Business

Fuel Prices Increasesto N1,300/Litre as Depots Face Shortages

Published by Tope Fakinlede on July 29th, 2024.

Fuel Prices Increasesto N1,300/Litre as Depots Face Shortages

Many depots across the country are currently out of stock for Premium Motor Spirit (PMS), leading to severe fuel shortages and long queues in Lagos, Ogun, parts of Abuja, Niger, and other states.

According to FIRST CLASS GISTS, black marketers are exploiting the situation, charging up to N1,300 per litre in some areas of Lagos and Ogun states, with prices peaking at N1,500 per litre.

Long lines at fuel stations in Abuja and Lagos began on Friday and have continued unabated. On Saturday, the Nigerian National Petroleum Company Limited (NNPC) attributed the supply issues to disruptions in the discharge operations of several vessels. NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, assured that efforts were being made to address the problem and restore normal operations.

Despite these assurances, the situation has deteriorated. Nationwide checks on Sunday revealed persistent long queues at numerous filling stations in major cities.

No Fuel Loading at Apapa Depots

FIRST CLASS GISTS has learned that Apapa depots had halted fuel loading as of Sunday. An anonymous depot operator confirmed that most depots were depleted after minimal supply on Saturday.

In Abuja, some stations selling fuel were charging between N660 and N800 per litre, while black marketers were demanding around N1,200 per litre. Oil marketers also reported long wait times at depots, with most facing stock shortages. Hammed Fashola, the National Vice President of the Independent Petroleum Marketers Association of Nigeria, indicated that marketers were purchasing fuel from private depots at prices exceeding N700 per litre. He noted that without direct supplies from NNPC, the scarcity would persist.

Clement Isong, Executive Secretary of the Major Energies Marketers Association of Nigeria, also confirmed low stock levels but could not predict when the situation would improve.

The spokesperson for the NNPC, Olufemi Soneye, did not provide updates on when the supply issues would be resolved by the time of this report.

N1,500/Litre in Ogun and Lagos

In Lagos and Ogun states, many fuel stations were closed on Sunday, and those that remained open had extensive queues. Black marketers were selling fuel between N1,200 and N1,500 per litre, depending on location.

A bus driver in Lagos, Elijah Sunday, complained about the difficulties in obtaining affordable fuel, leading to increased transportation costs. A minibus driver on the Eko Hotel-CMS route also raised fares due to the fuel scarcity.

In Benin City, Edo State, motorists faced long waits for fuel, with prices at NNPC stations set at N591 per litre, while other stations charged between N750 and N800 per litre.

In northern regions, black marketers in Gombe sold fuel for between N850 and N1,000 per litre, with some charging as high as N1,250 per litre. In Jos, Plateau State, black marketers charged N1,300 per litre, exacerbating the economic burden on residents.

In Minna, Niger State, a local civil servant stated that the high cost and scarcity of fuel had led him to abandon his car in favor of a motorcycle. Similarly, long queues were reported in Katsina and Jalingo, Taraba State.

In Yola, Adamawa State, black marketers were selling fuel for between N1,000 and N1,200 per litre, prompting commercial drivers to increase fares.