TheNewsGuru

Tag: Fuel Scarcity

  • BREAKING: Fuel scarcity looms as petrol marketers threaten strike over N50bn bridging claim

    BREAKING: Fuel scarcity looms as petrol marketers threaten strike over N50bn bridging claim

    Days to the Christmas celebrations of 2021, petroleum marketers under the aegis of Northern Independent Petroleum forum have threatened to embark on an industrial strike action over N50 billion bridging claim.

    TheNewsGuru.com (TNG) reports the forum’s chairman, Alhaji Musa Maikifi made this known in a statement issued on Sunday in Kano State.

    Maikifi in the statement stressed that the federal government through the Petroleum Equalization Fund was yet to settle the N50 billion Bridging Claim for over nine months.

    According to him, failure to settle the claims may force many out of business and lead to scarcity of fuel in the North, adding that the majority of its members have ran out of capital, hence could not buy and transport fuel to the region.

    According to the statement, Maikifi made the lamentation during a meeting with the Forum’s members from the nine depots across the Northern states, at Ni’ima Guest Palace in Kano on Saturday.

    He said for the past nine months they had made efforts to get their money paid but in vain.

    “If this continues in this way so many of us will have to close down our fuel stations. This will add to the fuel scarcity in the region because the marketers have no capital.

    “The Federal Government couldn’t settle our claims of over N50 billion. We met the authority involved and they promised to pay us but yet they haven’t.

    “So, that is why we are here to plead with them to pay us our unsettled claims so that we can continue our business smoothly,” he lamented.

    According to him, they formed the Northern Independent Petroleum Marketers Forum to always have one voice that will speak on their behalf, adding that the leadership crisis rocking the IPMAN has also added to their burden which their Forum is ready to address.

    Alhaji Zarma Mustapha, said the bridging claims were supposed to have been paid within two weeks but for months now they are not settled, and that over 3000 marketers from the north are involved.

    “One thing that will surprise you is that this money does not belong to the Government. It is generated from the consumers that purchased fuel from us marketers and the NNPC gathered the money and then pay us through PEF. But still they hold our money.

    “Presently you can see that there is fuel scarcity here and there in the north, and if we enter January, February without our claims settled, I assure you that we can’t do it, we can’t do the business,” he said.

    He urged President Muhammadu Buhari and the Minister of State for Petroleum to intervene into the matter to help them sustain their business.

  • NNPC douses tension of fuel scarcity at Christmas, New Year celebrations

    NNPC douses tension of fuel scarcity at Christmas, New Year celebrations

    The Nigerian National Petroleum Company Ltd. (NNPC) has doused the tension of fuel scarcity as Christmas and New Year celebrations draw near.

    TheNewsGuru.com (TNG) reports the NNPC as saying it will continue to work tirelessly to ensure sufficient supply of petrol to every part of the country during and beyond the forthcoming festive period.

    Group General Manager, Group Public Affairs Division, NNPC, Mr Garba Muhammad, made this known in a statement on Tuesday in Abuja.

    Muhammad expressed appreciation to Nigerians for always heeding its advisories not to engage in panic buying of petrol.

    “The NNPC is once again giving Nigerians strong assurance that we have product sufficiency that will last far beyond the festive period.

    “Indeed, our stock has risen from a reserve of 1.7 billion litres to over two billion litres within the last one month,” he said.

    Muhammad, therefore, urged Nigerians not to engage in panic buying, but to fully enjoy the spirit of the festive season.

    While appreciating Nigerians for their understanding and support, he promised that NNPC will not relent, in always ensuring sufficient supply of petrol.

    “We wish you all happy celebrations,” he said.

  • Respite as NUPENG suspends planned strike

    Respite as NUPENG suspends planned strike

    The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has suspended its planned strike.

    This followed interventions and engagements with government agencies and institutions, including the NNPC.

    The union expressed gratitude to NNPC’s Group Managing Director, Mr Mele Kyari and his team of professionals over the roles they played in positively resolving the impasse.

    It stated that: “NNPC’s management has once again proven to the union and the nation that it can be trusted in matters of ensuring decency of employment and peaceful industrial relations in the Nigerian oil and gas industry.

    “On behalf of members of our union, we promise to reciprocate these commendable efforts with hitch-free and effective distribution of petroleum products during the forthcoming festive period.’’

    NUPENG’s President, Mr Williams Akporeha and General Secretary, Mr Afolabi Olawale made the declaration in a statement issued on Thursday in Lagos.

    On Nov. 25, NUPENG extended a 14-day ultimatum earlier given to the Federal Government by seven days.

    The planned strike was to protest what NUPENG called non-implementation of agreements reached with government.

    “Some of the resolutions from these engagements include commencement of the processes to clear all backlogs of arrears of salaries and allowances owed contract workers of Oil Mining Licence 42 before the end of December.

    “The agreement and firm commitment to pay N2.13 million to each of the former employees of the big six contractors whose terminal benefits were short-paid in 2012 following the closure of the contract.

  • NNPC calms frayed nerves as fuel scarcity threatens Nigeria’s second largest city

    NNPC calms frayed nerves as fuel scarcity threatens Nigeria’s second largest city

    The Nigerian National Petroleum Corporation (NNPC) has advised the public not to engage in panic buying of Premium Motor Spirit, commonly known as petrol as fuel scarcity presently threatens Kano, Nigeria’s second largest city.

    In an effort to calm fray nerves, the NNPC said it was also not aware of any plan by government to cause an increase in the pump price of petroleum.

    A statement on Monday by Garba Muhammad, Group General Manager, Group Public Affairs Division, NNPC, in Abuja, said that the NNPC had over 1.7 billion litres of petrol in stock.

    According to Muhammad, more of the product is expected to arrive into the country daily over the coming weeks and months.

    He said it was therefore unnecessary to entertain any fear of scarcity of petrol throughout the festive season and beyond.

    “The NNPC is also not aware of any plan by government to cause an increase in the pump price of petroleum. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has made that declaration last week.

    “In view of these assurances therefore, the NNPC is advising motorists and other consumers of petrol to maintain their regular pattern of the purchase of petrol without getting into a panic situation that may send the wrong signals around the country,” he said.

    According to him, the NNPC is also engaging all stakeholders to ensure smooth supply and distribution of products to every part of the country during the festive season and beyond.

    Scarcity of fuel looms in Kano; as many filling stations remain closed

    Meanwhile, motorists in Kano State are experiencing fuel scarcity, as long queues have resurfaced at filling stations in the State.

    An investigation conducted by NAN Correspondents indicated that majority of the filling stations visited within the metropolitan area were under lock and keys.

    The investigation further reveals that only a few filling stations were selling at the control price of N165 per litre.

    The situation was, however, characterised by long queues and filling stations selling only with one or two pumps to customers in spite of the long queues.

    The situation outside Kano metropolitan area is not different as majority of the stations outside Kano city remained closed while the a few ones operating were selling at above Government-approved price.

    In Tsanyawa, Bichi, Dawakin-Tofa and Gwarzo Local Governments, reports indicate that the marketers sell the PMS at N174 per litre which is above the approved price by the government.

    A lot of motorists were left with no option than to purchase fuel from black marketers at higher price, ranging from N1,000 to N1,500 per four-litres gallon, depending on the location.

    Alhaji Idris Abdullahi, a motorist, said he went round the town to buy fuel on Saturday evening but couldn’t get any and the situation forced him to buy from the black marketers.

    According to Abdullahi, he bought a four-litre gallon of fuel at N1,100, against the former price of between N700 and N800.

    Malam Muazu Kafar-Na’isa, a driver, also added that he bought four litres of fuel at N1,500 at Tsanyawa on Sunday evening.

    He urged the Federal Government to hasten measures that would restore the normal pump price of fuel in order to lessen the burden on the masses.

    The Independent Petroleum Marketers Association of Nigeria (IPMAN), Kano branch, had alerted the government over a plan by some private deport owners to increase fuel prices in the country.

    Alhaji Bashir Danmallam, IPMAN branch Chairman, Kano state, was quoted as saying in a statement recently in Kano that the decision would cause fuel crises in the country.

    He alleged that such private deport owners had already increased the price of the product from N148 to N153 and N155 per litre.

    “The association found it necessary to alert the government in order not to blame our members in the event they increase the price of the commodity, as they will not sell at a loss.

    “We are equally calling on the management of the Nigerian National Petroleum Corporation (NNPC) to investigate the issue with a view to proffering solutions,” he said.

  • NNPC allays fear over fuel scarcity

    NNPC allays fear over fuel scarcity

    The Nigerian National Petroleum Corporation (NNPC) has allayed fears of any hitch in petroleum products supply following reports of resurgence of queues in some parts of the country.

    Malam Mele Kyari, Group Managing Director, NNPC, gave the assurance while speaking at the Association of Energy Correspondents of Nigeria (NAEC) 2021 Strategic International Conference on Tuesday in Lagos.

    The conference had as its theme: ‘Petroleum Industry Act: Energy Transition and the Future of Nigeria’s Oil and Gas.’

    Kyari said NNPC’s objective was to provide energy security for Nigeria and ensure availability of petroleum products in the country.

    He said: “As we speak now, there is speculation of fuel scarcity within the media but we have over 1.7 billion litres of Premium Motor Spirit in the country.

    “We have another 2.3 billion litres coming in so there is no shortage in supply as being speculated.

    “Of course there are issues about pricing at some depots but government has no plan to revise the pricing structure.”

    Kyari said the ongoing United Nations Climate Change Conference (COP26) in Glasgow, Scotland, again highlighted the challenges faced by Nigeria and other African countries in the global energy transition.

    He said President Muhammadu Buhari, in his speech before the world leaders, had demanded for energy justice for the continent and the need to exploit the available resources as a pathway
    to attain the net-zero carbon objective by 2050.

    The NNPC boss noted that though Africa accounted for only about three per cent of the global carbon emission, the continent still had the responsibility to join the world in combating climate change.

    According to him, Nigeria has identified its abundant gas resources as its fuel for energy transition, which informed the declaration of the Year 2021 to Year 2030 as the Decade of Gas by the government.

    Kyari said: “We are making good progress in terms of the implementation of the PIA which is clearly creating the path for transition.

    “There is no way we can achieve this feat without adequate infrastructure to transport the resources to where it will be used and that is why we are investing in massive gas infrastructure.”

    He said the projects included the Obiafu-Obrikon-Oben (OB3) and the Ajaokuta-Kaduna-Kano pipelines, which would deepen gas utilisation in the country.

    Also, Mr Simbi Wabote, Executive Secretary, NCDMB, said the passage of the PIA had opened a vista of opportunities for the industry.

    Wabote, represented by Mr Tunde Adelana, Director, Monitoring and Evaluation, NCDMB, said the implementation would impact positively on local content development and host communities.

    He added that it would also stimulate the much-needed investment to the oil and gas industry.

    Earlier in his address of welcome, Mr Olu Phillips, Chairman, NAEC, said statistics showed that more than 100,000 people died annually in Nigeria as a result of indoor inhalation of waste gases.

    Phillips said this informed the global energy transition, adding that the Nigerian government was responding with the focus on optimal utilisation of the country’s gas resources.

  • Nigerians to face another fuel scarcity as NUPENG commences nationwide strike December 11

    Nigerians to face another fuel scarcity as NUPENG commences nationwide strike December 11

    Tanker drivers under the auspices of National Union of Petroleum and Natural Gas Workers (NUPENG) will commence strike on December 11, 2021 to protest the deplorable state of roads in Nigeria.

    South-West Zonal Chairman of NUPENG, Tayo Aboyeji, said the drivers would withdraw their services on December 11 in protest of the many lives and properties lost to bad roads.

    NUPENG said each time they were to go on strike, they had to call it off “because it will generally affect the majority of Nigerians.”

    However, this time around the union said their hands are tied. “We are going on nationwide strike because of the deplorable and shameful state of our highways.”

    Lamenting over Nigeria’s deplorable road, they said, “When a truck loads petrol in Lagos, the drivers spend five to six days to get to Abuja because of the shameful state of the roads.

    “All calls by the executive of petroleum unions have fallen on the deaf ears of the government as the highways continue to deteriorate nationwide.

    Blaming the Federal Government, Mr Aboyeji said NUPENG “cannot continue to fold its hands while our members are getting burnt everywhere and every day.”

  • Fuel scarcity scare: No plan to go on strike – IPMAN

    Fuel scarcity scare: No plan to go on strike – IPMAN

    The Independent Petroleum Marketers Association of Nigeria (IPMAN) is neither planning to go on strike nor planning to shut fuel stations nationwide, its National President, Alhaji Sanusi Fari, said on Monday.

    He said in a statement issued in Awka and signed by the association’s National Secretary, Mr Chidi Nnubia, that the public should dismiss any information regarding the planned strike.

    The association’s National Public Relation Officer, Alhaji Yakubu Suleiman, had threatened in Abuja on Monday that IPMAN would go on strike and shut fuel stations nationwide beginning from Tuesday because the police laid siege on its secretariat.

    Suleiman alleged that some police officers laid siege on IPMAN’s National Secretariat last Friday for undisclosed reasons.

    He said that aggrieved IPMAN members and officials at states, zonal and depots levels, held series of meetings and threatened to shut filling stations if the issue was not properly addressed.

    Suleiman also advised government and security agencies to “halt impunity in the downstream sector of the petroleum industry’’.

    IPMAN’s National President, Alhaji Fari, however, urged petroleum dealers and the public to ignore Suleiman’s position.

    He also advised the public not engage in panic buying of petroleum products.

    “We wish to inform the general public that our members have no plans to shut down any petrol station in the country as there is no reason to take such action.

    “Our members are directed to disregard a publication by some persons whose stock in trade is to sabotage the efforts of the Federal Government and the PPMC to provide uninterrupted supply of petroleum products nationwide.

    “We ask the general public to ignore any information emanating from any unscrupulous individuals attempting to hijack the association for their selfish and profiteering adventure.

    “Those individuals lack the capacity to call off our services as they are illegally parading themselves as officers of the association in total disregard and disobedience of a Supreme Court judgment of Dec. 14, 2018.

    “We enjoin the public to go about their normal activities as we continue to support the Federal Government through the Ministry of Petroleum Resources and NNPC to ensure availability of petroleum products across the country,’’ Fari said in the statement.

    The IPMAN president condemned attempts by some groups within the association to blackmail the government by calling out marketers for nationwide protest.

    Fari said IPMAN was working harmoniously with sister organisations including the National Union of Petroleum and Natural Gas (NUPENG) workers and the National Association of Road Transport Owners.

    He added that IPMAN was also working in harmony with the Petroleum Tankers Drivers unit of NUPENG to ensure adequate supply of petroleum products nationwide.

    Fari stressed that any aggrieved member not satisfied with the Supreme Court order should return to court and not resort to an empty threat that might make the motoring public to engage in panic buying of petroleum products.

  • Petrol queues will normalize in hours – NNPC GMD

    Petrol queues will normalize in hours – NNPC GMD

    The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, has frowned at the re-emergence of petrol queue across the country, assuring that the situation will normalize in hours.

    Kyari gave the assurance when he addressed State House correspondents after giving an update on the petroleum sector to President Muhammadu Buhari at the presidential villa, Abuja, on Tuesday.

    He attributed the sudden re-emergence of the fuel queue to strike action embarked upon by the association of petrol tankers drivers.

    The GMD, however, revealed that following the intervention of the leadership of the NNPC, the strike had been suspended for one week and the tanker drivers had resumed lifting of petroleum products from all fuel depots across the country.

    He said: “These queues will go away. It’s because there was an industrial action by petroleum tanker drivers against their employers, the National Association of Road Transport Owners, around their compensation package.

    “And those issues were not resolved up till yesterday, until we intervened to ensure that there’s an amicable settlement between the parties so that they will have peace and then normal loading operations will commence from the depots.

    “As I speak to you at this moment, loading has commenced in all depots in the country, dispatches of trucks are ongoing in all the depots in the country and they have called off the strike for a period of one week to enable us intervene and find a solution.

    “So, there’s really nothing fundamental that is happening now.”

    Kyari further stated that the petrol queues had nothing to do with the ongoing issue of petroleum subsidy.

    “Subsidy is a policy matter. I’m sure you’re aware of this. There are engagements going on within the government to get the best framework for having a fully deregulated PMS market.

    “As this is going on, we are engaging all parties and all stakeholders as government and to make sure that at the end of the day, there’s an exit that is beneficial to the ordinary man.

    “That is why we know we will not be able to complete that in the month of May and therefore, we declared that there will be no increase in fuel price.

    “I have no update in hand now. This is beyond me, but we’re engaging to make sure that we have the right timeline,’’ he added.

    On the impact of the rising crude oil price on the corporation, the GMD said it has both benefits and drawbacks.

    “You know, it works both ways. Once prices increase, your revenue also increases.

    “So, I don’t have any numbers around it, but I also know that your obligation to the price of petroleum increases and your net revenue also increases.

    “There’s a balancing factor. I don’t think there’s anything much to worry about,’’ he said.

  • Massive fuel scarcity hits Abuja as black market operators sell one litre for N500

    Massive fuel scarcity hits Abuja as black market operators sell one litre for N500

    Barely 24 hours after the Federal Government announced that by June fuel subsidy will be removed from all petroleum products, massive fuel scarcity has hit Abuja, the Federal Capital Territory.

    TheNewsGuru.com (TNG) reports that the development has led to massive fuel queues along major roads in the FCT as black market operators now sell a litre of fuel for N500.

    Along the Abuja-Kaduna-Kubwa expressway, a ten litre jerry can of fuel sells for N5,000 while a 25 litre can goes for N12.500.

    Except for Gegu fuelling station that is selling fuel, other private operators along the express seal their gates while the three NNPC outlets are selling as vehicles litter the service lane.

    Recall the Nigerian National Petroleum Corporation (NNPC) had announced that by June fuel subsidy will be removed from all petroleum products.

    The Group Managing Director, Malam Mele Kyari, made this known at the end of a closed door meeting with Petroleum Transport Drivers (PTD), National Association of Road Transporters Owners (NARTO) and oil marketers in Abuja on Monday.

    He also said the NNPC will not increase the ex-depot price of Premium Motor spirit also known as petrol in May.

    Ex-depot price is the price marketers buy products from depot owners; it determines the pump price at filling stations.

    However, queues resurfaced in most filling stations around the Federal Capital Territory with visibility of black marketers along the major highways.

    “We want to inform oil marketing companies that NNPC will not increase the pump price of PMS in May.

    “I am giving the assurance and I ask Nigerians to go about their normal businesses; we have over 20 billion litres of petrol in our custody.

    “Many of you are aware of this and with the assurance with tanker drivers and NUPENG, there is no need for panic buying of the product.

    “Petrol will be available in all the depots in the country including NNPC dispatched depot across the country, so nobody should panic in buying the product,” the NNPC GMD had said.

    Meanwhile, on the strike by PTD, he said the strike was associated with NARTO’s inability to increase their compensation which was not resolved last week.

    “We have given commitment to both NARTO and PTD that we will resolve the issue within a week and come back to the table to have a total closure on the issue.

    “We also have a robust engagement with our oil marketing partners in respect of increase in the volume product that is check in the Nigerian market.

    “We have agreed to work jointly with all the security agencies to contain any possible infractions seen in our borders.

    “We will work as a team to curtail this fraudulent practice with the help of the security agencies,” he added.

    He added that the meeting also discussed issues on payment by Petroleum Equalisation Fund (PEF) to oil marketing companies.

    He said that all stakeholders agreed in making PMS available to marketers.

    Alhaji Yusuf Orthman, NARTO President, commended the NNPC for the intervention and assured that within the next seven days, things will normalise in the adjustment of allowances of PTD.

    “We have requested that they bring three persons so that we discuss the issues but that would not have been possible without this intervention.

    “We hope that within the next seven days things will normalise and I want to assure Nigerians that we are committed to it,” he said.

    Also, PTD president said that the strike has been suspended until the next seven days

    He commended the NNPC and all the stakeholders for their quick intervention.

    “We believe that the condition of service of tanker drivers and others need to be improved and we believe that everything will be resolved as discussed,” he said.

  • DPR addresses Easter fuel scarcity fears

    DPR addresses Easter fuel scarcity fears

    The Department for Petroleum Resources (DPR) has assured Nigerians of adequate supply of petroleum products before, during and after the Easter celebrations, dousing fears of possible fuel scarcity.

    Mr Paul Osu, Head, Public Affairs, DPR made this known in a statement issued on Wednesday in Lagos State.

    The Federal Government had declared April 2 and April 5 as public holidays to mark the celebration.

    Osu said that there was product sufficiency nationwide and advised marketers against hoarding and creating artificial scarcity.

    He said DPR would intensify its monitoring and surveillance of petroleum products outlets to ensure compliance with quality, quantity, integrity and safety of operations in line with its regulatory mandate.

    Osu advised consumers to report any infraction such as under dispensing of products to any DPR office nationwide.

    He also reiterated the DPR’s commitment to safety and advised consumers to observe all necessary safety protocols in the handling of petroleum products, especially at this season of harmattan.

    Osu said the regulatory agency would continue to initiate appropriate initiatives to enable business and create opportunities for investors and stakeholders in the oil and gas industry in Nigeria.