The fuel scarcity currently being experienced in
some states in the country is as a result of the apprehension of fuel marketers
over subsidy payment, investigation has revealed.
It was learnt over the weekend that marketers
resorted to hoarding fuel sequel to their fear that they might not be paid
their subsidies on imported fuel and, as a result, decided to create the
scarcity as a way of forcing the government to speed up the process of
effecting payment of the subsidy.
It was also gathered that the marketers could be
creating the scarcity in order to compel the government to pay them the losses
they incurred when the government reduced the pump price of petrol from N97 per
litre to N87 per litre.
A top Nigerian National Petroleum Corporation
(NNPC) said on Sunday that the corporation, which is responsible for about 50
per cent of the fuel supply in the country, was living up to its expectation,
adding that the scarcity being experienced was a result of marketers who are hoarding
the products.
The official, however, said that NNPC would step up
its distribution of the products to cushion the effect on motorists, adding
that there should be remarkable improvement by mid-week.
Last week, Major Oil Marketers of Nigeria (MOMAN)
had appealed to the federal government to pay the N250billion subsidy owed the
marketers in order to ensure sustainable supply of petroleum products.
Another issue raised by the association through its
Executive Secretary, Obafemi Olawore, was the need for the government to
increase the marketers’ profit margin.
According to Olawore, contrary to the insinuations
in some quarters, MOMAN was not opposed to the reduction of pump price to N87
per litre “but government should also increase marketers’ margin of petroleum
product.”
He added that marketers had been having the same
margin since 2007, which was affecting the profitability of their business.
The MOMAN Executive Secretary had called on the
Petroleum Product Pricing Regulatory Agency (PPPRA) and other government
agencies to take stock of products in their tanks before the change in pump
price of petrol to ensure adequate refund to the marketers.
He had hinted that unless the PPPRA and others
expedited action on coming to terms with marketers concerning the quantity of
products in their tanks before the pump price change, it might be impossible
for marketers to load new products.
Olawore, however, said that “The Minister of
Finance, Dr. Ngozi Okonjo-Iweala, has given a schedule of payment, which is
between now and March, and this has been agreed to by us. We expect that all
parties will keep their own sides of the agreement.
“There was a drop in fuel supply in the country,
but the good news is that we met with the Minister of Finance and we have been
promised and assured that our money will be ready between now and the end of
March.
“We have agreed with the payment schedule. We
believe her; the fuel supply situation, which was low before, will pick up. If
any tightness in the purchase of fuel was experienced before now, it was just
temporal. Products will be made available and we are going to play our part.”
Premium Motor Spirit was sold for between N87 and
N110 per litre as scarcity of petrol bit harder in Lagos, Ogun and environs on
Sunday.
When the Nigerian Tribune went round the metropolis
on Sunday, it was discovered that most filling stations were under lock and key
while few were actually dispensing to motorists who desperately queued for
hours to get petrol.
An independent marketer, Al-Marouf petroleum
situated at Ile-Epo along Lagos-Abeokuta Expressway was selling at N90 as at
Friday, and later adjusted the pump price to N110 per litre on Sunday.
However, MRS filling station at Ile-Zik, on the
Lagos-Abeokuta Expressway, was selling at N87 per litre; Total filling station
at Mobolaji Bank Anthony way, beside Sheraton Hotel, Lagos, was dispensing at
N87 per litre as well.
The same price was applicable at Mobil filling
stations, Oando filling stations and Vamakko filling station at Shasha area of
Lagos.
Most Conoil stations were shut on Sunday, while
World Oil Petroleum, on the Lagos-Ibadan Expressway was selling to motorists at
N87 per litre.
Scarcity of fuel in Abuja, which commenced at the
weekend, persisted till Sunday.
The situation has also caused significant increase
in transport fare, with commercial drivers capitalising on the situation to
extort passengers, checks revealed.
The situation at some filling stations in the
territory and witnessed long queues with motorists expressing frustration at
the situation.
The queues persisted at the NNPC mega filling
station located on the Kubwa Expressway, as well as NIPCO filling station
located adjacent Kubwa second gate.
Stations like Oando, Mobil, Texaco and Mamu located
at the axis shut their doors against customers.
Also at Berger junction area, stations like Texaco
and Oando were not selling the products when the Nigerian Tribune visited.
Some motorists who spoke on the situation expressed
frustration and anger, wondering why government could not intervene to ensure
owners of the station opened their stations to customers.
They wondered why the country, which is a major oil
producing state, could not boast of sufficient product as well as uninterrupted
access to its citizens.
Some passengers also expressed sadness that
transport fare in the territory had soared.
Kingsley Ugwu, who spoke with the Nigerian Tribune,
lamented that Abuja was always worst hit whenever there was such case of
scarcity.
The price of petrol varied in Ibadan and other
parts of Oyo State, as it was sold between N90 and N100 per litre.
Most of the filling stations visited by the
Nigerian Tribune in Ibadan over the weekend sold for N90, N95 and N100 per
litre, while some were still selling at the normal pump price of N87 per litre.
Those selling above N87 gave the excuse that they bought the product more than
the pump price right from the depot.
There were queues at filling stations where petrol
was sold for N87 per litre, while limited queues were recorded where it was
sold above the pump price. Some independent marketers did not bother to buy and
sell the product, on the premise that they were not ready to sell above the
pump price.
Some of the marketers, however, expressed optimism
that normalcy will return this week, as a result of NNPC’s decision over the
weekend to inject 688 million litres of petrol into circulation.
Meanwhile, the fuel scarcity has been attributed to
75 per cent cut in supply from the NNPC.
Confirming this to the Nigerian Tribune on phone,
the Chairman Independent Petroleum Marketers Association of Nigeria (IPMAN),
Ibadan Depot, which covers Oyo and Osun states, Mr Kunle Busari, said: “The
supply is not enough. There is 75 per cent cut in the supply from NNPC. Only
major marketers have adequate supply due to the fact that they have
installations in Lagos and they are also importers of petroleum products.
Independent marketers rely solely on supply from NNPC.”
Scarcity of petrol seems to be hitting harder in
Akure, Ondo State capital, and its environs with heavy queues around most
filling stations that opened for business.
Across the capital city, there were queues in most
of the filling stations while most of the stations which opened were not
selling to customers, claiming shortage and scarcity of the petroleum products.
Others were selling above the normal N87 pump price and it was same story from
Owo to Akure and Igbaraoke, the boundary town with Osun State.
However, investigation revealed that the PMS was
sold for between N100 and N120 per litre by some independent marketers, while a
litre was sold for between N120 and N150 at the black market.
Our correspondent observed that the NNPC stations
located at Alagbaka and Adegbola areas of the town were filled with motorists
struggling to buy fuel with queue hindering free flow of vehicles on the ever
busy road.
In Ado Ekiti, the Ekiti State capital, the fuel
situation has improved when compared to the situation of Thursday, Friday and
Saturday.
A move around the town showed that more petrol stations
opened for business and have the commodity for sale, when compared to the very
few of them that opened for business before the weekend.
However, some of the residents of the town said the
lull at the petrol stations was as a result of the weekend, and claimed that
“when workers resume on Monday (today), queues may return and expose the true
situation.”
The petrol station managers declined comment on the
fuel situation, with one of them who chose to remain anonymous, saying “you can
see we are selling fuel and there is no problem.”
He did not respond when asked how much the station
was selling the commodity, saying “the price is on the pump.”
Some of the stations were selling the commodity at
N100 per litre on Friday, after many of them were closed late on Thursday, but
their meters still read N87 as the price.
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