Government Assures Petrol Availability Nationwide Amidst Price Surge

Heineken Lokpobiri, the Minister of State for Petroleum Resources, has pledged that petrol will be accessible across Nigeria by the weekend. This assurance came during a briefing with State House reporters following a meeting with Vice President Kashim Shettima, National Security Adviser Nuhu Ribadu, and NNPC Group Chief Executive Officer Mele Kyari. The meeting, convened at President Bola Tinubu’s request, aimed to address the ongoing petrol shortage and the impact of recent price hikes.

Despite a recent price adjustment, which has seen petrol prices soar to between N855 and N897 per litre at NNPC stations and up to N1,250 per litre with independent marketers, queues at fuel stations persist. The Manufacturers’ Association of Nigeria (MAN) and the Nigerian Chamber of Commerce, Industry, Mines, and Agriculture (NACCIMA) have voiced concerns that these price increases could exacerbate inflation and elevate the cost of doing business in the country.

Lokpobiri emphasized that the government is not controlling petrol prices, which remain subject to market forces due to sector deregulation. He urged Nigerians to avoid panic buying, noting that the focus should be on ensuring consistent availability of fuel. He reassured the public that, with adequate supply, prices are expected to stabilize.

A recent market survey by Daily Trust revealed that the rise in petrol prices has significantly impacted food costs. For instance, in Abuja’s Abaji market, prices of local rice and beans have surged, with transport costs doubling, as reported by traders. Similar price increases for food items were observed in other cities like Kano, Lagos, and Kaduna, driven by higher transportation costs due to increased petrol prices.

In response to the current situation, the NNPC highlighted that foreign exchange liquidity issues are contributing to the fluctuations in petrol prices, which are governed by market dynamics under the Petroleum Industry Act (PIA). The Executive Vice President of Downstream, Mr. Adedapo Segun, stated that fuel scarcity is expected to ease in the coming days as more stations begin to operate fully and the Dangote Refinery starts supplying petrol.

NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, reiterated that the market deregulation means that petrol prices are influenced by market conditions rather than direct government intervention. Segun assured that the NNPC is working with various stakeholders to prevent product diversion and ensure timely delivery across stations to mitigate the scarcity.

Written By: Blossom Kugbere.

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