The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) raised concerns on Monday regarding the alarming rise in the price of Premium Motor Spirit (petrol), which has reportedly reached as high as N650 per litre in some areas. This increase is attributed to a prolonged scarcity of petrol, which has worsened in Abuja and various parts of the country. PENGASSAN has called on the Federal Government to revoke the licenses of oil marketers found to be hoarding petrol.
In related developments, it has come to light that the 14-member steering committee on petroleum products supply and distribution management, recently approved by the Federal Government to address the ongoing petrol scarcity, has yet to be inaugurated. The committee, chaired by President Muhammadu Buhari (retd.), was announced last Tuesday by the Minister of State for Petroleum Resources, Chief Timipre Sylva. According to a source from the Federal Ministry of Petroleum Resources, the committee cannot commence its work without proper inauguration, as the chairman has been traveling recently.
PENGASSAN has been actively monitoring the situation, particularly through its members at the Nigerian National Petroleum Company Limited, who are responsible for product allocation to marketers. The association is also in communication with its members from the Nigerian Midstream and Downstream Petroleum Regulatory Authority, who oversee various operational aspects, including cargo clearance and compliance monitoring. PENGASSAN emphasized the need for these members to fulfill their responsibilities promptly.
The association acknowledged that while economic factors such as exchange rate fluctuations and rising costs of vessel hiring and diesel have impacted pricing, there is insufficient justification for the inflated petrol prices that are causing further hardship for the public. In a statement signed by PENGASSAN President Festus Osifo and Secretary Lumumba Okugbawa, they noted that although some marketers adhere to regulations, others are creating artificial scarcities to unjustly raise prices, which currently range from N185 to N650 depending on location and outlet.
PENGASSAN also highlighted that data from its members indicates a sufficient supply of petrol, with over 30 days of stock available nationwide. They called on the management of the NMDPRA to ensure that all marketers and retailers provide petrol at approved prices and to mobilize staff to monitor compliance. The association warned that any marketers found violating these regulations should have their licenses revoked as a deterrent.
Furthermore, PENGASSAN expressed empathy for Nigerians enduring the hardships caused by the current petrol scarcity and the significant price increases. They reiterated their commitment to collaborating with other stakeholders to prevent further exploitation of the public, emphasizing the importance of timely intervention in the ongoing crisis.
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