The Nigerian National Petroleum Corporation (NNPC) has reportedly halted the sale of Premium Motor Spirit (PMS), commonly known as petrol, to independent marketers following a price increase on Tuesday. This move comes even as three vessels arrived at the Apapa jetty in Lagos on Wednesday to unload imported petrol.
The price hike has triggered protests in Delta State, where commercial tricycle operators, known as ‘keke’ riders, took to the streets of Warri and Effurun to voice their opposition to the rising costs.
Reports indicate that commuters across the country faced significant disruptions on Wednesday, with many being stranded or forced to walk long distances due to worsening fuel queues amid ongoing scarcity. A limited number of commercial motorists operated, with many expressing frustration over the steep fuel prices, which come just weeks after nationwide hardship protests.
In a report,Hammed Fashola, the National Vice President of the Independent Petroleum Marketers Association of Nigeria, confirmed that the NNPC ceased fuel sales to independent marketers on Tuesday, coinciding with a price increase to N855 per litre and above at its retail outlets nationwide.
Independent marketers have been selling petrol for as high as N1,200 and N1,300 per litre in certain states following the recent price increase implemented by the NNPC.
Hammed Fashola raised concerns about the NNPC’s decision to suspend fuel sales to independent marketers without any prior official notification, especially considering that many marketers had already paid for their products over two months ago.
When asked about reports that numerous independent marketers had not been visiting the depot to collect fuel, Fashola replied, “What are they going there to do? They have stopped our loading. All the tickets we have with NNPC are not being processed; everything has been put on hold.”
Reports indicate that the NNPC typically prioritizes major marketers when it comes to fuel distribution. As a result, members of the Independent Petroleum Marketers Association of Nigeria (IPMAN) have turned to private depot owners for their supply needs. However, these private depots charge higher prices, creating a significant disparity between the rates offered by major marketers and those available to independent marketers.
Commenting on the upcoming fuel supply from the Dangote refinery, which is anticipated to become available at the pumps soon, Fashola stated that marketers would keep a close watch on the situation until Friday.
“We are watching the development. We are monitoring it; we will wait, maybe by Friday we will know where we are going by the time the Federal Government makes a pronouncement as regards the price. There is no official communication yet.”
The IPMAN official noted that each filling station sets its own prices, as the NNPC is unable to regulate prices for other operators in the sector. He emphasized that the new price announced by the state-owned company applies solely to NNPC retail outlets.
Fashola expressed optimism that the new arrangement would help bridge the price gap between major and independent marketers. He reiterated that, at N855 per litre, the NNPC is still subsidizing petrol prices.
He stated that the association was awaiting further details regarding the arrangement between Dangote and the government concerning the supply of PMS, particularly in light of Aliko Dangote’s announcement that the NNPC would be responsible for setting the price.
Numerous filling stations took advantage of the situation to exploit customers desperately seeking petrol for their vehicles, power generators, and other machinery. In Lagos and along the Lagos-Ibadan Expressway, some stations were selling petrol for between N900 and N1,200 per litre as fuel queues continued to worsen across Nigeria’s commercial capital.
Residents in Ogun border communities reported purchasing petrol from black marketers at prices as high as N1,600 per litre, claiming that official petrol supply had been prohibited in their areas.
Read AlsoNew minimum wage: NYSC DG promises increased allowance for corp members
Despite the NNPC denying any order for a price increase on Tuesday, all its retail stations have adjusted their prices accordingly, leaving Nigerians uncertain about whom to trust.
Commuters found themselves stranded due to the limited number of commercial buses operating, as drivers were only transporting passengers willing to pay higher fares, attributing the fare hikes to the escalating cost of fuel.
