NPA vows to protect consumer interests amid allegations of overpricing
Head of Economic Relations at the National Petroleum Authority, Abbas Tasunti, has assured consumers that the regulator remains committed to safeguarding their interests and ensuring transparency in the petroleum market.
Responding to concerns raised about alleged overpricing of petroleum products, Mr Tasunti emphasized that despite the deregulated nature of the industry, the NPA maintains strict oversight to prevent market abuse.
Speaking on the JoyNews PM Express Business Edition, Mr Tasunti clarified that while oil marketing companies have the freedom to determine their own pricing, they are obligated to submit their prices to the NPA for scrutiny.
This meticulous process ensures that every price displayed at the pumps adheres to the prescribed petroleum pricing formula. His remarks aim to assuage fears that the regulator may be complacent in fulfilling its responsibilities amidst market liberalization.
The NPA, as Tasunti outlined, conducts thorough market analyses and internal price benchmarking to evaluate the reasonableness of prices set by oil marketing companies. While the regulator refrains from imposing a price cap, it meticulously calculates its own price projections, comparing them with market rates to identify any potential disparities.
By closely monitoring these pricing dynamics, the NPA aims to prevent undue price escalation and protect consumers from potential exploitation.
Mr Tasunti further emphasized that the NPA’s projections closely align with market realities, often resulting in minimal discrepancies between projected and actual prices. In instances where market prices are lower than projected, he attributed the phenomenon to healthy competition among oil marketing companies.
Contrary to concerns raised about overpricing, he underscored the importance of scrutinizing the numerical data to gain a comprehensive understanding of the market dynamics.
The NPA’s commitment to ensuring fair pricing and consumer protection is evident in its diligent approach to regulatory oversight. Mr Tasunti’s remarks seek to allay any doubts surrounding the regulator’s dedication to maintaining a level playing field within the petroleum market.
With ongoing efforts to analyze and assess market trends, the NPA remains steadfast in its mission to provide consumers with value for their money and foster a transparent and competitive industry.
