Adulterated Fuel: FCCPC Investigates, Explores Compensation for Motorists

The Federal Competition and Consumer Protection Commission (FCCPC) on Thursday notified the public that it had become aware of the supply of adulterated fuel to Nigerian motorists and was investigating the ‘dynamic situation’.

FCCPC in a statement signed by the Executive Vice Chairman of the Commission stated that it was engaging the various regulators and entities relevant to and involved in the distribution of petrol in the country. Whilst appreciating the responsiveness thus far demonstrated by the various stakeholders, the FCCPC said it would continue to engage the regulators and suppliers to ensure the successful withdrawal of all quantities of the adulterated fuel and explore options for mitigating the damage or loss suffered by consumers.

The full statement read:

“The Federal Competition and Consumer Protection Commission has become aware that a certain but limited quantity of Premium Motor Spirit (PMS) that does not comply with established, applicable, and prevailing standards has been distributed and sold in certain parts of the country.

“The Commission in the process of its initial investigative assessment understands that consumers who purchased fuel that constitutes part of this consignment have experienced technical difficulties and or damage to their vehicles or other relevant equipment/machinery.

“In furtherance of its investigation; and pursuant to relevant laws, the Commission is currently engaging multiple regulators and entities relevant and involved in the PMS distribution value chain.

“The purpose of ongoing engagements include:

Addressing hardship or difficulties consumers may experience with respect to withdrawal of the implicated products from the market
Securing assurance and promoting consumer confidence that supply constraints are addressed and will not persist
Ensuring that the regulator’s recall efforts under applicable laws and regulations including Petroleum Industry Act, 2021 and Federal Competition and Consumer Protection Act, 2018 (FCCPA) sufficiently exclude continuing distribution of the implicated product
Encourage and promote additional and robust mechanisms to prevent reoccurrence
Develop a meaningful and transparent mechanism to address demonstrated injury to affected consumers.

“The Commission’s engagement with the key and relevant regulators/entities involved has been constructive and productive. The Commission commends this responsiveness and prioritisation of ensuring continuity of supply, containment of implicated product and sensitivity to consumer dissatisfaction and inconvenience.

“The Commission is continuing engagement, particularly with respect to a reasonable and acceptable mechanism to mitigate demonstrated injury and or loss experienced by consumers.

“The Commission intends to provide additional information as this rather dynamic situation evolves.”

Fuel queues emerged in various parts of the country this week as many consumers resorted to panic buying of fuel from filling stations in order to avoid buying the adulterated fuel. Some consumers have however complained that the adulterated fuel had caused damage to their vehicles.

The national oil company, the Nigerian National Petroleum Company Limited (NNPC) blamed the importation and supply of the adulterated fuel on certain importers and promised to take appropriate commercial and other actions.

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