DSS, NMDRA, NNPC Go After Marketers Hoarding Petroleum Products

The Department of State Services, the Nigeria Midstream and Downstream Petroleum Regulatory Authority and the Nigerian National Petroleum Company Ltd have begun a manhunt for oil marketers that are hoarding petroleum products to cause scarcity in the country.

The move, according to findings by THE WHISTLER is aimed at ensuring that the lingering problem of scarcity of petroleum products is brought to an end.

Top government officials with knowledge of the operation confided the development to THE WHISTLER on Friday in Abuja.

The fuel queues in Abuja grew longer on Thursday and Friday, as many retail outlets belonging to independent marketers were shut, while only stations belonging to the Nigerian National Petroleum Company Limited and major marketers dispensed Premium Motor Spirit.

The very few outlets that dispensed products were greeted with massive queues of motorists who spent hours waiting to buy petrol.

But findings revealed on Friday that the NNPC, NMDPRA and other stakeholders have started the implementation of measures aimed at resolving the scarcity.

One of the measure is the resolution of the pricing to allow full cost recovery.

In line with this, the NMDPRA had approved an upward review of N10 on the retail price of petrol to cushion the negative impact of high operating cost on the availability of Premium Motor Spirit across the country,

With the upward review, the price of Premium Motor Spirit will now be raised from the current range of between N175 and N180 per liter to about N185 and N190 per liter.

Marketers would also be able to recover cost in cities if they sell at regulated prices in view of the high procurement prices from depots other than NNPC depots

THE WHISTLER had reported that the increase is to compensate for the current market realities associated with escalating foreign exchange and high lightering charges such as cost of chartering shuttle vessels for discharge of PMS.

Also, it was gathered that the directive issued by Lagos State Government to regulate selling hours would soon be lifted.

Similarly, while the issue of panic buying persisted, steps are being taken to ensure the optimisation of loading of petroleum products across the depots.

Meanwhile, the Deputy National President of the Independent Petroleum Marketers Association of Nigeria, Zahra Mustapha, said on Friday while speaking during an interview on Channels TV’s Sunrise Daily explained that the cost of bringing the products to the public is not going to be achievable at the former price.

He said, “With all sense of justification, I believe the regulatory body agreed to raise it up to the new amount.

“The price was not done to only appease the marketers but to ensure that the supply chain is being sustained, because the marketers are also in business and you can’t lift a product, resell it and you’re not making any returns on it, I don’t think anybody will continue to do that.”
 

ENDS