Downstream operators have urged President Bola Tinubu to show more than a passing interest in the operations of the Nigerian National Petroleum Company Limited (NNPCL), the Depots and Petroleum Products Marketers Association of Nigeria (DAPPMA), and the regulatory body, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
This is in light of the shortage of fuel at retail outlets across the nation and the agitated Nigerians’ demand for a downward review of prices.
A few of the marketers claimed that NNPC, the owners of the tank farms, and the NMDPRA had made deals that would hinder the products’ availability and easy delivery to retail locations.
Tribune reported that with NNPCL as the only importer of the products, the marketers who yearned to remain anonymous said that the Independent Marketers, who have the biggest retail locations in the nation, are now at the mercy of the DAPPMA (the proprietors of the tank farms).
Investigation revealed that the NNPCL, the sole importer gives the Premium Motor Spirit (petrol) to the private depot owners operating under the aegis of DAPPMA at Ex- depot price of N556.5 per litre.
Further checks however revealed that the tank farm owners sell to marketers at N700 to N740.00, leaving them with little or no marginal profit to sell at stations.
Recalling the previous experience in the sector when the NNPCL used to release petroleum products allocation to tank farm owners for distribution to marketers with a benchmark on price, the industry operators called on the federal government to sanitize the distribution chain by prevailing on the NNPCL and its regulatory arm, the NMDPRA to insist on an Ex- depot price for the tank farm owners.
They said,
In addition to expressing optimism that providing the Dangote Refinery with the required incentives would significantly alleviate the shortage of products, the marketers urged the federal government to force the four refineries to cease product importation.
Nigerians who spoke to TimesNow.com.ng said that the increasing cost of transaportation is begining to affect them due to fuel cost hike.”
Caleb Ifeoluwa said,
Chris Uloma said,
TimesNow.com.ng reported that fuel marketers in Nigeria have hailed the new directive by President Bola Tinubu to the Nigerian National Petroleum Company Limited (NNPC) to sell crude oil to Dangote Refinery and other refineries in naira instead of dollars.
The marketers are optimistic that the decision would lower fuel prices nationwide, benefiting consumers and the economy.
TimesNow.com.ng reported that the Federal Executive Council (FEC) adopted the crude sale in naira decision starting with Dangote Refinery.
Source: TimesNow.com.ng
