Speculators Worsen Petrol Scarcity Nationwide, Amid Fears of Price Adjustment

•Desperate motorists spend nights at Abuja, Lagos, Kaduna filling stations 

• Situation critical in Ilorin, PMS sells for N2,000 per litre

•NNPC, marketers allegedly disagree on price adjustment 

•NNPCL: Available products exceeding 1.5bn litres, to last next 30 days

•Says some filling stations exploiting past supply hiccup for unwarranted gain 

•NMDPRA monitors retail outlets to enforce compliance

Emmanuel Addeh in Abuja, Peter Uzoho in Lagos, Hammed Shittu in Ilorin, John Shiklam in Kaduna and Blessing Ibunge in Port Harcourt

The current petrol scarcity in Abuja, Lagos, Ilorin, Kaduna and several other states in Nigeria worsened yesterday,  with motorists keeping vigil at the few filling stations that were open for business in most of the cities.

The development which commenced from Abuja and nearby northern states has now spread to other cities  and towns across  the country.

There were speculations that the situation was caused by a disagreement between the Nigerian National Petroleum Company Limited (NNPCL) and downstream players on price increment.

THISDAY gathered that petroleum products marketers were demanding for an upward pump price adjustment following the appreciation of the naira exchange rate against the dollar, a demand the NNPC allegedly objected to.

When contacted for reactions on the development, the Chief Corporate Communications Officer (CCCO) of NNPCL, Mr. Olufemi Soneye, told THISDAY in a text response that while the company was doing its best to ensure seamless supply into the market, some filling stations might be exploiting the recent supply hiccup for unwarranted gain.

THISDAY checks at the Wuse Zone 1, FCT, motorists were seen sleeping in their cars, as a number of the filling stations, including the NNPC Mega Station and the AP filling stations opposite it, were closed.

However, when the facilities opened, some of the fuel queues had extended over one kilometre, with drivers who could not wait in the lines for as long as five hours buying 10 litres of petrol at the black market rate of N12,000.

A number of the filling stations in Wuse 3, remained shut as the petrol supply crisis which began a few days ago, took a turn for the worse, distorting social and economic life in Abuja and environs and many other states.

Aside Abuja, Nasarawa, Niger, and other states close to the federal capital were affected by the petrol supply challenge, leaving many commuters stranded.

Motorists besieged the few filling stations, including NNPC, resulting in long queues on Obasanjo Way, Zone 1, Conoil, as well as Total filling stations opposite the NNPC headquarters in Abuja.

It was the same story at NNPC, Mabushi, Zuba, Niger State at AYM Shafa, NNPC outlet on Arab Road, Kubwa, Nyanya, Nasarawa State, among others. The situation was the same at stations owned by AA Rano, Mobil, NIPCO, and Ardova Plc.

While the NNPC Mega Station still sold petrol for N617 per litre, Eterna, in Wuse 2, for instance, dispensed at N695 as of Sunday morning, even as roadside black marketers were seen making brisk business.

The petrol scarcity also worsened in Ilorin and other parts of Kwara State. Residents of the state had been experiencing fuel scarcity for almost five days without an end in sight.

Already, a litre of petrol sold between N750 and N2,000 in the state, depending on location, THISDAY observed. The development led to rise in Okada fares across the state.

It was further learnt that in Kwara North senatorial district of the state, a litre of PMS sold between N2,000 and N2,500, with this seriously affecting the socio-economic life of people in the area.

Speaking on the development, the chairman of IPMAN in Kwara State, Abdulateef Abdulrauf, said, “We are not hoarding fuel and we appeal to the members of the public to bear with us for now since it is a temporary situation and by next month, things will return to normal situation.”

Also speaking on the matter, former Chairman of the Nigerian Electricity Regulatory Commission (NERC) and Arise Television analyst, Dr. Sam Amadi, said if the problem had been resolved it should not take this long to get back to normalcy.

Amadi said, “Even my driver spent almost the whole night at the filling station. The queue was so long, he couldn’t get fuel. This morning, we had to queue and it took about four hours. I walked round when I was doing my exercise and the stations were locked.

“Just look at the economic cost and social distortion. And what makes this even more pathetic is that this is not the era of rigid regulation of fuel price. So, you can’t say we are buying at N185 to N200. Now, it has gone to N600, N700, N800 and even N900.”

Also, in many filling stations across Lagos, motorists were subjected to many hours of long wait on queues either with their vehicles or Jerry cans without hope of getting the product.

THISDAY visited some filling stations at Maryland, along the Bank Anthony Way, Ikeja and observed that all the outlets were not open to customers as they had no product to sell, including the popular Northwest Filling station on that axis.

It was similar experience at Gbagada, along the Third Mainland Bridge, as all the filling stations there were not selling petrol.

The scarcity was also witnessed at Ikoyi, where only the NNPC mega filling station on Awolowo Road was selling to only customers that came with Jerrycans.

A commuter, who simply introduced herself as Bosede, told THISDAY that attendants at the NNPC mega station on Awolowo Road Ikoyi, were not selling to customers that came with vehicles.

She also alleged that the pump attendants were collecting N2000 from customers with Jerrycans before selling to them.

Similarly, across Ikeja Along, Airport Road, Inside Ajao, Oshodi Road, Ikotun, Ejigbo and Jakande, no filling station was selling petrol.

Also, at Igando, Isheri, Idimu Egbeda and Inyana Ipaja, all in Alimosho Local Government area of Lagos, most of the filling stations were shut as they had no product to sell.

According to one Mr. Tony, who lives at Igando, only NNPC was selling with long queues.

“Other filling stations are not selling, they said they don’t have petrol. The few ones that have are selling at high prices”, he said.

He revealed that apart from Lagos, no filling station was selling the product from Ore town in Ondo State, all the way to Ijebu-Ode, Shagamu Interchange down to Berger, aside one NNPC station.

For Mr. Chibuike Nnorom, a commercial motorcyclist popularly known as Okada rider, there was no fuel at the entire Ago-Okota-axis in Isolo.

It was the same scenario at some of the filling stations on Cele-Express such as Rainoil, Conoil, Petrocam and Emaded. No of them had petrol as at when THISDAY visited.

However, throughout Surulere and neighbouring cities, residents lamented the difficulty in getting petrol around the area.

In Kaduna, most filling stations in the metropolis were empty amid booming black markets, selling the product in jerrycans by road sides. Few filling stations that had the product sold between N900, N1000 and N1200  per litre while in the black market, the product sold for between N1,400 and N1,500 per litre.

A 4 litre jerrycan by the road side, sold at between N4,500 and N6,000 depending on the location.

It was gathered that some of filling stations now sell fuel at night, mostly to black marketers.

Commuters were stranded as only few buses and tricycle operators, popularly called “Keke” were seen operating and charging high transport fares.

For instance from Sobon Tasha area to the central market (the city centre), the buses were charged  N500 from N250.

From Kakuri to the central market costs between N450 and N500 from N200.

The Television Garage motor park was deserted as motorists operating interstate travels were said to have parked the vehicles due to scarcity.

In Rivers State, residents lamented the increase in rate of commodities, linking development to high rate of litre of fuel pump price. THISDAY visit to some filling stations in the Port Harcourt and Obio/Akpor Local Government Areas revealed that a liter of pump price for petrol sold between N680 and N750 per litre. Major dealers like Mobile, TotalEnergies, Oando, others also sold between N680 and N645, while other dealers like Shafa at the Rivers State University junction, Mile 3 Diobu sells at N680, Peterkin located along Eliperanwo, Rumuolumeni (N695).

Also, Chikwere Filling Station (N700), GECELL (N700)  BEROC (N710) all located along Ogbogoro axis in Obio/Akpor, but Conoil filling state at Education junction in Port Harcourt city, as at Monday evening was selling at N750.

Speaking further, Soneye, NNPC spokesman, told THISDAY that available products in stock exceeded 1.5 billion litres that could last for the next 30 days.

He reiterated that there was a three-day disruption in distribution due to logistical issues, which he said had since been resolved, adding that overcoming such disruptions typically requires double, the amount of time to return to normal operations.

Soneye said, “We currently have an availability of products exceeding 1.5 billion litres, which can last for at least 30 days. Unfortunately, we experienced a three-day disruption in distribution due to logistical issues, which has since been resolved.

“However, as you know, overcoming such disruptions typically requires double the amount of time to return to normal operations. Some stations are taking advantage of this situation to maximize profits.

“Thankfully, product scarcity has been minimal lately, but these stations might be exploiting the situation for unwarranted gain. The lines will clear out between today and tomorrow.”

Soneye, also dismissed as false the claims that the reason for the petrol scarcity was because NNPCL lacks dollars to buy products at the international market since it is no longer in control of crude oil sales.

 “All the accusations mentioned above are entirely false. They are far from the truth”, the NNPC spokesman stated.

Also speaking on the current supply situation in the country and the alleged sharp practices by some marketers, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) said it was monitoring product dispense by retail outlets to ensure customers were not shortchanged.

The agency’s spokesperson, Seiyefa Osanebi, in a terse message sent to THISDAY,

said, “The NMDPRA is monitoring the progress as normalcy gradually returns.

“Most importantly, the Authority is monitoring product dispense by retail outlets to ensure customers are not short changed.”

Meanwhile, in Kwara, the State Government Task Force on Fuel yesterday, warned marketers in Ilorin and other parts of the State against hoarding of fuel for the members of the public.

The chairman, Task Force on Fuel in the State, Alhaji Mahe Abdulkadir, gave the warning in Ilorin, during the raid on some filling stations in Ilorin metropolis.

The raid according to THISDAY checks might not be unconnected with the worsen fuel scarcity in the state in the past few days.