The Nigerian National Petroleum Corporation has reportedly halted the sale of Premium Motor Spirit, commonly known as petrol, to independent marketers following a price increase implemented on Tuesday.
This development comes as three vessels arrived at the Apapa jetty in Lagos on Wednesday to offload imported petrol, according to The Punch.
The price hike has triggered unrest in Delta State, where commercial tricycle operators, or ‘keke’ riders, have staged protests in the Warri and Effurun areas.
Across the country, commuters faced significant disruptions as fuel queues lengthened and the scarcity of petrol worsened.
Many motorists refrained from operating due to the steep price increases, which follow a recent nationwide hardship protest.
The National Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, said that the NNPC stopped selling fuel to independent marketers on Tuesday when it raised the price of a litre of PMS to N855 and above across its retail outlets nationwide.
As a result, some independent marketers have been selling the product for as much as N1,200 to N1,300 per litre.
Fashola criticized the NNPC for suspending sales to independent marketers without official notice, despite the fact that many had already paid for the product over two months ago.
When asked about the absence of many independent marketers at the depots, Fashola questioned the necessity of their presence given the current circumstances.
“They have stopped our loading. All the tickets we have in the kitties of NNPC, they are not treating them; everything has been suspended,” he said.
When asked whether the suspension occurred despite having paid for the ordered product, Fashola responded, “Yes, our tickets were suspended for loading. They have not been attending to us since yesterday (Tuesday), and there is no official communication yet.
“It is a very bad situation for somebody who has paid for the product, maybe like two to three months ago, and all of a sudden, you stopped loading, maybe because you want to change the price. And it’s not the fault of that customer, because it is supposed to be cash-and-carry. So, I think the NNPC should look at that situation critically.”
It was learned that the NNPC typically prioritizes major marketers, forcing IPMAN members to rely on private depot owners who sell at higher prices. This practice has resulted in a significant price disparity between the two categories of marketers.
“We’re usually forced to go to private depots, it’s not out of our own volition. We were forced to go there because of inadequate supply,” Fashola stressed.
Commenting on the Dangote refinery fuel, which is expected to hit the pumps soon, Fashola said marketers would monitor the situation till Friday.
“We are watching the development. We are monitoring it; we will wait, maybe by Friday we will know where we are going by the time the Federal Government makes a pronouncement as regards the price. There is no official communication yet.”
The IPMAN official further noted that individual filling stations set their own prices due to NNPC’s inability to regulate prices for other sector operators.
He clarified that the new price announced by NNPC is only applicable to its own retail outlets.
“I believe the price disparity gap will be closed somehow now. That is our belief. The truth is that, with the N855 in Lagos, and the landing cost of petrol, there are still some elements of subsidy. If the NNPC claimed that they are selling at half the cost of the landing price at N568/litre, it means the landing cost should be around N1, 200/litre. If they are selling a litre of petrol at N855/litre, there are still some elements of subsidy,” he added.
He said the association was expecting the details of the arrangement between Dangote and the government on the supply of PMS, especially as Aliko Dangote announced that the NNPC would fix the price.
“For now, we don’t have the details; it’s only Dangote who made the announcement that NNPC would fix the price. So, it’s in two ways. Maybe NNPC wants to act as an off-taker for the Dangote refinery, and they will now start distributing on behalf of Dangote to the marketers. There are a lot of things involved in this Dangote naira-to-naira transaction. There must be something that’s a factor. Maybe that will bring the price to a reasonable level, I don’t know. It may not be called a subsidy, maybe an in-house arrangement.
“If Dangote is buying naira-to-naira, there must be some little difference in terms of cost. It might be so small, but I believe there must be a difference. They know what they are doing, we are waiting for them to come out and we will react,” Fshola noted.
NNPC spokesperson Olufemi Soneye did not respond to calls or messages regarding the issue.
The ongoing fuel crisis, which has persisted for two months, deteriorated further on Wednesday due to the recent price hike.
Many filling stations exploited the situation, charging inflated prices for petrol to customers in urgent need for vehicles, power generators, and other machinery.
In Lagos and along the Lagos-Ibadan Expressway, some stations were reportedly selling petrol at prices ranging from N900 to N1,200 per litre, exacerbating the long queues across Nigeria’s commercial capital.
Residents in Ogun border communities reported purchasing Premium Motor Spirit (PMS) from black marketers at N1,600 per litre, citing a ban on petrol supply to their areas.
Despite NNPC’s denial of implementing a price increase on Tuesday, all its retail stations have adopted the new price, leaving the public uncertain about the situation.
Commuters faced significant disruptions as few commercial buses operated, transporting only passengers willing to pay higher fares.
