Amid current scarcity of premium motor spirit (PMS), also known as petrol, across the country, petroleum marketers have placed the blamed on the Nigerian Midstream and Downstream Petroleum Regulatory Commission (NMDPRA) and Nigerian National Petroleum Company Limited (NNPC Limited).

The marketers under the aegis of the Independent Petroleum Marketers Association of Nigeria (IPMAN) said on Tuesday that they will stop the supply of petrol, if the federal government fails to pay the N200 billion outstanding bridging claims owed them.

The threat comes following current nationwide scarcity which has seen prices of petrol surge to between N610 and N800 per litre at the pump, and between N1,000 and N1,400 at black market.

In a communique issued by the IPMAN Depot Chairmen Forum in Abuja on Tuesday, and read by the chairman, Aba Depot, Mazi Oliver Okolo, the association said the withdrawal of service will start anytime from now, following the expiration of the 40-day grace period given after a meeting with the minister of Petroleum Resources (Oil), Heineken Lokpobiri in February 2024, where the minister directed the the Nigerian Midstream and Downstream Petroleum Regulatory Commission (NMDPRA) to pay off the outstanding bridging claims.

Okolo said NMDPRA failed to pay the N200 billion debt despite a directive from the Minister, nothing that some of its members have “completely” shut down their businesses, and retrenched their employees as only ₦13 billion had been paid to their members.

He insisted that the unpaid claim had crippled their businesses.

“We are extremely distressed and depressed by the laidback attitude of the leadership of the Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA) towards the survival of our member’s businesses, arising from NMDPRA’s deliberate delay and refusal to offset the debt of over N200 Billion owed our members, which has consequently led to the deaths of many of our members and the unfortunate collapse of their businesses.”

He also blamed the NNPC Limited, the sole importer of petroleum products, for the current nationwide petrol scarcity, adding that some of its members have “completely” shut down their businesses, and retrenched their employees.

“We have watched with apprehension also, the unpatriotic attitude of the leadership of the NMDPRA to offset this debt that has been accrued to us since September 2022.

“As businessmen and women, our members acquired bank loans to keep their fuel retail outlets running daily across the nooks and crannies of Nigeria, to serve the teeming population of Nigerians. 

“However, it is demoralising to know that many of our members have gone bankrupt and have become financially insolvent as a result of their inability to meet their financial obligations to their banks, arising wholly from their inability to get their monies from the NMDPRA. Consequently, also, the banks have taken over the business premises of many of our members. 

“As indigenous organisations, and Depot Chairmen, we are unhappy that rather than receiving support from the government to boost our businesses, we are being discouraged by the head of NMDPRA.

“It is noteworthy to recall and state here that at a stakeholders meeting held on the 20th of February, 2024 with Mr. Heineken Lokpobiri, the Honourable Minister of Petroleum Resources (Oil), and the NSA Nuhu Ribadu, Engr. Farouk Ahmed, the Chief Authority of NMDPRA, was mandated by Mr Heinehken Lokpobiri to clear the entire debt in 40 days.

“However today, we have crossed the 40 days time-lapse given to the NMDPRA to clear the debt, and it is shameful to state that only the paltry sum of N13 Billion has been paid, thus going the whole length to ignore our plight without remorse and recourse to the Honourable Minister’s directive”.

Okolo also claimed that the NNPC Ltd imports the products and supplies to private depots who then sell to them at exorbitant prices of between ₦820 and ₦950 per litre. He added that IPMAN members pay extra ₦2m to transport it to other parts of the country therefore making it difficult for them to sell to Nigerians at the agreed pump price.

The Association called on President Bola Tinubu to look into the matter which it claimed is highly detrimental to the businesses of its members and reverse it failure which it said will impact negatively on the masses. 
“We see no reason why there should be an increment of over 500% on the Sales and Storage License by the NMDPRA. We reject it. We also hereby call on the Federal Government of Nigeria to wholly intervene forthwith in these lingering issues between the Independent Petroleum Marketers Association of Nigeria (IPM AN)

This post has already been read at least458 times!