*Operators to forfeit subsidy claims for misdemeanor

By Clara Nwachukwu

The Department of State Services, DSS, may have taken over the job of monitoring downstream petroleum distribution and marketing, as part of the President Muhamadu Buhari’s measures to stem the high level of corruption in subsidy claims.

Consequently, retail outlets found selling any petroleum product above the prescribed government price will be immediately shut down, while any depot selling above the ex-depot price will have to forfeit the subsidy claims on the cargo that brought in the product.

The move followed the apparent inability of the industry regulators, the Department of Petroleum Resources, DPR, and the Petroleum Products Pricing Regulatory Agency, PPPRA, whose officials were apparently overwhelmed by the supply shortages to check sharp practices and market excesses among the operators.

Seized fuel trucks
File: Seized fuel trucks
Consequently, the DPR has scheduled another impromptu closed door meeting with marketers and other industry stakeholders today (Wednesday) at its Headquarters in Lagos, to update them on the new development.

Confirming the development yesterday, a top industry source who also attended the meeting told Vanguard in a telephone interview that the decision was made known to stakeholders at a closed door meeting which held in Abuja on Monday.

The source, who spoke in confidence said: “DSS will lead the operations (monitoring), and marketers were also asked to monitor each other and to report any sharp practices. “Government decided that enough was enough and will no longer condone any sharp practices in the system.”

The source, disclosed that the meeting was at the instance of the Federal Government, and had in attendance the representatives of the DSS, DPR, PPPRA, Major and independent marketers, depot operators and a host of other industry operators.

The source added that attendants sat for long hours deliberating on the best way to arrest the unofficial price hike of petroleum products in the market, occasioned by supply shortages following the inability of the government to pay markets outstanding subsidy claims of over N200billion.

Sudden hike in price

The source was responding to Vanguard’s enquiries on the cause of the sudden unofficial hike of both the pump price and ex-depot price of premium motor spirit, PMS, popularly called petrol and kerosene, and the helplessness of the industry regulators to arrest the situation.

Since the supply shortages set in some months ago, marketers and depot operators took the initiative to hike pump and ex-depot prices to reap enormous profit while waiting for government to pay off their outstanding claims.

As a result, practically every retail outlet sold petrol at above the prescribed N87/Litre, to peg price at between N100 and N150/Litre depending on the outlet and location.

Similarly, rather than the prescribed N81/litre ex-depot price, marketers accused the depot operators of selling at N96/litre instead, which they claimed forced them to also hike pump price.

He said: “Such practices will no longer be condoned especially with the involvement of the DSS, who will use their intelligence network to get to the root of the matter.

“The meeting decided that all marketers must sell at the regulated price of N87/litre of petrol. And anyone found to be selling above this, the DSS will track the outlet to the depot where the product was lifted.

“If it was discovered that the pump price increase is as a result of hike in ex-depot price, then both the outlet and the depot will be sanctioned.

“Originally, it was agreed that both the outlet and the depot will be shut down, but after considering the situation, if was agreed that the depot will not be shut down in order not to exacerbate the supply situation.

“However, the depot operator will be made to forfeit his subsidy claims on that cargo, as it will be assumed that he has reimbursed himself through the ex-depot price hike.”

“We are meeting with DPR again tomorrow (today) on the same matter for them to tell everybody what is happening and the need for all to ensure compliance,” the source added.

DPR meets with stakeholders

Expressing shock at the takeover of parts of its functions by the DSS, a top management official of the DPR confirmed the upcoming meeting with stakeholders in Lagos today.

The official, who also spoke in confidence in a telephone interview told Vanguard: “The Downstream Unit only informed us about the meeting holding tomorrow at about 4p.m. today.”

He expressed shock that the Unit did not give them full disclosures on the reasons for the impromptu meeting saying: “It is sad that everybody now do territorial claim when the whole roof is caving in. if there are new developments we should know firsthand and not from a third party.”

Agreeing that the DPR was overwhelmed by the sharp practices in the industry, he asked: “How can we effectively monitor a situation where the marketer shows us technical proof about the depots selling above the ex-depot price, and the depot operators in turn show prove at selling under the regulated price?

“We heard their accusations back and forth, and decided to hold an impromptu meeting with them in Lagos a few weeks ago, which was also reported by your paper. Since it was an open meeting, we expected the parties to openly make their allegations. But nobody did. So how can we hold anybody responsible?”

He, however said that the involvement of the DSS was a welcome development as long as it will bring sanity to the system, seeing that DPR lacked the capacity to fully monitor downstream operations.

www.vanguardngr.com/XCVMe

wailing wailers... make una carry una shameless mouht come hear come yarn trash as usual

hmmmm

Action president is different from clueless president

What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

The sufferings are just too much for the masses ..since the inception of this administration, we have been subjected to endless queues with 30-50% hike in PMS pump price ..not forgetting the resurfacing of black market which we saw last in the 80's.

The person above me is so on point ..

God bless you, GEJ.

Sai Baba

phyllosilicate:
Sai Baba

Which Sai Baba? Baba de fall hand!

Baawaa:
Action president is different from clueless president

Who is the action President and who is the clueless?

barcanista:
Which Sai Baba? Baba de fall hand!

hahahahah Barca, I am waiting for the day you would say sai baba again. And I think that day is near.

Ha ha. The same DSS, same officers only the DG has been changed. Every government uses the DSS as it wants because of a wide latitude in its statutory law that says something like "and such other responsibilities as the President shall direct". DSS is always "loyal" to the government of the day. Now they are chasing fuel marketers, even INEC officials like the RECs in Rivers and Akwa Ibom etc. Always get them on your side. Dont "over-blame" them for "appearing" pro-PDP or APC. Na turn by turn. Infact, they used to say "wait for your time"! Whose time is it now? Ha ha. Abeg no insult oh .... just painting how the game goes for real.

barcanista:
What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

4 years is a long time to have already started dieing! Domestic Intel includes the supply of petrol mate. Without fuel, Nigerian economy shuts down. Are you too clueless to know this?

barcanista:
What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

And his sycophantic followers would still praise him, Using intelligence officers to chase petrol station attendants makes sense in their warped imagination, when there is BH to fight, it's the equivalent of Obama asking the CIA or FBI to go chase shoplifters.

barcanista:
What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

Considering the fact that DPR hasn't been able to fulfill this task given to them, I think a little help from the DSS won't be a bad idea.

Everyone knows that majority of these oil blokes only respond to the use of force, and the DSS will provide that. The one language Nigerians understand better than any other is 'Force'.

At least, PMB is doing what he can to salvage the situation, unlike your Otuoke hero who sat back and let some people hold him by his balls!.

This is just the beginning, I believe the motto of PMB's tenure should be "If you do any how, you go see any how". This way Nigerians like the poster I quoted will learn not to let their greed get the better of them.

Good move and worthy of commendation. But I will believe when I see the filling station close to my humble abode shut down for selling at N110

phyllosilicate:
hahahahah Barca, I am waiting for the day you would say sai baba again. And I think that day is near.

That shoul be at the fullness of time

barcanista:
That shoul be at the fullness of time

ok na

SenseiX:

And his sycophantic followers would still praise him, Using intelligence officers to chase petrol station attendants makes sense in their warped imagination, when there is BH to fight, it's the equivalent of Obama asking the CIA or FBI to go chase shoplifters.

I believe you've never heard of the move to involve the CIA in domestic drug trafficking?

Expand your horizon my gOod man!

barcanista:
What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

It seem DSS is taking over every duty. EFCC was supposed to go after Dasuki but rather we saw DSS and then this. Bubu ooooo

barcanista:
Which Sai Baba? Baba de fall hand!

Animal!!!

SenseiX:

And his sycophantic followers would still praise him, Using intelligence officers to chase petrol station attendants makes sense in their warped imagination, when there is BH to fight, it's the equivalent of Obama asking the CIA or FBI to go chase shoplifters.

I tire o. Imagine using Mossad to moniter houtique owners in Israel just to checkmate how much they sell goods when they have regulatory agencies. I won't be surprised to see Buhari using Military to regulate the practice of Accountants.

joseph1832:
I believe you've never heard of the move to involve the CIA in domestic drug trafficking?

Expand your horizon my gOod man!

Oh cut the crap mister......don't try to spin this, the CIA's involvement in the multinational multi billion dollar drug trafficking is a far cry from a nation's premier intelligence agency monitoring fuel stations when there's an agency, DPR statutorily enabled to do that...........
It's so embarrassing i'll like to think it's a stupid joke. If he even wanted security backing, he could have gotten the civil defence or the police to do so.
Just imagine hooded snipers with Uzi rifles who should be chasing Shekau and his hordes harassing fuel station attendants

Candyrain:


It seem DSS is taking over every duty. EFCC was supposed to go after Dasuki but rather we saw DSS and then this. Bubu ooooo

Very soon DSS will takeover NL and FB

barcanista:
That shoul be at the fullness of time

no qualms.

joseph1832:
Considering the fact that DPR hasn't been able to fulfill this task given to them, I think a little help from the DSS won't be a bad idea.

Everyone knows that majority of these oil blokes only respond to the use of force, and the DSS will provide that. The one language Nigerians understand better than any other is 'Force'.

At least, PMB is doing what he can to salvage the situation, unlike your Otuoke hero who sat back and let some people hold him by his balls!.

This is just the beginning, I believe the motto of PMB's tenure should be "If you do any how, you go see any how". This way Nigerians like the poster I quoted will learn not to let their greed get the better of them.

It's a very bad idea, Bubu is the C-in-C, if DPR ain't carrying out their task, he should get them up and doing rather than sending in another agency to do their job. What he should have done is to assign DSS to DPR to carry out a effective job.

barcanista:
What's the meaning of this rubbish? I don't think Buhari understand how democracies work. Someone should tell Buhari that DSS job isn't to monitor petrol stations. Their job is domestic intelligence gathering. There is Department for Petroleum Resources (DPR) that is statutorily tasked for this role.

Someone should teach Buhari oooooo

u no get mouth... go and tell him now

If this would bring sanity to the system,then i'm all for it.

Bubu matter dey tire person seriously.

phyllosilicate:
no qualms.

I hope Buhari do the right thing?

SenseiX:

Oh cut the crap mister......don't try to spin this, the CIA's involvement in the multinational multi billion dollar drug trafficking is a far cry from a nation's premier intelligence agency monitoring fuel stations when there's an agency, DPR statutorily enabled to do that...........
It's so embarrassing i'll like to think it's a stupid joke. If he even wanted security backing, he could have gotten the civil defence or the police to do so.
Just imagine hooded snipers with Uzi rifles who should be chasing Shekau and his hordes harassing fuel station attendants

Did you just say "The Police". Dude, WTF!!!!. The Police and Civil Defense won't en force compliance because they can be easily bought! I wonder how you would entrust individuals who take joy in receiving N50 to shut down filling stations.

And you speak of harassment, if the managers/fuel attendants don't want to be harassed, they should obey simple rules. In fact, if I was PMB, I'll make sure filling station that collect N50 from people who buy petrol in jerricans are given 6 strokes of koboko!!.

Its high time we do away with nonsense in this country!.

Candyrain:


It's a very bad idea, Bubu is the C-in-C, if DPR ain't carrying out their task, he should get them up and doing rather than sending in another agency to do their job. What he should have done is to assign DSS to DPR to carry out a effective job.

Well to me I believe its still a right move. I've seen countless times filling stations shut down by DPR operatives, and within minutes of their departure, the filling station opens and resume selling.

Like I said earlier, the use of force can make a man obey simple rules.

barcanista:
I hope Buhari do the right thing?

That is just what we should hope for, if he succeeds, whether you liked it or not you played a role. Your articles back then were inspiring, you no longer write with such passion.