195 Pump Price: Showdown looms as fuel marketers plan lockdown, Monday

Independent marketers of Premium Motor Spirit, popularly called petrol, plan a lockdown on their operations beginning Monday once the government starts enforcing the N195/litre pump price.

The Punch newspaper gathered on Saturday that the Nigerian National Petroleum Company Limited, Major Oil Marketers Association of Nigeria, Depot and Petroleum Products Marketers Association of Nigeria, Independent Petroleum Marketers Association of Nigeria, security agencies and the downstream regulator had all agreed that petrol is sold at N195/litre.

Oil marketers said the agreement was reached at a meeting in Abuja on Tuesday, as participants resolved that beginning from Monday, February 6, 2023, the pump price of petrol should not exceed N195/litre, a development which dealers, particularly independent marketers, described as tough due to the high ex-depot price of the commodity.

They told the press that to avoid having their outlets sanctioned, many filling stations operated by independent marketers would be shut from Monday as it made no business sense to sell a product lower than the cost price.

This will further prolong the petrol scarcity, and queues in many parts of the country as independent marketers control about 80 per cent of filling stations nationwide.

IPMAN’s National President, Debo Ahmed, told the Punch news correspondent that the approved ex-depot petrol price was recently raised from N148/litre by the NNPCL to N172/litre. Still, depots hardly dispense the commodity at this cost.

Ahmed, reacting to the notice to members issued by the Public Relations Officer, IPMAN Ibadan Depot branch, Mojeed Adesope, stated that marketers were advised to sell the product in stock now before the enforcement begins on Monday.

In the memo, which was sighted on Saturday, Adesope said, “The top management of NNPC, other relevant authorities in the downstream sector of the economy, as well as all the security agents in the country, met at on Tuesday, January 31, 2023, to begin the enforcement of pump price of PMS at N195/litre at all the filling stations across the country with immediate effect.

“Towards that end, enforcement will commence effective from Monday, February 6, 2023 to enable you to dispose of all your remaining stock on or before the enforcement date.

“Members are hereby implored not to purchase products that they would not be able to dispense at N195/litre. The above information should be given wider spread/circulation in order not to get any member caught unawares. You are strongly advised to heed this information.”

Commenting on this, the national president of IPMAN said the information was in order as he urged other independent marketers to take note.