₦airaland Forum

Oil marketers have declared that filling stations should not be blamed for the hike in the pump prices of Premium Motor Spirit, popularly called petrol, as queues for the commodity surfaced in various locations on Saturday.

Many filling stations in Lagos, Ogun, Abuja, and Port Harcourt, among others, were closed on Saturday, as dealers explained that they were monitoring developments to make adequate price adjustments.

Sunday PUNCH reported that petrol prices had risen to between N1,050 and N1,150/litre depending on the area of purchase, following the hike in the cost of the commodity by the Dangote Petroleum Refinery and various depot owners.

Dealers confirmed that PMS prices would continue to rise since the major component in fuel production, crude oil, has been on the upward swing lately.

On Friday, there was an increase in the price of petrol produced by the Dangote refinery. The $20bn plant raised its PMS from N899/litre to N955/litre at its loading gantry.

This led to a hike in the pump prices of the commodity by retail stations that dispensed the product on Saturday, while many others shut their outlets to monitor developments.

“There is no scarcity of product, rather filling stations are closed because dealers are observing developments and are careful not to run at a loss,” a major marketer, who spoke in confidence due to lack of authorisation to speak on the matter, stated.

The dealer insisted that marketers should not be blamed for the hike in petrol prices, stressing that the situation was due to the rise in the cost of crude oil.

Meanwhile, as many stations stayed closed on Saturday, the few that dispensed petrol sold it above N1,000/litre in Lagos, while those that dispensed below N1,000/litre, such as MRS, had long queues.

The MRS filling stations in the Alakpere and Ojodu Berger areas of Lagos that dispensed petrol at the N935/litre price earlier agreed between the oil marketing firm and the Dangote refinery had massive queues of motorists on Saturday.

Commenting on the issue, the Petroleum Products Retail Outlets Owners Association of Nigeria said filling stations should not be blamed for the changes in the prices of PMS.

PETROAN attributed the increase in PMS prices to the rise in the cost of crude oil in the international market.

It[b] said the benchmark for oil prices, Brent crude, stood at $80.85/barrel, while WTI oil and the OPEC basket were priced at $78.82 and $81.72/barrel, respectively.

Prices were said to have risen to a four-month high following the introduction of new US sanctions against Russian oil.
[/b]
The National President of PETROAN, Dr Billy Gillis-Harry, quoting Section 205 of the Petroleum Industry Act, stated that petrol prices are determined by market forces, indicating that the government and the Nigerian National Petroleum Company Limited no longer set petrol prices.

As a result, he noted that refinery operators in Nigeria will respond accordingly to changes in crude oil prices.


Gillis-Harry noted that increasing crude oil prices would inevitably affect domestic costs.

“It’s no longer funny; even retail outlet owners are affected by this up-and-down movement of prices. It affects our business,” he noted.

Gillis-Harry emphasised that PETROAN members cannot buy petrol at a higher price and sell it at a lower price.

“Our selling rate always reflects our buying rate. Our members shouldn’t be blamed for the current increase; it’s an external factor,” he added.

To mitigate the impact of PMS pricing in Nigeria, PETROAN advocated privatising government-owned refineries and encouraging competition in the downstream sector.

He maintained that the privatisation of refineries will not only reduce the financial burden on the government but also increase efficiency and productivity in the sector, saying, this will lead to a more stable and competitive market, ultimately benefiting the Nigerian consumer.”

“In addition, PETROAN is calling on the government to provide a more conducive business environment for retail outlet owners, including access to affordable financing and infrastructure development.

“By doing so, the government can help reduce the costs associated with running a retail outlet, thereby making petrol more affordable for Nigerians,” Gillis-Harry said.

In a statement by PETROAN spokesperson, Joseph Obele, on Saturday, the association emphasised the need for strategic collaboration and investment in Nigeria’s petroleum sector at the inaugural meeting of the Petroleum Industry Stakeholders’ Forum, which brought together key stakeholders from the government, regulatory bodies, and the private sector in Abuja.

PETROAN’s National President, Gillis-Harry, reiterated the association’s commitment to supporting initiatives that promote the growth and sustainability of Nigeria’s petroleum sector.

PETROAN pledged to add value to the stakeholders’ forum, contributing to shaping the industry’s future and addressing its challenges.

He commended President Bola Tinubu’s decision to fully deregulate the industry, unify foreign exchange rates, and implement policies “that unlock the full potential of our petroleum sector.”


PETROAN, in a position paper submitted to pressmen at the forum, said the Nigeria oil and gas sector recorded significant milestones that shaped Nigeria’s oil and gas downstream sector in 2024.

“As a critical stakeholder, PETROAN, comprising membership with over 6,900 retail outlets across Nigeria, played a crucial role in ensuring the smooth distribution of value to Nigeria. Therefore, it is correct to say that PETROAN was instrumental in the oil and gas sector’s achievements.

“However, to reinforce previous achievements, PETROAN recommends the following: privatisation of Nigerian-owned refineries; establishment of a robust monitoring and evaluation framework to track the performance of downstream operators; investing in infrastructure development, addressing cross-border smuggling; and prioritising local refineries’ access to crude oil.”

Source: https://punchng.com/Petrol-price-hike-Queues-resurface-at-filling-stations

Okay
Renewed queue

Many filling stations in Lagos, Ogun, Abuja, and Port Harcourt, among others, were closed on Saturday, as dealers explained that they were monitoring developments to make adequate price adjustments.

What useless development are they monitoring when they know the depot prices already. This is the sort of unionism that has turned Nigeria into a buying-n-selling republic. Almost zero production. With this move, they have created a shortage in supply(scarcity) and set the prices on an upward trajectory they can come back to capitalize on.

Finally, Dangote is becoming the one determining the price of petrol.

Hmmm

Today make it one week Timi the gospel singer removed the head Salome at Abuja.

Hmmm.....salome if you had known

All other Salomes alive should take caution of Sunday visitation.....

This is getting too much.

I will campaign for Tinubu if he can bring down the fuel price to 200-400 naira per litre.

The lesson I have learned from fuel scarcity is Nigerians value money over time.

People will queue over an hour at a station where petrol is n50 less per litre.

Even as the country boasts of 3-4 mega stations currently running .......

Truly, as a person, if u able to endure and survive in Nigeria , u can survive anywhere...!!

Nigeria is cursed, APC will destroyed Nigeria beyond repair 💯

Shey be the Ronu miscreants said once dangote's refinery and the warri refinery starts working fuel will be sold for #500?

High cost of energy is one of the causes of inflation
We shouldn’t be in this situation when we have this in our backyard
Greedy & lazy managers of the country are to blame. They obviously don’t care

Very useless beings

When kemi said she doesn't want Uk to be Nigeria some animals wanted to eat her raw in Nigeria..

See ur useless businessmen beings and government.... anything good from them?

Jagaban is working 😂😂😂😂😂😂

If someone had told me that we would be queuing to but fuel at N1,100 per litre I would have said its a lie. Now look at us!😤😤🤦🤦

It shall never be well with APC and it's supporters

Nigeria . I don't think we would ever get it right.

Luizkid:
Finally, Dangote is becoming the one determining the price of petrol.

Try and monitor business news and world news generally. That will prevent you from embarrassing yourself publicly.

Prices of crude has been increasing of late

Leave Dangote out of your ignorance.

Lol...

When same prices are reduced,it takes about 5-10 days for the marketers to bring it down,we Nigerians are not ready for the fncking truth sha,until we declare total war by ourselves on corruption and corrupt person's,we are not going anywhere.

When baba see say Nigeria people have manage to find their way around his wicked policy baba will bring another one to increase the suffering.

They want to increase price again?

I said it many times here that Dangote is a core capitalist who if given chance will exploit Nigerian to the fullest

It's amazing why we refused to learn from our experience when Dagote inflated cement priceand take it out of reach of many Nigeria.

NNPC must live to expectations by maintaining our refinery to give Dagote a run

i still don't understand how the oil thing works, we are not importing but refinering the oil here so why should the price be dictated by international prices.

ppogba:
Try and monitor business news and world news generally. That will prevent you from embarrassing yourself publicly.

Prices of crude has been increasing of late

Leave Dangote out of your ignorance.

Continue to support nonsense because of your APC political affiliation.

It's a shame. You are part of the reasons Nigeria can never be okay. Selfishness and ethnic based support because your man is in power. But remember power is transient. Never lasts forever.

No nation develops under cronyism,groveling bigotry and nepotism 😭

Nigeria is now buying fuel at over 1000% of what it used to be and is not available. Subsidy is gone.

As expected.... Except you have something important to do with your car.. Hw will you queue for hrs to buy fuel at 1150? God forbid

Luizkid:
Finally, Dangote is becoming the one determining the price of petrol.

Agbado talk

onyxo76:
i still don't understand how the oil thing works, we are not importing but refinering the oil here so why should the price be dictated by international prices.

It's determined by OPEC

ppogba:
Try and monitor business news and world news generally. That will prevent you from embarrassing yourself publicly.

Prices of crude has been increasing of late

Leave Dangote out of your ignorance.

News monitor is now your promis Villier

Blazebond:
When same prices are reduced,it takes about 5-10 days for the marketers to bring it down,we Nigerians are not ready for the fncking truth sha,until we declare total war by ourselves on corruption and corrupt person's,we are not going anywhere.

Exactly