Global crude oil prices have declined to the $70 per barrel mark, raising fresh expectations among Nigerians that domestic petrol prices could soon be reviewed downward.

The downward slide in crude prices continued on Thursday morning as the benchmark Brent crude slipped to $70 from $71 per barrel it closed on Wednesday.

However, despite the significant drop in international oil prices, the pump price of Premium Motor Spirit (PMS) otherwise known as petrol has remained unchanged in Nigeria despite pressure from Nigerians.

The decline in crude prices comes amid concerns over slowing global demand, easing geopolitical tensions in some oil-producing regions and expectations of increased supply from major producers.

Brent crude, the international benchmark, has retreated from higher levels recorded earlier in the year to around $70 per barrel.

With the deregulation of the downstream petroleum market, movements in global crude prices are expected to influence the cost of refined petroleum products.

This has prompted consumers to question why local pump prices have yet to reflect the latest decline in the international market weeks after.

The federal government through the Ministry of Petroleum and the Federal Competition and Consumer Protection Commission (FCCPC) had called for reduction in pump prices in response to the drastic drop in crude prices.

The Executive Vice Chairman and Chief Executive Officer of the Commission, Mr. Tunji Bello, clarified that the FCCPC does not regulate or approve petroleum prices in Nigeria’s deregulated downstream sector.

“To be clear, the Commission does not regulate or approve petroleum prices in a deregulated downstream market. Our responsibility under the Federal Competition and Consumer Protection Act, 2018, is to promote competitive markets, prevent anti-competitive conduct, and protect consumers from unfair, deceptive and exploitative business practices,” Bello said.

He added that while petroleum marketers often increase pump prices almost immediately whenever global crude oil prices rise, consumers are yet to enjoy corresponding reductions despite the recent decline in crude prices.

“We are concerned that while dealers often respond swiftly by hiking pump prices whenever crude prices rise, it is curious that it is taking forever for consumers to benefit significantly when crude prices fall. Competitive markets must work fairly in both directions,” he stated.

However, there has been a pushback from marketers over the threat of sanctions even as the marketers threaten to embark on strike.

Even as the crude price slipped to $70 as of press time, even lower than the pre-war level, a litre of PMS is still sold at over N1,200 in Lagos and almost N1,300 in the other parts of the country.