Fuel Price Hits N1,000 per Litre As Queue Returns To petrol Stations

Fuel Price Hits N1,000 per Litre As Queue Returns To Petrol Stations

 

 

The downstream sector of Nigeria’s petroleum industry faced deepening turmoil as Premium Motor Spirit (PMS) scarcity hit the Federal Capital Territory (FCT), Abuja, on a somber day.

 

This latest crisis unfolded just a day after the Nigerian National Petroleum Company Limited (NNPCL) firmly denied the reinstatement of subsidies on petrol, setting the stage for a series of disheartening events.

 

On this grim day, numerous filling stations remained locked, while those that dared to open their gates witnessed serpentine queues of anxious motorists desperately seeking to refuel their vehicles.

 

The scarcity of PMS loomed large, intensifying the woes of a populace already grappling with economic uncertainties.

 

As if to compound the problem, black market operators emerged from the shadows, reselling petrol in makeshift containers, demanding an exorbitant N1,000 per litre from desperate buyers.

 

This marked a disheartening turn of events, illustrating the dire straits the nation’s fuel sector finds itself in.

 

Moreover, the official pump prices soared as well. Independent retailers charged customers at rates as high as N625 per litre, while the NNPCL managed to dispense the precious fuel at a slightly lower rate of N613 per litre. These price hikes stood in stark contrast to President Bola Tinubu’s earlier assurances that there would be no further increases in petrol prices, despite the supposed deregulation of the downstream market.

 

With the crisis deepening, key industry players, including the National Association of Road Transport Owners (NARTO), Major Oil Marketers Association of Nigeria (MOMAN), Depot and Petroleum Marketers Association of Nigeria (DAPPMAN), and other stakeholders, expressed growing concerns about the implications of deregulation on their businesses.

 

They voiced a compelling need for the Federal Government to provide foreign exchange at a subsidized rate, as the current pump prices no longer aligned with the market realities they faced.

 

The situation has been further exacerbated by the NNPCL’s dominance in the industry due to its ability to access foreign exchange at the Importers and Exporters (I&E) window, an advantage that has eluded many other market participants.

 

To address these issues, the marketers have strongly urged the government to curtail the dollarization of local activities, particularly as implemented by the Nigerian Maritime Administration and Safety Agency (NIMASA) and the Nigerian Ports Authority (NPA).

 

The beleaguered state of Nigeria’s petrol industry presents a significant challenge to both the government and the nation’s populace, who continue to grapple with the consequences of rising fuel prices and shortages.

 

As these issues persist, the hope for a more stable and affordable fuel market remains elusive.