Lagos, Nigeria – A new round of petrol scarcity has struck Lagos State and other parts of the country, leading to extended queues at filling stations and a significant hike in fuel prices, with some outlets selling at an alarming rate of N900 per litre.
The Federal Capital Territory (FCT) and surrounding states have been hit particularly hard, experiencing one of the worst supply crises in recent times. Long queues stretching kilometres have caused heavy gridlock in Abuja, with many filling stations shut down. The few stations that had petrol were selling at N900 per litre, and black market prices soared, with a 10-litre container of petrol selling for as much as N12,000.
In the FCT on Monday, the queues extended from the NNPC Mega Station on the Gwarimpa axis of the Zuba-Kubwa Expressway to Conoil and Total filling stations, directly opposite the headquarters of the national oil company in the city centre. The NNPC Mega Station on Olusegun Obasanjo Way in Zone 1 and other stations around the area, including Total, faced similar situations, with only a few having the product and facing incredibly long queues.
The story was the same in Niger and Nasarawa states. While NNPC mega stations still sold petrol for N617 per litre, they had queues over a kilometre long. Meanwhile, roadside black marketers thrived, making brisk business amid the crisis.
NNPCL Attributes Scarcity to Adverse Weather and Logistics Disruptions
The Nigerian National Petroleum Company Limited (NNPCL) attributed the fuel queues to disruptions in the movement of products caused by inclement weather conditions, including thunderstorms and lightning. Olufemi Soneye, Chief Corporate Communications Officer of NNPCL, explained that the adverse weather had caused a disruption in the ship-to-ship transfer of Premium Motor Spirit (PMS) between mother vessels and daughter vessels, affecting station supply logistics.
The statement noted that the flammability of petroleum products necessitated compliance with Nigerian Meteorological Agency (NIMET) regulations, which prohibit loading petrol during rainstorms and lightning for safety reasons.
“The NNPC wishes to state that the fuel queues seen in the FCT and some parts of the country were as a result of disruption of ship-to-ship (STS) transfer of Premium Motor Spirit (PMS), also known as petrol, between mother vessels and daughter vessels resulting from a recent thunderstorm,” the statement read.
Soneye added that the situation was compounded by flooding of truck routes, which constrained the movement of petrol from coastal corridors to Abuja. NNPCL is working with relevant stakeholders to resolve the logistics challenges and restore seamless supply to affected areas.
IPMAN Disputes NNPCL’s Claims, Cites Sole Importation and High Depot Prices
The Independent Petroleum Marketers Association of Nigeria (IPMAN) disputed NNPCL’s claim, citing the sole importation of petrol by NNPCL and the exorbitant cost of purchase from private depots as primary causes of the scarcity. Private depot owners had increased the ex-depot price of petrol from N630 to N720 per litre, making it challenging for independent marketers to procure the product.
Hammed Fashola, National Vice President of IPMAN, explained that many filling stations were shut because they had no fuel. He emphasized that NNPCL, as the sole importer, should explain the situation to Nigerians.
“Those that shut their stations do not have fuel to sell. When you don’t have fuel, you cannot open your station. That is the problem,” Fashola said. “Currently, independent marketers cannot buy what the private depots are selling. They are selling fuel between N715 and N720 per litre.”
National President of IPMAN, Abubakar Maigandi, added that transportation challenges, compounded by bad road conditions and recent rainfall, had made it difficult for trucks to lift products. He also noted that the increase in ex-depot prices had contributed to the higher cost at pumps.
Clement Isong, Executive Secretary of the Major Energy Marketers Association (MEMAN), echoed the impact of recent rainfall across the country, particularly in Lagos, on product lifting by trucks.
NNPCL assured the public that loading had commenced in areas where weather conditions had improved and urged motorists to avoid panic buying and hoarding of petroleum products.