Why prices of petrol increased, queues returned – NNPCL, marketers explains | Read Details
The return of queues and increase in the price of petrol across the nation, has been blamed on shortage of supply from the part of the sole importer of the premium commodity, the Nigerian National Petroleum Company (NNPC) Limited.
Speaking on Tuesday, the National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said the marketers resorted to buying from depot owners which warranted the “slight” increment in the prices of petrol.
“If we do not get the product directly from NNPC, we will get it from depots struggling to do everything to get products out in the market, so the prices will not be the same” Harry explained.
He said the NNPC was carrying out an upgrade on its platform and that should be concluded as soon as possible “but that did not stop NNPC from making alternative arrangements to make sure we have petroleum products. As far as we know, the challenges are all supply-based”
“If there is anybody to be blamed; it should be blamed from the source of the products because retailers only sell what we are given, we do not import or refine,” he added.
Gillis-Harry said the cost of logistics was getting more complex daily because diesel used by trucks has also become scarce and expensive. He said the prices of logistics for fuel distribution across Nigeria should be subsidised by the government.
However, the NNPC blamed the shortage on “adverse weather conditions” and “flooding”.
The NNPC in a statement said;
“The NNPC Ltd wishes to state that the fuel queues seen in the FCT and some parts of the country, were as a result of disruption of ship-to-ship (STS) transfer of Premium Motor Spirit (PMS), also known as petrol, between Mother Vessels and Daughter Vessels resulting from recent thunderstorm.
The adverse weather condition has also affected berthing at jetties, truck load-outs and transportation of products to filling stations, causing a disruption in station supply logistics.
The NNPC Ltd also states that due to flammability of petroleum products and in compliance with the Nigerian Meteorological Agency (NIMET) regulations, it was impossible to load petrol during rainstorms and lightning.
Adherence to these regulations is mandatory as any deviation could pose severe danger to the trucks, filling stations and human lives.
Similarly, the development was compounded by consequential flooding of truck routes which has constrained movement of PMS from the coastal corridors to the Federal Capital, Abuja.
The NNPC Ltd is working with relevant stakeholders to resolve the logistics challenges and restore seamless supply of petrol to affected areas.
Already, loading has commenced in areas where these challenges have subsided, and we are hoping the situation will continue to improve in the coming days and full normalcy would be restored.
The NNPC also calls on motorists to avoid panic buying and hoarding of petroleum products.”
Olufemi Soneye
Chief Corporate Communications Officer
NNPC Ltd.
Abuja.
