The Nigerian National Petroleum Company Limited, NNPCL, which is also the sole importer of PMS has over time, spoken out over the enormous burden of shouldering fuel subsidy for the country with the FG budgeting about N3.6 trillion for fuel subsidy till June 2023.
Apart from the subsidy issue, another factor responsible for the six-month scarcity prediction was the fact that the current administration was winding down and businesses in the sector were taking their time since there was no assurance that the subsidy may stay or go.
According to Chief Ukadike Chinedu, the National Public Relations Officer, Independent Petroleum Marketers Association of Nigeria who spoke with the Punch, the looming scarcity can be attributed to suppliers who have stopped or held back from selling their products over fears that their debts will be carried over to the next administration.
He noted that this had occurred during past administrations where there was an epileptic distribution of petroleum products as successive governments took over power during the power transition.
Also speaking on the issue, the Chairman, Independent Petroleum Marketers Association of Nigeria, IPMAN Satellite depot, Akin Akinrinade, confirmed to the Punch that members of the association were yet to receive products from the government-owned oil regulator.
He said, “We are yet to see anything. They promised us something in December, but now they said January. All they’ve done is ask us to submit names and change from the old system-NNPC Express to NNPC Retail. Other than that, we are yet to receive any product”.
Akinrinade further added that the way the supply chain was going, the scarcity was bound to continue well after June 2023 if NNPCL does not supply “products directly and at regulated prices”.