NNPC has failed in solving kerosene scarcity, says IPMAN

Tuesday, 28 June 2011 02:06
Charles Okonji
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As DPR embarks on depots inspection to arrest hoarding

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has insisted that the Nigerian National Petroleum Corporation (NNPC) has failed in ensuring kerosene scarcity is finally address in the country.

This assertion emerged as the Department of Petroleum Resources (DPR) said it would embark on inspection of depots nationwide to prevent hoarding of kerosene in Lagos metropolis.

The National President of IPMAN, Alhaji Abdulkadri Aminu, said that the process and method at which NNPC adopted in allocating kerosene to marketers was faulty and suspicious.

Aminu stated that NNPC ought to have allocated major percentage of kerosene to IPMAN who had about 86 per cent majority and retails outlets as against major marketers who had 24 per cent.



He said: “The process of allocating of kerosene by NNPC to marketers is wrong which cannot finally address the ongoing scarcity in the country. NNPC ought to have allocated large per cent of product to IPMAN in order to ensure it get to the nock and crannies of the country with the largest retails outlets own by members of IPMAN.”

IPMAN President disclosed that the executive members of IPMAN had schedule a meeting with the presidency and members of Senate on the way forward to address lingering scarcity of kerosene in the country, adding that NNPC had failed to meet the demand of the people on equitable distribution.

He however advised the NNPC to apply same mechanism used in 2008 during the heat of petrol scarcity where independent marketers who had major members and outlets where given the majority.

Aminu added: “As I speak nothing has been given to IPMAN while 30,000 metric tonnes have been allocated to MOMAN which has 24 per cent outlets. Senate and Presidency should urgently intervene at the ongoing scarcity and arbitrary allocation of kerosene for prompt and effective solution to the scarcity.”

He said that allocating kerosene to IPMAN was not the main issue to address the scarcity but proportional ratio and percentage in allocating product which should be 86 per cent to IPMAN and 24 to MOMAN.

It was gathered that inability of IPMAN to gets kerosene allocation from NNPC had made some of their retail outlet to sell kerosene at between N 130 and N150 per litre

However, DPR Controller of Operations, Mr. Gbenga Koku, had said that the organization would inspect the depots around Apapa and its environs to arrest the hoarding of kerosene.

Koku said that some depot owners hid under the pretence of not receiving their supply from the NNPC to hoard the product at the expense of common Nigerians.

He said: “We are going to embark on full scale inspection of all the depots in Lagos metropolis to checkmate those who were in the habit of hoarding the product. Any depot found hoarding the product will be forced to sell it immediately at depot price of N40.90 per litre, irrespective of the personalities behind it.

The controller said that the agency had resolved not to close down any depot to avoid compounding the lingering scarcity, stating that the DPR would only instruct them to discharge the product out of their tank farms.

Koku noted that the agency had instructed its surveillance and monitoring team to ensure that all depot owners comply with the simply guidelines put in place by the DPR.

He added: “Our objective is to ensure that the product is available in all filling stations and ensure it gets to all nooks and crannies of the country to ease scarcity. Any operator or depot owner found wanting for product diversion would be severely dealt with in accordance with the law.”

He said that the DPR would also ensure that depot owners or marketers did not convert the product into aviation fuel because of the price parity.