On May 31, the NNPCL announced an adjustment in petrol prices across its retail outlets, citing "market realities" as the driving force behind the decision. However, in a recent interview with Channels Television, Falana contested the legitimacy of the NNPCL or any purported "invisible market forces" to set petrol prices, emphasising that it contradicts existing laws.
Falana highlighted the transformation of the NNPC into NNPC Limited, positioning it as a limited liability company similar to oil industry giants such as Total, ExxonMobil, and Shell. He argued that, by virtue of its new legal status, NNPC Limited does not possess the authority to unilaterally announce price increases for petroleum products. Instead, this responsibility is vested solely in the government.
"In Nigeria, nobody has the right to fix the prices of petroleum products other than the government," Falana asserted. He pointed to the Price Control Act and the Petroleum Industry Act (PIA) as the legal frameworks that govern pricing regulations in the country.
Falana's statements raise important questions about the extent of NNPC Limited's decision-making power in relation to petrol prices and whether the company's recent adjustment complied with existing legal provisions. The lawyer's interpretation suggests that the move by NNPCL may not be in accordance with the established legal framework.
The debate over petrol prices in Nigeria has long been a contentious issue, with frequent fluctuations causing concerns for citizens and businesses alike. The ability to control and stabilise fuel prices is crucial for the economy and public welfare. Therefore, it is vital to clarify and uphold the legal mechanisms for determining petrol prices to ensure transparency, accountability, and compliance with existing legislation.
The assertion made by Falana invites further scrutiny into the authority of NNPC Limited and the role of the government in setting petrol prices. It remains to be seen how this matter will be addressed and whether any legal actions or clarifications will be pursued in response to Falana's claims.
As the discussion unfolds, stakeholders and the public will closely monitor developments to ascertain the legal and regulatory aspects surrounding the fixing of petrol prices. The resolution of this issue will have significant implications for Nigeria's petroleum industry, consumers, and the broader economy.