By Sebastine Obasi

Depot owners appear to have jettisoned the pricing template of Petroleum Products Pricing Regulatory Agency, PPPRA, thereby sabotaging efforts of Federal Government to end the lingering fuel crisis. Vanguard learned that depot owners, especially those used by Nigerian National Petroleum Corporation, NNPC, for throughput arrangement, jettisoned the current PPPRA pricing template for petroleum products released on April 1, and, instead, have been using the pricing template for the first quarter of the year.

For example, the present PPPRA pricing template for ex-depot collection price is N76. However, no marketer gets the product at that price, as they pay up to N120 per litre, apart from the thousands of Naira given, underhand, to security agents to facilitate the entry of their trucks.

Consequently, marketers add up these costs which are passed on to motorists, who buy the product between N150 and N200, as against the official price of N86.50k. According to the President, National Association of Road Transport Owners, NARTO, Mr. Kassim Bitaya, the current fuel scarcity ravaging the various parts of the country was caused by PPPRA.

He said: “I expected that PPPRA should have called a stakeholders’ meeting like they did in the past before rolling out pricing templates. Rather, what we discovered was that they just rolled out the template without carrying the stakeholders along.”

He explained that the pricing template was calculated based on the official exchange rate of N197, adding that no marketer had access to foreign exchange to bring in products at that rate, a development that resulted in many marketers jettisoning the idea of importation.

“The pricing template, as presently designed, is faulty because some components ought not to be there in the first place, while some need to be reviewed either downward or upward,” he added. Meanwhile, the President of the Nigeria Association for Energy Economics, NAEE, Professor Wumi Iledare, said the Federal Government made a mistake setting the price of petrol at N86.50k per litre, saying deregulation is the best solution to the lingering fuel scarcity.

http://www.vanguardngr.com/2016/04/fuel-scarcity-depot-owners-dump-pppras-pricing-template/

May God help us /naija/

We are Producing 20million litres of fuel daily in our refineries ---Kachikwu.

This is wat happens when you make policies without proper consultation

I should drop my price when one illiterate SINator is driving an SUV of 38.1m?

Abeg wealth has nobody's house address, me too wan buy SUV.

The government can keep deceiving herself and her naive supporters, only those who are involved in this business or know directly people who are into the business will understand all what is currently ongoing.

When people are made to pay the official price into one account and the premium into another account befire they get their products, the same thing that used to reign in our banks to obtain forex.

And at the end you want them to sell at regulated price during the day
They will rather sell at night and be closed during the day.

Task force is not working

How can you call it sabotage when it was unrealistic from the begining?

BeeBeeOoh:
By Sebastine Obasi


Depot owners appear to have jettisoned the pricing template of Petroleum Products Pricing Regulatory Agency, PPPRA, thereby sabotaging efforts of Federal Government to end the lingering fuel crisis. Vanguard learned that depot owners, especially those used by Nigerian National Petroleum Corporation, NNPC, for throughput arrangement, jettisoned the current PPPRA pricing template for petroleum products released on April 1, and, instead, have been using the pricing template for the first quarter of the year.

For example, the present PPPRA pricing template for ex-depot collection price is N76. However, no marketer gets the product at that price, as they pay up to N120 per litre, apart from the thousands of Naira given, underhand, to security agents to facilitate the entry of their trucks.

Consequently, marketers add up these costs which are passed on to motorists, who buy the product between N150 and N200, as against the official price of N86.50k. According to the President, National Association of Road Transport Owners, NARTO, Mr. Kassim Bitaya, the current fuel scarcity ravaging the various parts of the country was caused by PPPRA.

He said: “I expected that PPPRA should have called a stakeholders’ meeting like they did in the past before rolling out pricing templates. Rather, what we discovered was that they just rolled out the template without carrying the stakeholders along.”

He explained that the pricing template was calculated based on the official exchange rate of N197, adding that no marketer had access to foreign exchange to bring in products at that rate, a development that resulted in many marketers jettisoning the idea of importation.

“The pricing template, as presently designed, is faulty because some components ought not to be there in the first place, while some need to be reviewed either downward or upward,” he added. Meanwhile, the President of the Nigeria Association for Energy Economics, NAEE, Professor Wumi Iledare, said the Federal Government made a mistake setting the price of petrol at N86.50k per litre, saying deregulation is the best solution to the lingering fuel scarcity.

http://www.vanguardngr.com/2016/04/fuel-scarcity-depot-owners-dump-pppras-pricing-template/

This government should not only talk but also act on it.

may Allah see us through

Government of the Government by some people for the Masses.

They are not sabotaging governments efforts, government on the other hand is the one sabotaging their business.

Nobody runs a business on a loss

Nawa o. May God help us in this country

The zombies will soon say the depots are taking orders from GEJ.

I dey come make i koko go pupu

Socagenie:
Task force is not working

They collect bribe

Apc,a bunch of unqualified power seeking idiots

This mumuhamadu wan finish this country.

But this country wicked, wetin dey do our policy makers head.

You calculated the price based on N197 per $ and expect depot owners to import at N320 / $ and sell at your price.

It is common knowledge that foreign exchange is given to man-know-man for importation, so nobody should play wise

Click Here to see the current April PPPRA PMS pricing template and confirm for yourself the exchange rate used

The best solution I think is to deregulate the system.

No body is sabotaging government effort. The govt is confused. Do you expect depot owners to sacrifice profit to please a clueless petroleum minister?

TPAND:
They are no sabotaging governments efforts, government on the other hand is the one sabotaging their business.
Nobody runs a business on a loss

I spoke with a DPR official yesterday who said the enforcement is not even realistic too! The problem is from the depot. How could you buy at 130/ (transportation inclusive) and sell at 86.

I had a private chat with a top dealer at apapa just now

Lienus

Wicked

If this government is serious they should wet the system with pms and see how the price will go down to the normal price. Dpr should begin their enforcement in the depots where these petrol stations source their product.

Buhari Methodology: Trial and error is a fundamental method of solving problems. It is characterised by repeated, varied attempts which are continued until success, or until the agent stops trying.

er

Oro Nigeria yi Ti su mi