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Fuel scarcity: Marketers give conditions to sell petrol at N145

Marketers give conditions to sell petrol at N145


The cost of petrol in the pricing template that is currently being reviewed will be determined by the rate of foreign exchange, oil marketers have said.

According to them, marketers will only import Premium Motor Spirit, popularly known as petrol, if the rate of forex is suitable enough to encourage the importation of the commodity, despite the ongoing review of template by the Federal Government.

On Friday, the Federal Government announced that it had commenced a review of the pricing template for petrol and insisted that the commodity would sell at N145 per litre.

However, oil marketers on Saturday, said the Federal Government could retain the cost of petrol at N145/litre after reviewing the pricing template, but outlined the conditions that will make this feasible for importers of petrol.

The National Vice President, Independent Petroleum Marketers Association of Nigeria, Abubakar Maigandi, told SUNDAY PUNCH that it was possible to review the pricing template for PMS and retain the cost of the commodity at N145/litre.

He said, “Yes, anything government says it wants to do on this issue can be considered possible because the minister had already outlined three conditions.

“The first condition has to do with regulation and the next is for the NNPC to sell at a given rate to marketers who will now add their margins, while the third is through forex (foreign exchange).

“So if the government can give forex to marketers, then automatically marketers can be able to sell at the rate of N145/litre.

“So whether the template is reviewed or not, one major factor is the issue of forex. Currently, the dollar is about N365 and if the government can make it available to marketers at a rate of about N250, then marketers will be able to sell the product at the rate of N145/litre when they import.”

The IPMAN official also stated it is expected that Nigeria’s refineries will start functioning properly in about 18 months based on what the petroleum minister said recently at the National Assembly.

Maigandi said, “We hope that in the next 18 months our refineries will be in order, because that is what the minister said recently and he (Kachikwu) also said we are expecting other refineries to come on stream, like the Dangote refinery, as well as other modular refineries.

“But the truth is that as it is now, marketers cannot import petrol because of the cost of the commodity in the international market and the high forex rate.

“So we are expecting government to tell which of the listed conditions it will adopt so that this fuel crisis will end once and for all.”

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Another oil marketer, however, wondered how the template would be reviewed to retain the cost of petrol at N145/litre, considering the price of the commodity in the international market.

This is coming as the Nigerian National Petroleum Corporation on Saturday stated that the pump price of petrol was N143/litre in NNPC retail outlets and N145/litre in other filling stations, while PMS ex-depot price of N133.28k per litre to marketers was still being maintained
Source: The Punch


We can no longer sell fuel at N145 per litre, marketers

Marketers insist petrol can’t sell for N145 per litre

Olalekan Adetayo, Abuja

Fuel marketers on Tuesday insisted that they could no longer import Premium Motor Spirit at a control price of N145 per litre.

They also said they were not responsible for the recent scarcity of the product witnessed across the country.

The Chairman of Depot and Petroleum Marketers Association of Nigeria, Dapo Abiodun, disclosed these to State House correspondents at the end of a meeting stakeholders in the oil industry had with Federal Government’s delegation led by the Chief of Staff to the President, Abba Kyari.

The meeting which was held at the Old Banquet Hall of the Presidential Villa, Abuja was also attended by the heads of the Department of State Services and the Nigeria Immigration Service as well as representatives of other paramilitary services.

Abiodun said neither the Nigerian National Petroleum Corporation nor the independent marketers could be blamed for the recent fuel scarcity.
Source: The Punch

Oil workers kick against plan to increase fuel price

​NUPENG, PENGASSAN oppose plan to hike price of fuel

By Adamu Abuh (Abuja) and Toyin Olasinde (Lagos) 

*No truth in the report, says NNPC, NPMC

Petroleum workers yesterday kicked against the plan by government to increase the pump price of Premium Motor Spirit (PMS), otherwise known as petrol.

The National Union of Petroleum and Natural Gas Workers (NUPENG) and the Petroleum and Natural Gas Senior Staff Association (PENGASSAN) otherwise known as NUPENGASSAN, made this known yesterday in their position papers to the Chairman, Ad-Hoc House of Representatives Committee on the Review of Pump Price of Premium Motor Spirit.

NUPENGASSAN maintained: “This is not the right time to review the pricing template of PMS due to certain reasons.”

NUPENGASSAN further said: “The recession is biting hard on all Nigerians. Any attempt to further review the template will further impoverish ordinary Nigerians, as the additional price will be transferred to the end users of the product.

However, the Group Managing Director of the Nigeria National Petroleum Company (NNPC), Dr. Maikanti Kacalla Baru dismissed reports of any upward review of the price of petrol.

His counterpart at the Nigeria Petroleum Marketing Company (NPMC), Mr. Farouk Ahmed also spoke in the same vein, saying his outfit can no longer worsen the rate of the average Nigerian with a fuel price increase.

Both spoke yesterday before the same ad hoc committee in Abuja.

Baru, who was represented by NNPC’s chief Executive Officer, Downstream, Henry Ikem-Obih, faulted the notions that NNPC stopped supply of fuel to marketers since last week. He said the coastal price of the product to marketers still stood at N123 per litre.

Ahmed, who assured that his outfit would ensure availability of fuel through its retail outlets, remarked that there was nothing his outfit could do to reduce the price of kerosene and diesel since the prices of the products have been deregulated.

He blamed foreign exchange problems for the high cost of the products. The NPMC chief expressed optimism that the involvement of more marketers and repair of pipelines remains the solution to the shortage of the products across the country.

Source: The Guardian