NNPCL, second time in 2 months, increases petrol price for Nigerians to N998, N1,030

By BASHIR ADEFAKA

The DEFENDER recalls that Dangote, in separate statements by its President, Alhaji Aliko Dangote, and Director of Brand and Communication, Mr. Anthony Chiejina, had said it had product enough to circulate all over Nigeria and stop importation. It said while NNPCL was lifting its petrol, which – against a government agency’s publicised substandard claim – is so far the purest and most engine friendly compared to the imported, the NNPCL was also still importing fuel from foreign countries.

Nigerians woke up into the “more saddening” situation of yet another upward review of the essential commodity – Premium Motor Spirit (PMS) – pump price by the Nigerian National Petroleum Corporation Limited (NNPCL) on Wednesday October 9, 2024.

The DEFENDER reports that the product, which was previously sold by filling stations operated by NNPCL for N897 per liter in Abuja, now sells for N1,030.

At NNPCL stations in Gwagwalada, Wuse, and Lugbe in the nation’s capital, motorists reportedly queued as they waited for attendants to commence fuel sales.

In Lagos, the fuel price has increased from N885 per liter to N998, with long queues observed at the stations.

Some Nigerian public affairs analysts have continued to wonder, however, that some members of the society would queue to buy fuel at price above N1,000 a complacency they describe as undesirable.

This adjustment follows reports of a potential price hike due to NNPCL’s withdrawal as an intermediary in the Dangote Refinery purchase deal.

The latest development marks the second upward adjustment by NNPCL in less than 30 days between September and October.

Although, NNPCL spokesperson, Olufemi Soneye, was yet to confirm the new prices increase as at the time of filing this report, the adjustment were observed to have been effected at the various outlets of the Nigeria-controled oil company.

In September, the NNPCL stated that it was purchasing petrol from Dangote Refinery at N898.78 per liter.

Dangote, however, countered it to say it did not sell its fuel to the NNPCL in Naira as, according to The DEFENDER at the time, if NNPCL did not sell crude oil to it in Naira but Dollar, it is not possible that Dangote would sell its refined petrol back to NNPCL in Naira.

President Bola Tinubu, the Minister of Petroleum Resources – following a complaint by Alhaji Aliko Dangote GCON that it was the same governing system of his own country that should suport him that was working hard to kill his efforts – had ordered that NNPCL should sell crude oil to him in Naira.

NNPCL, which reporting line is to the President, still went ahead and sold the crude to Dangote in Dollar without informing Nigerians it did in Dollar against the public information of presidential order.

The Dangote’s yet another outburst came when the only time the government company would speak to Nigerians was when it announced buying from the privately owned oil refinery in Naira.

The NNPCL’s action some observers described as a calculated attempt to blackmail the only indigenous private investor with the gut to do what many had thought to be impossible, establishing functional refinery in Nigeria.

Following public outcries over its September announcement of N850 petrol per litre as it claimed into buy from Dangote at the controversial N898.78 price, the NNPCL it was and selling it to marketers at N765.99 per liter, effectively absorbing a subsidy of nearly N133 per liter.

Ahead Wednesday upward adjustment, the company had indicated that this arrangement was no longer sustainable.

Between September 15 and 30, the NNPC lifted approximately 103 million liters of petrol from Dangote Refinery. During this period, the refinery managed to load 2,207 of the 3,621 trucks sent to it, according to government sources.

These trucks transported a total of 102,973,025 liters out of the intended 400,000,000 liters of petrol, which was to be lifted at a rate of 25 million liters per day, it was gathered.

Following the lifting, the NNPC announced newly increased prices for various locations across the country.

The DEFENDER recalls that Dangote, in separate statements by its President, Alhaji Aliko Dangote, and Director of Brand and Communication, Mr. Anthony Chiejina, had said it had product enough to circulate all over Nigeria and stop importation.

It said while NNPCL was lifting its petrol, which – against a government agency’s publicised substandard claim – is so far the purest and most engine friendly compared to the imported, the NNPCL was also still importing fuel from foreign countries.

In the past few months, fuel queues have been a common sight in major cities across Nigeria, leaving citizens struggling to obtain petrol.

Despite increase in the price of fuel in September, the queues, although have reduced, still remain prevalent in some places in Lagos, Abuja, Ogun and others.

At some point, petrol sold for N1,000 in some states in northern Nigerians. Some independent filling stations in Lagos and Ogun also sold at between N1,000 and N1,200 per litre before the NNPCL’s newly announced increment.

The increase in price of fuel has been progressive following the phasing out of fuel subsidy, with the government still unable to control the issue of petrol supply to marketers and filling stations.