The price of Premium Motor Spirit (PMS), commonly known as petrol, may soon exceed N1,000 per litre at filling stations due to a recent increase in costs at private depots, where prices now range between N920 and N950 per litre.
This development coincides with protests in Abuja on Monday, where demonstrators demanded the immediate dismissal of the Group Managing Director of the Nigerian National Petroleum Corporation Limited (NNPCL), Mele Kyari, over the ongoing fuel scarcity.
It was reported that the NNPC informed oil marketers of financial challenges related to petrol imports, raising concerns among dealers about a potential halt in supply by the NNPC.
The company’s spokesperson, Olufemi Soneye, acknowledged the financial strain NNPC is facing, noting that it could threaten the sustainability of fuel supply.
Oil marketers have indicated that this situation might lead to further increases in petrol pump prices.
According to Ukadike Chinedu, National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), NNPC Trading, the sole importer of petrol, has openly informed marketers that they can no longer sustain the subsidy, leading to fears of even higher costs in the coming weeks.
Private depots are now selling petrol at prices significantly higher than those stipulated by the Nigerian Upstream and Downstream Petroleum Regulatory Authority (NMDPRA).
However, NMDPRA spokesperson George Ene-Ita argued that the official depot prices reported by their field agents do not match these higher figures.
Despite these claims, many independent filling stations are selling petrol at nearly N1,000 per litre, with some locations in Kaduna charging as much as N1,300 per litre.
IPMAN’s National Vice Chairman, Hammed Fashola, contested the NMDPRA’s stance, stating that the regulatory body is not being transparent about the situation.
Fashola explained that private depots face significant challenges in obtaining fuel from NNPC, which contributes to the higher prices seen at independent filling stations.
Amid growing public dissatisfaction, protesters in Abuja have called for Kyari’s removal, criticizing his management of the NNPC and the ongoing fuel scarcity.
Human rights lawyer Femi Falana has also raised concerns about the increasing cost of living and accused the NNPC of not being forthcoming about the true extent of fuel smuggling from Nigeria.
The Trade Union Congress (TUC) and opposition parties have warned that further increases in petrol prices could lead to widespread protests.
The TUC has urged the government to address the underlying issues behind the high cost of goods and services, while opposition leaders have criticized the government’s handling of the economy and fuel supply.
The fuel scarcity has severely impacted various regions across Nigeria, with long queues and inflated prices becoming common.
In some states, petrol prices have exceeded N1,000 per litre, leading to increased transportation costs and further economic hardship for Nigerians.
Civil society organizations have also expressed their discontent, questioning the government’s management of national resources and calling for accountability.
They warned that further price hikes could push the country to a breaking point, exacerbating the already dire economic conditions.
