…Say NNPC has enough fuel in stock
The sudden resurgence of long queues at filling stations across the country is alarming and really call for quick interventions considering the level of frustrations in the country at moment.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) says the resurgence of fuel scarcity was in connection with the Dollar scarcity.
IPMAN President, Chinedu Okoronkwo, while speaking on Tuesday on Channels Television’s Politics on Tuesday explained that the reason for the seeming scarcity of petroleum products had to do with distribution challenges.
He added that most of the depot of NNPC are not working because of vandalism.
Okoronkwo further said the Nigerian National Petroleum Corporation (NNPC) has a sufficient supply of petroleum products.
According to him, petroleum marketers are expected to get the products from tank farm owners at N148.19 per litre. However, he said, they now receive the products at N185-N210.
“Their excuse will be that they hired vessels to take it from the mother vessel, pay all these charges, and some of these things are dollarised, so you have no choice. I think we can come together as a country to see how we put some of these dollarisation things, use naira and pay some of these things,” Okoronkwo said.
“Those who have the muscle and everything to buy will buy.This product is there. It’s because of what I’ve just said. NNPC has enough stock but it is because of this distribution something; that is where we need to do something.
Speaking further,he said”IPMAN has about five zones. You can designate some of these products in various zones so that their accessibility will still be at a cost that is not even that big. We are ready to chip in small thing to cushion some of these things so that we can still remain within the margin. I think that is the way to go.”
“The distribution where the Independent Marketers that control 80% of this business should be given their product in their own tank. NNPC can designate each zone. They can say maybe NIPCO in Lagos, those Western Zone should go there and load and the same as those in Eastern zone to load in Porthacourt.
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Asked whether he’s aware that the product is being for N500 per liter in some parts of the country,Okoronkwo said he heard similar thing is happening in Calabar but yet to confirm from his member in the region.
In his own reaction, former President of the Trade Union Congress (TUC), Peter Esele attributed the long queues to an ongoing issue of distribution and pricing.
Esele noted that though NNPC has enough products on the ground, tank owners have to use “daughter vessels” to get the refined products from the sea to their tanks, a task that supposedly leads to rising costs.
“Hiring a vessel is not in naira; it’s done in dollars. These tank farm owners need to source for those dollars in the parallel market. And you and I know what has been happening in the parallel market in the last month where you’ve been having price fluctuations.
“What you have is the tank farm owners are now saying they need to get value for their money. They can’t now go ahead to be selling at a loss.
“So, the minimum for which you can get a product from a tank farm now is between N200 and N215. If somebody wants to sell a product between N200 and N215, how will the retailers now sell at N175? That’s a fundamental challenge,” he said.
“The retailers don’t have anything to sell and tank owners too need to equip their vessels. So,what we have now is when “two elephants fight,the grass suffers.”
Asked to name those who are responsible for the suffering of the masses,he said government’s policy was one of the reasons responsible for the current situation in the country.
“First,it has to do with the Policy of the government. If government say they will pay subsidy,then they need to continue doing that and if they say they are not paying subsidy, government needs to come out and tell Nigerians the new price.
“NNPC will not do anything contrary to government’s wish. At the moment NNPC itself is bleeding,”he added