IPMAN Threatens Nationwide Shutdown Over Unpaid N200bn Debt by FG

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has issued a stern warning to the Federal Government to shut down its 30,000 stations nationwide if an outstanding debt of N200 billion isn’t settled promptly.

The ultimatum comes as a result of the Nigerian Midstream and Downstream Petroleum Regulatory Authority’s (NMDPRA) failure to clear a debt that has been accumulating since September 2022.

The debt pertains to bridging claims owed to oil marketers for the transportation of petroleum products from depots to various states across the country.

Yahaya Alhassan, Chairman of the IPMAN Depot Chairmen Forum, delivered the ultimatum in a communiqué issued in Abuja and declared that the consequences of the government’s inaction would be severe.

He warned that every IPMAN member’s outlet, spanning from the northern to the southern regions and from the east to the west, would be forced to close its doors.

Despite assurances from the government, including directives from the Minister of State for Petroleum Resources (Oil) to clear the debt within 40 days, IPMAN claims that only a fraction of the owed sum, a paltry N13 billion, has been paid.

Alhassan expressed disappointment at the lack of progress and accused the NMDPRA of disregarding the minister’s directive and showing a laidback attitude towards the survival of its members’ businesses.

The ramifications of the unpaid debt extend beyond the financial realm, as Alhassan highlighted the toll it has taken on IPMAN members.

Many businesses have collapsed, leading to bankruptcies and job losses. Some members have been unable to pay salaries, resulting in retrenchments and closures.

Alhassan painted a grim picture of the situation, stating that banks have seized the premises of numerous members due to their inability to meet financial obligations arising from the unpaid debt.

IPMAN’s plea for government intervention underscores the urgency of the matter. They have called on President Buhari to intervene and ensure that their demands are met promptly.

Failure to do so, they warn, will result in a nationwide shutdown of their services, causing widespread disruption to fuel distribution and exacerbating the country’s fuel crisis.

Meanwhile, the NMDPRA has stated that the payment process is ongoing, but IPMAN remains skeptical given the slow progress and mounting financial strain on its members.

As the standoff between IPMAN and the government intensifies, Nigerians brace themselves for the possibility of fuel shortages and escalating tensions in the coming days.