The price of Premium Motor Spirit (petrol) could decline further if crude oil prices continue to drop. This trend may be reinforced by the naira's stability against the dollar in the foreign exchange market. Crude oil prices fell by about two per cent to a 12-week low this week, following reports that OPEC+ will proceed with its planned oil output increase in April. Brent crude dropped by $1.19 (1.6 per cent) to settle at $71.62 per barrel, while the United States West Texas Intermediate (WTI) crude declined by $1.39 (two per cent) to close at $68.37. *Reuters* reported that these were the lowest closing prices for Brent since December 6 and WTI since December 9. The Organisation of the Petroleum Exporting Countries and its allies, including Russia (OPEC+), have confirmed their decision to proceed with the scheduled output hike in April. Experts in Nigeria’s downstream oil sector highlight crude oil prices and exchange rates as key factors influencing the cost of refined petroleum products. Last week, the Dangote refinery reduced its ex-depot PMS price from N890 per litre to N825. Similarly, the Nigerian National Petroleum Company Limited (NNPCL) matched Dangote’s price, igniting what industry players describe as a price war.

The Naira strengthened to N1,512 per dollar in the parallel market yesterday, up from N1,515 per dollar on Tuesday. However, it weakened in the Nigerian Foreign Exchange Market (NFEM), depreciating to N1,505 per dollar. Data from the Central Bank of Nigeria (CBN) showed that the indicative exchange rate rose to N1,505 per dollar from N1,502 per dollar on Tuesday, reflecting a N3 decline. As a result, the gap between the parallel market and NFEM rates narrowed to N7 per dollar from N13 per dollar on Tuesday.

The Federal Competition and Consumer Protection Commission (FCCPC) has taken legal action against MultiChoice Nigeria Limited and its CEO, John Ugbe, for ignoring regulatory orders to halt a subscription price increase. FCCPC’s Director of Corporate Affairs, Ondaje Ijagwu, announced this in a statement on Wednesday. On February 27, the FCCPC instructed MultiChoice to suspend its planned price hike for DStv and GOtv services pending an investigation. However, the company proceeded with the increase on March 1, defying the directive. The charges, filed at the Federal High Court in Lagos, include obstructing the Commission’s investigation, non-compliance with directives, and attempting to mislead the regulatory authority. Part of the statement reads, “Following the blatant disregard for regulatory oversight, the FCCPC has filed charges against MultiChoice Nigeria and John Ugbe at the Federal High Court, Lagos Judicial Division, on three counts of offences under the FCCPA 2018. “Specifically for willfully obstructing the Commission’s inquiry by implementing a price hike contrary to directives (Section 33(4)), impeding the ongoing investigation by ignoring instructions to suspend the hike (Section 110), and attempting to mislead the Commission by proceeding with the increase without objection (Section 159(2), punishable under Section 159(4)(a) and (b)).” “By disregarding the FCCPC’s directive and implementing the price hike before appearing before the Commission’s investigative hearing on March 6, 2025, MultiChoice has not only flouted regulatory processes but also demonstrated a pattern of conduct that undermines consumer rights and fair competition,” the statement added. Beyond the legal action, the FCCPC stated that it is exploring additional enforcement measures, such as sanctions and regulatory interventions, to uphold compliance and accountability. MultiChoice had previously notified customers of the upcoming price adjustment, scheduled to take effect on March 1, 2025, citing increasing costs of providing premium content as the reason for the hike.

The House of Representatives has ordered Multichoice, the owner of Pay TV services DStv and GOtv, to suspend its planned subscription rate increase due to current economic conditions. The company recently announced new rates effective March 1, with DStv Premium rising from N37,000 to N44,500, Compact+ increasing from N25,000 to N30,000, and Compact moving from N17,000 to N19,000. This directive came after a motion was adopted, sponsored by Esosa Iyawe, a member of the All Progressives Congress from Edo State. He said, “The House notes that Multichoice, the owner of Pay TV options DStv and GOtv, recently announced an increase in the prices of all its packages in Nigeria, citing prevalent economic factors leading to increased operational costs as their reason for the proposed increase. “The House also notes that the 20-25 per cent hike in subscription prices would be the second time in less than a year, as the last hike was in May 2024. “We are concerned that the increase in May 2024 sparked a public outrage and many Nigerians who were already dealing with rising costs of living were forced to ditch their decoders even as they lamented the lack of competition in the pay-TV sector. “We are concerned that due to the dominant position of Multichoice in pay-TV, price increases always have a widespread impact and put consumers under undue pressure.” He further argued that “The recent hike has triggered widespread criticism from subscribers, many of whom have taken to social media to express their frustration over frequent price hikes without a corresponding improvement in service quality.” With the motion adopted, the House urged Multichoice to suspend its planned subscription price hike in Nigeria until a thorough investigation is conducted. It also directed its Committee on Commerce to examine the arbitrary price increases by Multichoice and recommend cost-effective policies for the pay-TV sector to protect consumers. The committee was given four weeks to present its findings.

Nigeria’s Bonny Light crude oil price dropped 10.6% to $73.53 per barrel from $84.02 on January 15, raising concerns about the Federal Government’s 2025 budget revenue target. The 2025 budget is based on a crude oil price benchmark of $75 per barrel, oil production of 2.06 million barrels per day (bpd), and a revenue target of N36.35 trillion, with 56% expected from oil sales. The decline in oil prices signals a potential 6.6% shortfall in the FG’s oil revenue target, compounded by production levels falling below the 2.06 million bpd benchmark. Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) shows crude oil output stood at 1.737 million bpd in January 2025, up from 1.667 million bpd in December 2024.

The Naira strengthened on Tuesday in the official market, trading at 1,491.67 per dollar. Data from the Central Bank of Nigeria (CBN) website revealed a gain of N7.31, marking a 0.48% increase from Monday’s rate of N1,498.98 per dollar. Since December 2024, the Naira has remained relatively stable against the dollar, driven by ongoing reforms from the CBN aimed at enhancing transparency in the foreign exchange (FX) market.

Bismarck Rewane, Managing Director of Financial Derivatives Company Limited, has predicted that petrol prices will keep dropping until June 2025. Speaking on Channels Television’s *Business Morning* on Tuesday, Rewane stated that the downward trend would persist until mid-year. He also highlighted that the ongoing price competition between Dangote Refinery and NNPCL would ultimately favor consumers. He said, “So, generally, between now and June, we will see prices begin to decline. But after June, as things stabilize, depending on what happens in the global oil and currency market, we might begin to see some stabilization. “In a price war, nobody wins; the consumers win in the short run, and then eventually, the market goes back to where it should be. But, at the end of the day, between now and June, the price leadership will be firmly established,” Rewane said.

The Federal Competition and Consumer Protection Commission (FCCPC) is set to arraign Mr. Karl Toriola, Managing Director and CEO of MTN Nigeria Communications Plc, on May 28. Toriola, along with MTN Nigeria and other executives, faces charges for allegedly failing to provide documents and information requested by the commission, violating the FCCPC Act. The company, its CEO, and senior executives Tobechukwu Okigbo (Chief Corporate Services and Sustainability Officer) and Ikenna Ikeme (General Manager, Regulatory Affairs) will appear before Justice H.J. Yilwa at the Federal High Court in Abuja. According to the charge, FHC/ABJ/CR/354/2024, filed by a legal team led by Akoji Achimugu, the suspects were to be arraigned, but they were absent in court. Justice Yilwa, upon inquiry, was informed by FCCPC lawyer Chizenum Nsitem that he had just taken over the case and needed time to review the file. The court adjourned proceedings to May 28. Additionally, the Nigerian Copyright Commission (NCC) had earlier filed a separate charge, FHC/ABJ/CR/111/2024, against MTN Nigeria, Toriola, Senior Executive Officer Nkeakam Abhulimen, telecommunications service provider Fun Mobile Ltd, and its CEO, Yahaya Maibe. This case, currently before Justice Inyang Ekwo, was filed on March 20, 2024. The prosecution alleged that the defendants, between 2010 and 2017, “offered for sale, sold and traded for business, infringed musical works of Maleke Moye, an artiste, without his consent and authorisation.” The commission accused the defendants of unlawfully using Maleke’s musical works and sound recordings, which are under existing copyright, as “caller ring back tunes” without the artist’s authorization. The allegedly infringed musical works include *911, Minimini-Wana Wana, Stop Racism, Ewole, 911 Instrumental, Radio, Low Waist,* and *No Bother.* The defendants are also accused of illegally distributing these works to subscribers without permission, violating the artist’s rights. In a third charge, they were alleged to have possessed the copyrighted musical works and recordings for purposes other than personal or domestic use. The Copyright Commission stated that the alleged offenses are punishable under Section 20 (2) (a), (b), and (c) of the Copyright Act, Cap. C28, Laws of the Federation of Nigeria, 2004. Justice Ekwo had previously adjourned the case to May 15 following the Attorney-General of the Federation (AGF)’s interest in taking over the prosecution.

The Transmission Company of Nigeria (TCN) has announced that the country’s power generation reached 5,713.60 megawatts (MW) on Tuesday. In a statement, TCN noted that this figure exceeded the 5,543.20MW recorded on February 14. However, the highest power generation in Nigeria remains 5,801.60MW, achieved on March 1, 2021. The company also reported an increase in maximum daily energy output, which rose to 125,542.06 megawatt-hours (MWh), surpassing the 125,159.48 MWh recorded last month. “Additionally, a new all-time high in daily energy generation was set yesterday at 125,542.06 MWh, exceeding the previous record of 125,159.48 MWh from February 14, 2025, by 382.58 MWh,” the statement added. Minister of Power, Adebayo Adelabu, had assured Nigerians that power generation would reach 6,000MW by December 2024. However, this target was not met due to challenges such as vandalism, grid collapses, and poor power infrastructure.

Petrol Price War Intensifies as NNPCL, Dangote Slash Rates Petroleum retailers and marketers have indicated that Nigerians should anticipate further reductions in petrol prices as the Nigerian National Petroleum Company Limited (NNPCL) and Dangote Refinery engage in a fresh price war. On Monday, NNPCL announced new petrol prices of N860 and N880 per litre in Lagos, Abuja, and other parts of the country. Waffi TV reports that NNPCL retail outlets along the Kubwa expressway, the Central Business District, and other locations have already adjusted to the new pump price of N880 per litre. Just days earlier, Dangote Refinery lowered its petrol price to N880 per litre at MRS filling stations and other outlets in Abuja, intensifying competition between the two firms. With both companies battling for market share, Nigerians now have the option to choose between NNPCL and Dangote fuel stations. Since February 2025, Dangote petrol has been selling at a more competitive price compared to NNPCL. Reacting to the development, the National President of the Petroleum Retailers Outlets Owners Association, Billy Gillis-Harry, and the Independent Petroleum Marketers Association of Nigeria's President, Abubakar Maigadi, noted that the ongoing competition would likely lead to further price reductions. Gillis-Harry described the situation as a beneficial business strategy that has brought relief to Nigerians struggling with high living costs. “The new price has been reflected on our portal. “This price reduction will be a huge relief to many Nigerians struggling to make ends meet. “The reduction in PMS prices is expected to positively impact Nigerians’ lives. We are engaging NNPCL to also bring down the petrol prices for the benefit of Nigerians and marketers,” he said. On his part, Maigandi said what is happening in the downstream oil and gas sector is the beauty of deregulation. According to him, “It is not surprising because Dangote petrol is selling at that rate. “This is what we have been telling the government to deregulate the sector. The price will start coming down. Investors have started coming. “The reduction in petrol price means joy to Nigerians and marketers,” he said.