Nigerians have been urged to refrain from panic purchase of Premium Motor Spirit popularly known as petrol.

Major petroleum marketers made this known while assuring the public that there is more than enough petrol supply across the country.

The Chief Executive Officer of the Major Energy Marketers Association of Nigeria, Clement Isong, maintained that sufficient stock is available in the tanks of the Dangote Refinery and the Nigerian National Petroleum Company Limited.

Isong added that there is a reliable forecast of future supplies for all petroleum products.

Reacting to perceived tightening in the petroleum supply market, the major energy marketers dismissed speculation that there would be shortage of fuel, affirming to the general public and all stakeholders that there is substantial stocks of products in their tanks.

He added that they have access to considerable stocks in the tanks of their suppliers, including Dangote Refinery and NNPC Trading Limited, along with a reliable forecast of future supplies for all petroleum products.

Isong noted that deregulation enables diligent marketers to plan and secure their supply needs in advance, helping prevent shortages.

Consequently, he stated that MEMAN does not anticipate any petrol scarcity in the immediate or near future.

Encouraging Nigerians to refrain from panic buying, the MEMAN CEO assured them that member companies will continue to optimise their supply and logistics to ensure availability and affordability.

Following the NNPC’s increase in petrol prices across the country on Tuesday, long queues were observed at its retail outlets in Lagos and Abuja on Wednesday.

The national oil firm raised the retail price of petrol in Abuja from N1,030 to N1,060 per litre, while in Lagos, the price increased from N998 to N1,025 per litre, sparking widespread criticism from the Organised Private Sector, Civil Society Organisations, and the general public.

Nigerians have faced recurring fuel crises since May this year for various reasons despite government promises to resolve the situation.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has revealed that despite the directive of the Federal Government that they can purchase petrol directly from Dangote Refinery, an existing agreement binding the Nigerian National Petroleum Company (NNPC) and the refinery, has halted lifting of the product.

This was made known on Wednesday, in a notice to IPMAN members in the Western Zone, issued by the Zonal Chairman, South-West, Dele Tajudeen, after a meeting with top officials of Dangote Refinery on Tuesday.

Investors King reported that on October 11, the Federal Government announced that all petroleum marketers can now negotiate and buy products directly from the Dangote Refinery, Lagos.

A statement by the Ministry of Finance indicated that the decision to allow oil marketers to deal directly with the refinery firm was reached at a meeting of the technical committee headed by the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun.

The leeway given by the Federal Government has ended the arrangement in which the Nigerian National Petroleum Company Limited (NNPCL) was acting as the sole off-taker of the Dangote Refinery products.

However, after the meeting between the two bodies, IPMAN revealed that the NNPC is still the sole off-taker of petrol from the Dangote Refinery.

According to the marketers, there is an existing agreement between NNPC and Dangote Refinery, and until the expiration of the said agreement, NNPC will remain the sole off-taker of the product from the refinery.

Sadly, IPMAN revealed that the date of the termination of that agreement is kept a secret by the NNPC and the refinery.

IPMAN said, “The IPMAN National Vice President, Zonal Chairman of Western Zone, IPMAN members, and PTD Zonal Chairman met with the Vice President of Dangote Group and many other notable staff members of the Dangote refinery yesterday, October 15, 2024.

“We had a very useful and fruitful discussion on the direct purchase of products from the Dangote refinery.  The Vice President of Dangote confirmed that the Minister of Finance/ Coordinating Minister of the Economy, and the Minister of Petroleum Resources have directed them to commence sales of products to marketers who have duly registered with the refinery, but they are still having a pending agreement with NNPC Ltd which still subsist.

“Until and when the agreement is terminated by either party, the direct sales will still be on hold.”

Meanwhile, IPMAN called on oil marketers who are yet to officially register with the association to do so as fast as possible as only registered members will benefit from the direct lifting of the product.

The statement added, “In view of this, marketers who are yet to officially register as IPMAN members should do so without wasting time as such marketers will not benefit from this opportunity when we eventually commence lifting from the Dangote refinery.”

Before now, IPMAN had accused Dangote Refinery of snubbing them on their demand to directly lift its petrol.

They hinted that the development is a setback on their efforts at making fuel sell cheaper across filling stations in the country.

The President of the Independent Petroleum Marketers Association of Nigeria, Abubakar Maigandi and the President of the Petroleum Products Retail Outlets Owners Association, PETROAN, Billy Gillis-Harry assured that if they are allowed to directly lift petrol from Dangote Refinery, it would make the product sell lesser.

The Conference Of Nigeria Political Parties (CNPP) has reacted to the recent release of N15 billion worth of products to independent oil marketers by the Nigerian National Petroleum Company Limited (NNPCL).

In a statement signed by its Deputy National Publicity Secretary, Comrade James Ezema, on Tuesday, the CNPP noted that it sees this move, facilitated by the Director General of the Department of State Services (DSS), Adeola Ajayi, as “a validation of CNPP’s allegations of economic sabotage against NNPCL.”

Economic Sabotage Confirmed

The statement added that “the CNPP has long argued that NNPCL’s practices have been harmful to the Nigerian economy. The recent authorization by NNPCL, allowing oil marketers under the Independent Petroleum Marketers Association of Nigeria (IPMAN) to lift Premium Motor Spirit (PMS) at a reduced price, substantiates the CNPP’s claims of economic sabotage against the federal government-owned oil company.”

Commitment to Regulatory Compliance

As the umbrella body of all registered political parties and associations in Nigeria, the CNPP expressed concern over NNPCL’s ongoing violations of the Petroleum Industry Act (PIA). The CNPP emphasized the need for the Nigerian Midstream and Downstream Petroleum Regulatory Authority to issue import and off-taker licenses to oil dealers, enabling them to import fuel directly or purchase from local refineries like the Dangote Refinery. “This move is expected to eliminate NNPCL’s undue regulatory and competitive roles.”

Call for Deregulation or Transparent Subsidy Regime

The CNPP has called on the Federal Government “to either fully deregulate the oil sector, allowing marketers to freely buy and sell petroleum products, or to implement a transparent petrol subsidy regime free from corrupt practices to maintain control over PMS pump prices.

DSS Intervention and IPMAN’s Role

“The DSS’s intervention came after IPMAN threatened to halt operations nationwide due to the high costs of loading petroleum products from NNPCL facilities. IPMAN revealed that the cost of petrol from the Dangote Petroleum Refinery to NNPCL was approximately N898 per litre, while NNPCL was selling it at significantly higher prices in various locations.

“This discrepancy is seen as a deliberate attempt by NNPCL to undermine President Bola Ahmed Tinubu’s Renewed Hope Agenda by exacerbating economic hardship and turning citizens against the government.”

Demand for Accountability

The CNPP questioned why it took threats from IPMAN, which controls over 70 percent of filling stations nationwide, and DSS intervention before NNPCL complied with the law and stopped fixing petrol pump prices. The CNPP accused NNPCL’s leadership of attempting to maintain control over the oil industry post-commercialization due to endemic corruption.

CNPP’s Continued Vigilance

“The CNPP has pledged to continue monitoring the activities of NNPCL, given the company’s significant impact on the economy and the livelihood of ordinary citizens. The CNPP will continue advocate for transparency and accountability in the oil and gas sector as it has done over the years.

“Recall that in December 2022, the DSS had previously taken proactive measures to prevent potential unrest during the Yuletide season by issuing a 48-hour ultimatum to NNPCL, IPMAN, and other stakeholders to resolve the then ongoing fuel crisis, which has remained an issue to date as NNPCL has continued operate in very secretive manner.”