Petrol marketers have attributed the recent petrol scarcity in Nigeria to supply challenges faced by the Nigerian National Petroleum Company (NNPC) Limited, the sole importer of the premium commodity. This situation has led marketers to rely on depot owners to source petrol for their retail outlets, resulting in a “slight” increase in prices nationwide.....KINDLY READ THE FULL STORY HERE▶
The National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, discussed the issue during Tuesday’s episode of Channels Television’s The Morning Brief breakfast programme.
The scarcity, which began recently, has been exacerbated by adverse weather conditions and flooding, according to the state-managed NNPC.
Long queues at filling stations across the country have caused significant traffic disruptions and stranded thousands of people at bus stops, with transport fares doubling.
In Lagos, NNPC filling stations are selling petrol at about ₦570, while independent marketers have increased their prices from around ₦615 to over ₦650.
Prices are even higher in Abuja and other states.
Gillis-Harry confirmed that although the NNPC has not changed its price, the lack of direct supply from the NNPC forces marketers to source gasoline from depots, leading to price variations.
He mentioned that the NNPC is upgrading its platform, which has contributed to the supply challenges.
However, he emphasised that the NNPC should have made alternative arrangements to ensure a steady supply of petroleum products.
“If there is anybody to blame, it should be blamed on the source of the products because retailers only sell what we are given; we do not import or refine,” Gillis-Harry stated.
He also highlighted the increasing complexity and cost of logistics, particularly due to the scarcity and high cost of diesel used by trucks.
Gillis-Harry suggested that the government should subsidise the logistics costs for fuel distribution across Nigeria.
Denying allegations that petrol marketers are exploiting Nigerians by hiking prices, Gillis-Harry asserted that the highest cost of petrol should not exceed ₦680.
“I would expect that the highest price in petroleum where the depots operate—Lagos, Delta, Calabar, and Rivers State—should be anything between ₦620 and ₦680 maximum.
“And when you add all the transportation issues that should take it from state to state, you can then look at the incremental additions that can come in and make us not to be selling at ₦1,000,” he said.
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