N1,000 Per Litre: FG Speaks On Current Petrol Prices Per litre, Sends Warning
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Many filling stations operated by independent oil marketers have now fixed the pump prices of Premium Motor Spirit, popularly called petrol, at between N900 and N1,000/litre.…..For More READ THE FULL ARTICLE HERE ▶▶
Owners of these stations seem not to care about the cost of the product at retail outlets operated by the Nigerian National Petroleum Company. Petrol prices at NNPC stations range from N568 to N617/litre. This often leads to queues at the stations.
As Nigerians raise concerns about the high cost of the commodity by independent petrol dealers, the Federal Government has also vowed to shut down filling stations that will be caught dispensing PMS at exorbitant rates.
It declared this through the Nigerian Midstream and Downstream Petroleum Regulatory Authority, stressing that it was not in the interest of Nigerians for marketers to profiteer in the sales of PMS.
Independent oil marketers claimed that they’ve been buying petrol from private depot owners for as high as N850/litre since last week and that this was why the pump prices were high.
However, the spokesperson of the NMDPRA, George Ene-Ita, argued that the petrol price reports that the regulator gets from its officials at the depots were different.
“Our depot people see a different price because we ask them to publish the prices at the depots every day and it is not N850/litre. Our field agents at the depots give us a different figure,” he said.
When told that some filling stations operated by independent marketers in Lagos and many other states dispense their products for as high as N900 and N1,000/litre, the NMDPRA official said such outlets would be brought to book if apprehended.
“If we get these outlets, all we do is to try and shut them down, because NNPC is the company that brings in the product and they tell us how much they sell as their ex-depot prices to off-takers. And we sit down together and work out the margins and there is no way it should be that high,” Ene-Ita declared.
The NMDPRA official further noted that there was no way the agency could reconcile the high cost of petrol sold by independent marketers.
“Do you have these stations displaying the high prices on their pumps?” Ene-Ita asked.…..For More READ THE FULL ARTICLE HERE ▶▶
Our correspondent responded in the affirmative, and the regulatory agency’s official declared again, “Once we get these outlets, we are going to shut them down. NNPC tells us how much they sell and there is no way the pump prices should be that high. We don’t expect it to be higher than N650/litre.”
The NMDPRA spokesperson warned marketers involved in profiteering to desist from the act, stressing that the agency would not fold its hands and allow operators to cheat Nigerians.
Findings by our correspondents show that marketers are making more profit as the fuel crisis rocking the country has refused to end.
The PUNCH reliably gathered that owners of filling stations have seized the opportunity to add to their margins as regulators could not enforce any particular price.
Due to the low supply from NNPC, private depot owners were said to have hiked the price of petrol as high as N850/litre
The depots sell to independent marketers, who could not get the product directly from the NNPC at about N570/litre like the major marketers.
In return, the independent marketers sell a litre of petrol to motorists and other Nigerians at prices ranging from N850 to N900 or even N1,000 in some remote areas.
“That is why no marketer is complaining of low margins again. This is the time for them to make money. The only issue is that getting the product is not that easy,” a source told The PUNCH.
“The price is high because the supply is low. It is a matter of demand and supply. The price will continue to be up, at least for now. It Is an opportunity for the filling stations to add to their margins. This is an abnormal situation. Normalcy is restored, and the regulatory authority can monitor. Can the regulator monitor anybody now?
“Imagine when you pay about N30m to NNPC to order petrol and it takes about one month to get the product. Assuming you take N30m from a bank with this interest rate, is that not a problem?’ a marketer stated.…..For More READ THE FULL ARTICLE HERE ▶▶
