The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that the ongoing fuel scarcity affecting various states across Nigeria is expected to persist for at least two more weeks. Despite assurances from the Nigerian National Petroleum Company Limited (NNPCL) about sufficient fuel stocks, IPMAN points to severe importation challenges and delays in license renewals as primary causes of the shortage.
Chinedu Ukadike, the Public Relations Officer of IPMAN, attributed the scarcity to logistical setbacks and a slow pace in the renewal of marketers’ licenses by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). With only 1,050 out of 15,000 marketers having their licenses renewed, many stations are unable to procure and dispense fuel.
Conflicting Reports and Market Challenges
NNPCL insists that there is an adequate supply of fuel and that the scarcity is merely due to logistical issues that have been resolved. Olufemi Soneye, Chief Corporate Communications Officer of NNPC Ltd, reassured the public, urging them to avoid panic buying as the situation is under control. He stated that fuel prices would remain stable, and that the logistics issues causing supply tightness had been addressed.
However, on the ground, the reality differs significantly. Long queues at petrol stations and rampant closures of outlets without stock paint a dire picture. In Lagos and other affected states, fuel prices have skyrocketed, with rates reaching as high as N900 per liter on the black market. This drastic price increase has forced many to resort to black market vendors who offer fuel at exorbitant prices.
Economic and Social Impact
The scarcity has severely impacted daily life and the economy, particularly affecting transport fares and the movement of goods and people. Transport fares have doubled in many areas, placing additional financial strain on commuters. In Kano, the situation has worsened, with most petrol stations shut down and prices soaring to between N850 and N900 per liter. Kaduna experiences similar challenges, with petrol selling for up to N1,200 per liter amid severe shortages.
Calls for Government Intervention
Stakeholders, including transport operators and motorists, have expressed deep concern over the ongoing crisis, calling for urgent government action to stabilize fuel supply and prices. Nonso Ubajaka, President of the Association of Luxury Bus Owners of Nigeria, highlighted the adverse effects on transportation and logistics, noting significant decreases in passenger numbers and business viability.
The Nigerian government, NNPCL, and regulatory bodies are under pressure to address these challenges promptly to mitigate the impact on the economy and alleviate the hardships faced by millions of Nigerians. As the situation develops, all eyes will be on the measures taken to ensure the restoration of normalcy in the fuel supply chain.
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