Fuel Scarcity May Persist Till Removal of Subsidy in June– Oil Marketers

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said the lingering fuel scarcity and rise in price may persist till the sixth month based on the federal government’s plan to end payment of fuel subsidy in June.

Investors King recalls that the Minister of Finance, Budget and National Planning, Zainab Ahmed, last week mentioned that the Federal Government had budgeted N3.6 trillion for fuel subsidy till June 2023.

The National Public Relations Officer of IPMAN, Chief Ukadike Chinedu, in an interview noted that subsidy and fuel importation worsen the fuel supply situation of the country.

He opined that the exchange rate has greatly influenced petroleum products imports which makes fuel more expensive.

According to him, refining petroleum in Nigeria and making the depots functional are sustainable ways to rescue the situation.

“This issue of subsidy and the importation of petroleum products are the major reasons why we are suffering like this and having epileptic supply of PMS. This may drag till the current administration leaves in May or till June this year.

“The exchange rate is affecting fuel imports, which is also why the cost of petroleum products are high. We use too much naira to chase the few dollars that are available. So the solution is for us to refine our crude here and get our depots working.

 “Also, we should note that most times when an administration is leaving, there is usually scarcity of products. It happened during the time of former President Goodluck Jonathan. Then, marketers who were supplying products stopped and went on strike, demanding that they must be paid their arrears,” he said.

Speaking on the state of fuel supply in the country, Chairman of IPMAN Satellite depot, Akin Akinrinade said none of its members have taken delivery of petroleum products despite their promise last year.

He stated that the fuel scarcity will continue after June if the Nigerian National Petroleum Company Limited, NNPCL does not supply oil Marketers directly and at regulated price.

“We have yet to see anything. They promised us something in December, but now they said January. All they’ve done is ask us to submit names and change from the old system-NNPC Express to NNPC Retail. Other than that, we are yet to receive any product,” Akinrinade said.