Fuel Scarcity to Continue for Two More Weeks, IPMAN Says

Fuel scarcity in Nigeria is expected to persist for at least two more weeks, according to the Independent Petroleum Marketers Association of Nigeria (IPMAN). This ongoing scarcity has caused fuel queues to form at filling stations across the country, impacting transportation and everyday activities.

Despite the Nigerian National Petroleum Company Limited (NNPCL) asserting that it has adequate fuel stock, Chinedu Ukadike, Public Relations Officer of IPMAN, stated that the product is not readily available due to importation bottlenecks. He cited issues such as the slow pace of marketers’ licence renewal by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the maintenance of European refineries as contributing factors.

Only 1,050 out of 15,000 marketers have had their licences renewed by NMDPRA. This bottleneck in licence renewal has significantly disrupted the supply chain, leading to longer queues and escalating fuel prices. Ukadike explained that the NNPCL is facing logistics and vessel problems, causing disruptions to the international supply chain. He added that most refineries in Europe are undergoing turnaround maintenance, contributing to the current shortage.

The impact of the fuel scarcity has been felt nationwide. In Lagos, long queues formed at the few filling stations that had fuel, with prices ranging from N600 to N700 per litre, depending on the location. Meanwhile, black market prices reached as high as N1,000 per litre. This has also led to a significant increase in transportation costs, with fares doubling in some cases.

In Kano, fuel scarcity worsened as most filling stations shut down, with prices reaching between N850 and N900 per litre at the few stations that remained open. In Kaduna, the scarcity persisted, with reports of petrol being sold at N1,200 per litre in some areas. Similarly, in Sokoto, the black market price for petrol hit N2,000 per litre.

In Osun State, many filling stations were closed due to the shortage, forcing motorists to rely on black market operators. This resulted in commuters being stranded at motor parks, as transport operators increased fares by over 100 percent.

Transport operators and businesses have been significantly affected by the ongoing fuel scarcity. Nonso Ubajaka, President of the Associate of Luxury Bus Owners of Nigeria (ALBON), said that drivers are spending three to four hours queuing for fuel, which affects their business operations. Due to the impact on transportation, passenger patronage has decreased, leading to further economic strain.

IPMAN and other stakeholders are urging the government to address the situation promptly to alleviate the fuel shortage and its ripple effects on the economy and daily life in Nigeria.