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Supply Glitch Worsens Fuel Scarcity Nationwide

by Chika Izuora, Sunday Isuwa and Aza Msue
1 year ago
in Cover Stories
Fuel Scarcity
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Key petroleum marketers associations have attributed inability of marketers to access products from the Nigerian National Petroleum Company Limited (NNPCL) as compounding the build-up of queues at petrol stations.

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Although the NNPCL last Thursday attributed the situation to tightness in supply which it claimed had been resolved, marketers have refuted this, saying there is insufficient supply.

An impeccable source within the Independent Petroleum Marketers Association of Nigeria (IPMAN) told our correspondent that for two weeks many members of the association had placed orders but were yet to get supplies.

The NNPCL had last week, in the statement by its chief corporate communications officer, Olufemi. Soneye, stated that the tightness in the supply of petrol currently being experienced in some areas across the country was as a result of logistics issues and that they had been resolved.

Soneye reiterated that the prices of petroleum products were not being changed, and urged Nigerians to avoid panic buying as there is a sufficiency of products in the country.

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However, the assurances did not change anything as the situation in Lagos worsened yesterday with many stations belonging to mostly independent marketers shut.

A few of such outlets operated by the Major Energy Marketers Association of Nigeria (MEMAN) had to contend with an unprecedented long queue of motorists.

Corroborating our IPMAN source, the national president of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, told LEADERSHIP that accessing products from the NNPCL is now difficult.

Gillis-Harry said the association’s Lagos branch chairman had informed him that members’ outlets were dry and locked because they could not access products.

“Yes the NNPCL has assured that there is availability of products but they should match words with action. If they should tell us locations where we can evacuate petrol or designated selling points, our members are ready to take products and sell to Nigerians. I can confirm to you that there is supply glitch; we don’t have access to petrol and that’s why we are not selling,” he said.

The Board of Trustees (BoT) treasurer, IPMAN, Elder Chinedu Okoronkwo, in his reaction, said there is no need to engage in panic buying because NNPCL had assured that petrol is available.

Okoronkwo, however, said speculations of possible deployment of Dangote petrol may have further created such scarcity.

“I don’t know if that is why marketers are not taking volumes because Dangote petrol would certainly provide availability and sustainability. There is every possibility that it will take away some costs and contract prices, but until that is achieved, so far I cannot point to any single cause for this situation,” he said.

Meanwhile, petrol scarcity exacerbated early Monday morning in Lagos, causing serious traffic and upward fare charges by transporters.

Our correspondent observed that in Lagos, fuel stations were selling petrol for as high as N700 and N850 per litre at different locations, with the outskirts most hit by the scarcity.

In many locations, black marketers sold a litre of petrol for as much as N900 and above a litre.

Most filling stations closed down while those operating often refused to serve individual customers and motorists.

Others sold at inflated prices, reaching as high as N850 and N900 per litre.

 

Fuel Scarcity Grounds Businesses In Kaduna

Fuel scarcity grounded business activities in Kaduna metropolis and environs as most business owners witnessed low patronage.

Our correspondent who monitored the situation in Kaduna metropolis reports that fuel is now sold at N1,000 per litre at few fuel stations with the product.

It was observed that a litre of fuel was sold at N1,500 at the black market, and this forced many car owners to park their cars at home and patronise public transport.

Most filling stations were shut; few stations selling the products witnessed long queues.

One of the Kaduna residents, Festus Akpan, who boarded public transport to go to work said: “I parked my car at home because for two days now I don’t get fuel. The fuel situation is terrible. The government should look into it as quickly as possible because people are suffering.”

A commercial bus driver who called himself Sami explained why there was a hike in transport fare.

”From Sabon Tasha to Central Market is now N400 per passenger against N250. We are buying a litre of fuel at black market for N1,500,” he said.

 

If Crisis Persists, We’ll Intervene – Senate

The Senate has said it would intervene if the current fuel crisis persisted beyond the explanation of the NNPCL.

According to the Senate, even though it suspended sitting for recess by members, relevant committees are carrying out their oversight functions.

It noted that Nigerians are going through hardship and difficulties in getting fuel at the filling stations at exorbitant prices.

Speaking with LEADERSHIP on the fuel crisis in some majors cities, the chairman, Senate Committee on Media and Public Affairs, Yemi Adaramodu, said the Senate would resume plenary and do the needful.

“Our relevant committees in the oil sector told us that the refineries are about 70 percent finished. The NNPC have spoken on the issue of the long queues being experienced. It’s not a serious problem.

“But if it persists, we will intervene. By the time we resume, it will be taken care of,” Adaramodu added.

 

 


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