Marketers Give Conditions to Slash Cost of Fuel as Scarcity Heightens
- The petroleum marketers are requesting that the NNPC increase fuel allocation to its members
- This is amid the fuel shortage across the country, which has caused petrol prices to increase
- He claims that IPMAN members purchase fuel from third parties at exorbitant prices and sell at a higher price
Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market.
In an attempt to lower costs and wait times at filling stations, the Nigerian National Petroleum Company (NNPC) Limited is being asked for 50% petroleum allocation to the Independent Petroleum Marketers Association of Nigeria (IPMAN).
Source: UGC
In an interview with NAN on Friday, The Cable reported that IPMAN national vice-president Hammed Fasola stated that insufficient allocation caused the fuel shortage.
Fasola noted that if IPMAN members obtained their petrol directly from NNPC, Nigerians could afford the price per litre and filling station lines would be shorter.
According to him, IPMAN members buy gasoline at inflated costs from third parties, which allows them to sell it for more money.
The vice president added that the association had requested that the NNPC raise the gasoline allotment to 50%, as it was previously.
“It is not that we don’t get at all; we are getting a little, and when you compare our number in this sector, our members own 80% of the filling stations. In the past, it was not like this.
“We had a share of 50%, but recently, things have changed, and we are trying to convince the authorities, especially the NNPC, that they have to correct that abnormality. We are still trying to address the issue. This is why the independent marketers are selling at a higher price, which is not good for our image” Fasola said.
Marketers buy from private depot
According to Fasola, its members are compelled to purchase gasoline from owners of private depots, which they find intolerable.
He said:
“We go there sometimes, and they will sell at N720 per litre, and in their own stations, they are selling N620 or N650 per litre; you can see the disparity and the public will not understand.
“This is why we are trying to educate the people that we are not shrew business people who want to milk Nigerians.
“Some filling stations have closed for business because they can’t cope – this is the situation we found ourselves in; until the government corrects it and everybody is on the same level.”
To help the public and merchants alike, he pleaded with NNPC to address the allocation problems and enable IPMAN members to access petroleum directly and equitably.
Meanwhile, citizens across the country have lamented increase in the cost of petrol across the country.
Sani Awal told Legit.ng how he had to spend almost two times the usual amount spent on fuel during the week.
He said,
"Just this week alone, I have spent a lot on fuel. I hope that the coming week will be better because of the scarcity which led to spkike in the product."
Sofia Ahmed asked,
"They said that the weather caused disruption in fuel supply. Does that mean we will continue to experience scarcity as we atre now in rainny season?"
Is there a rise in petrol prices?
Regarding the alleged rise in petrol prices, Fasola called it "fake news," adding that the organisation has not been notified in writing of any such change.
Recall that petrol lines reopened at filling stations in Lagos and the Federal Capital Territory (FCT) on July 8.
Speaking about the circumstance, Clement Isong, executive secretary of the Major Energies Marketers Association of Nigeria (MEMAN), stated that one of the contributing factors to the scenario was the delay in loading petroleum goods at depots.
According to NNPC, the primary reason for the fuel lines in the Federal Capital Territory is the disruption of the ship-to-ship (STS) fuel transfer between mother vessels and daughter vessels.
Filling stations sell fuel
Legit.ng reported that Nigerians were expressing outrage as the price of petrol soared in Abuja and other parts of the country.
Nigerians voiced their frustrations, describing the price hike as unbearable as it has escalated their cost of living.
Filling stations reportedly increased the pump price of petrol to N900/litre, particularly in Abuja, Nasarawa and Niger.
Proofreading by Nkem Ikeke, journalist and copy editor at Legit.ng.
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Source: Legit.ng
