The latest hike in the cost of petrol has pitched oil marketers against the national oil company with the Independent Petroleum Marketers Association of Nigeria (IPMAN) tackling the Nigerian National Petroleum Company Limited (NNPCL) over the latest adjustment to price of the product.
IPMAN President, Abubakar Maigandi, yesterday urged the NNPCL to sell petrol to its members at competitive rates based on what is offered to it by Dangote Petroleum Refinery.
Maigandi, while speaking yesterday on Channels Television, also demanded a refund of the money owed the oil marketers, which he said had been held by the NNPCL for the past three months.
This came barely 24 hours after the NNPCL hiked the price of petrol.
The national oil company raised the price of the product to N1,030 from N897/litre in Abuja, and hiked same to N998/litre from N868/litre in Lagos.
Other locations witnessed similar price hikes, with millions of Nigerians lamenting that they have been pushed deeper into difficulties.
- NNPCL pushes fuel price to N1,030 per litre in Abuja, N998 in Lagos
- ‘T-Pain’, Atiku hits Tinubu over fuel price hike
The IPMAN president stressed the financial strain that the prolonged delay in refund had placed on petroleum marketers, urging the NNPCL to take immediate action.
“Our major challenge now is that already, we have an outstanding debt by the NNPCL and the company collected product through Dangote refinery at a lower rate — not up to N900. Presently, our money has been with them (NNPCL) for almost three months”, he said.
Also speaking with the BBC Hausa Service, IPMAN’s chairman in the northern region, Alhaji Salisu Tantan, said that the NNPCL bought the product at N898/litre from the Dangote Refinery but was selling at over N1,000.
“We are really shocked that they (NNPCL) sold the product to us far and above what we expected,” he said.
He said it was practically impossible for them to sell the product at lesser price to the populace at this point in time, considering that they must also bear the transportation cost.
Asked why they were unable to lift the product directly from the Dangote Refinery, the IPMAN chieftain said they were doing their best to achieve that mileage.
“There is a special arrangement between NNPCL and Dangote; they give him crude oil; he also pays them in naira. It will be difficult for us to key into this kind of arrangement with ease,” he said.
Price will come down – NNPCL Trading arm
However, an official of the NNPCL last night defended their action, saying the latest hike was in relation to the international oil market and the exchange rate of the naira against the dollar.
Malam Lawan Sade, who is the Managing Director of NNPCL Trading Company, told the BBC that the chances of the petrol price to come down was high, especially when the government owned refineries that are being rehabilitated come on board.
Sade said oil prices fluctuate in line with global demands, and that as a private entity, the NNPCL was responding to the vagaries of demand and supply.
“We are appealing to Nigerians to bear with us…It shall be well in the fullness of time,” he said.
Streets deserted; workers, students trek
Meanwhile, the reality of the new hike in price of petrol dawned on Nigerians yesterday as many of them resorted to trekking following further rise in transportation fares occasioned by the latest hike in the price of petrol.
Though the federal government said it was not behind the present hike, the Trade Union Congress (TUC) rejected the argument, calling for a reversal.
From across the country, it has been a galore of lamentation as Nigerians decried the sharp rise in transportation cost.
Abuja
Commercial drivers in the Federal Capital Territory (FCT), yesterday decried low patronage as many commuters resorted to trekking long distances, following increase in transport fares to various destinations.
Daily Trust correspondent, who visited some public parks in the city centre, including the popular Jabi Motor Park, Utako and Area 1 Motor Park, observed low turnout of passengers.
In the FCT, a litre of petrol sells for between N1,050 and N1,150.
A motorist, John Ayuba, said the government should be blamed for the situation in the country.
He said: “This is not what we bargained for. This government promised us that they would address all the challenges we witnessed from the past administration. It is unfortunate that we are in the same situation.”
Another resident, William Emmanuel, said he decided to trek some distance as part of the strategy to cut down the transport cost.
“We are complaining of high transport fares and cost of living, yet they continue to increase fuel price. We are already suffering as a result of harsh economic policies and they are making the situation worse,” he added.
Lagos
Commuters and commercial drivers yesterday expressed concerns as fuel scarcity intensified, saying the hassle of getting the product was grounding economic activities.
Daily Trust observed long queues at Conoil filling station in Onipanu along Ikorodu expressway, impeding the flow of traffic.
Many commuters were also stranded as a result of fewer vehicles on the roads as many bus-stops were crowded.
In an interview with Daily Trust, Olumide Onabanjo, a businessman, said the recent increase has stifled commuting due to the hike in the cost of transportation.
“This has led to a serious hike in transportation. Three months ago, from Berger to Ikeja was N300, but this morning (Thursday), it was between N800 and N1,000.
“It has affected cost of commodities and services too,” he said. In a statement, the #EndBadGovernance movement, Lagos State, described the latest increase in petrol price as provocative, vexatious, and a further slap on the faces of poor and struggling Nigerians.
“This latest increase is the second of such in a month, and it is bound to drive the Nigerian people, including workers, youth, artisans and traders into a worse state of starvation and hardship.
We, hereby, demand an immediate and unconditional reversal of the hike, as well as the return of petrol price, electricity tariffs and food prices to pre-May 29, 2023 levels,” the statement read.
Also, one of our correspondents reported that the price of petrol has increased to N1,400 in Badagry and N1,200 in most parts of Ojo, in the outskirts of Lagos.
Other locations along the Egbeda/Igando road witnessed similar price hike from N980 to N1,200. Following the sudden adjustment, most commercial buses stayed away as a result of their inability to buy the product.
Commercial bus drivers who operated hiked their fares.
From Agbara to Mile 2 which used to be N800, is now N1,000. From Mile 2 to CMS, which used to be between N500 and N600, was adjusted to N700 and N800.
Kano
Following the fuel price hike from N904 per litre to N1,070 in Kano, many residents abandoned their vehicles, Daily Trust gathered.
While NNPC filling stations were dispensing fuel at N1,070 per litre, other filling stations were selling between N1,200 and N1,300.The usual hustle and bustle in the commercial city thinned as not many motorists were seen on the streets.
Ahmed Saidu Kanwa, a motorist said the minimal queue at the station which used to be crowded was because of the latest hike.
“Despite the price I am here because it is still less than N1,200 or N1,300 at the black market. But only few people have been here today (yesterday),” he said.
Rivers
Before Wednesday’s increase in the price of petrol, a litre of fuel was sold at N1,250 in most parts of Port Harcourt and its environs, but by yesterday (Thursday) it jumped to N1,350.
The development equally affected the cost of transportation as commercial drivers increased transport fares by nearly 100 per cent.
For instance, the fare for a short distance journey from the popular Eleme Junction to Mile One Park, which was N300 has increased to N500, while the trip from Oyigbo to Port Harcourt, which was N600 is now N800.
A resident of Port Harcourt, Dennis Eke, said the present situation will have a multiplier effect on the cost of goods, especially essential commodities.
Kaduna
Daily Trust gathered that most of the petrol stations were selling at N1,200 per litre as of yesterday, while on Wednesday, before the announcement, a litre was sold at between N1,080 and N1,100.
Aliyu Suleiman Zaria said, “Now we cannot move freely because of the hike in fuel prices. Life has become difficult for poor people like me who had faith in the government.
“Our fear is that the fuel price increase will affect foodstuff prices. We are not happy with the situation because we never expected this kind of thing from this government”, he said.
Borno
In Maiduguri, the Borno State capital, many filling stations shut down, leaving motorists with no option but to patronise the black marketers, it was gathered.
Our correspondent who toured the city reported that many private car owners also parked their vehicles at home and opted for commercial transportation.
A driver, Yunusa Yusuf, said many commercial drivers also decided to suspend operations due to the hike.
Atiku tackles president over hike
Former Vice-President Atiku Abubakar described President Tinubu as T-Pain over the hike in pump price of petrol.
Weighing in on the conversation yesterday, Atiku took to X.
He said: “The haphazard and disingenuous approach of the current administration to fuel subsidy management has been the reason we are in this current economic crisis in the country. As things stand, there will be no letup in the escalating inflation rate, which is drowning the material well-being of Nigerians. It is even more worrying that T-pain is undisturbed by the hardship in the country.”
Although T-Pain is the stage name of an American artist, social media critics have used it to describe the president over the cost of living crisis.
Amaechi, Ex-AIG call for protest
A former Minister of Transportation, Rotimi Amaechi, has expressed frustration with the general public’s apparent calmness amid the economic hardship.
Speaking during an interview with ABN TV, Amaechi questioned why Nigerians are not more vocal in their outrage, pointing to rising costs and the inability of many to afford basic necessities such as fuel.
Amaechi said he expected youths to storm different streets and protest against the high cost of living.
He said: “I’m angry with the citizens. I have said it several times. You can see a group of people stealing your money, impoverishing you, you cannot buy fuel and anything.
“The people should be angry. There should be protests. Not even protests against anybody but against the politicians that ‘we won’t vote”.
Speaking in the same vein, a retired Assistant Inspector-General of Police, Ambrose Aisabor lamented what he called the docility among Nigerians despite the hardship.
He stated that Nigerians will continue to grumble and suffer in silence, adding, “We shall all continue to suffer since no Nigerian is prepared to die for a cause he or she believes in. Nigerians are very good at complaining and grumbling. They are not good at taking positive actions to remedy their situation. No person wants to die”.
Return price to that of Buhari era – TUC
The TUC, yesterday, asked the federal government to source for petrol from other places if the Dangote Refinery cannot meet the current daily demands of Nigerians.
The leadership of the TUC also demanded the return of petrol prices to what they were as of June 2023, adding that the government should give foreign exchange to Dangote Refinery at N1,000 per $1.
These demands were made in Abuja by the President of the Congress, Festus Osifo, who led other members of executive of the union to a press conference, following the hike in pump price.
Abdullateef Aliyu, Dotun Omisakin, Eugene Agha (Lagos), Onyekachukwu Obi, Idowu Isamotu, Seun Adeuyi (Abuja), Abdulaziz Ibrahim (Kano), Victor Edozie (Port Harcourt), Mohammed I. Yaba (Kaduna), Hamisu K. Matazu (Maiduguri) & Jamilu Adamu (Abuja)
