major Energy Marketers Association of Nigeria (MEMAN), Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Independent Petroleum Marketers Association of Nigeria (IPMAN) and PETROAN, to ensure that their members comply with the directive.

The latest enforcement drive forms part of the regulator’s wider responsibility to protect consumers and ensure transparency in petroleum product transactions.

The NMDPRA has separately said that petrol pump prices are determined by market forces under the Petroleum Industry Act 2021 and are not fixed by the regulator. It has also said it is working with the Federal Competition and Consumer Protection Commission (FCCPC) to monitor practices including price-gouging, collusion, under-dispensing and compromised product quality.

The regulator has urged consumers and industry stakeholders to report suspected irregularities through its feedback and reporting channels for investigation and possible enforcement.

For motorists, the latest directive means greater attention should be paid to the quantity shown on fuel dispensers, receipts and any noticeable discrepancy between the amount paid and the fuel delivered.

The NMDPRA’s warning also puts filling station operators under increased pressure to ensure that their equipment remains properly calibrated and that consumers receive the full quantity of petrol or other petroleum products for which they have paid.

NMDPRA Moves Against Fuel Pump Fraud, Threatens Licence Revocation