The Nigerian Midstream and Downstream Petroleum Regulatory Authority (Otherwise known as “The Authority”) was created in August 2021 in line with the Petroleum Industry Act 2021 which provides legal, governance, regulatory and fiscal framework for the Nigerian Petroleum Industry as well as development of Host Communities.

Consequently, Mr President approved the appointment of Mr. Farouk Ahmed as the Authority Chief Executive of the NMDPRA as conveyed by the Secretary to the Government of the Federation to the Honourable Minister of State for Petroleum Resources, Chief Timipre Sylva to run the day-to-day affairs of the new regulatory authority. 

NMDPRA’s encompasses a merger of three defunct regulatory agencies: Petroleum Products Pricing Regulatory Agency (PPPRA), Petroleum Equalization Fund {Management} Board (PEFMB), the Midstream and Downstream Divisions of the Department of Petroleum Resources (DPR). This birth has ushered a new dawn for establishing a progressive regulatory framework that encourages investment and full optimization of the midstream and downstream sector of the petroleum industry in Nigeria.

The Authority is responsible for the regulation of the midstream and downstream petroleum operations in Nigeria which includes technical, operational, and commercial activities.

FUNCTIONS

• Regulate and monitor midstream and downstream operations in Nigeria.
• Determine appropriate tariff methodology.
• Set cost benchmarks for midstream and downstream operations.
• Advise the Government and stakeholders on commercial matters relating tariff and pricing framework.
• Regulate the bulk storage, distribution, marketing, transportation pipelines of petroleum products.
• Monitor and enforce compliance with the terms and conditions of licenses, permits, and authorizations issued by the authority.
• Set, define, and enforce approved standards and regulations for design, construction, fabrication, operation, maintenance of plants, installations, and facilities used or to be used in midstream and downstream petroleum operations.
• Ensure security of supply, development of the market and competition in the natural gas and petroleum products market.
• Establish customer protection measures in accordance with the provisions of the enabling Act.
• Promote competition and private sector participation in midstream and downstream petroleum operations.