In a bid to alleviate the ongoing fuel scarcity across Nigeria, the Nigerian National Petroleum Company Limited (NNPC) has announced extended operating hours for fuel stations. This move comes in response to the significant disruptions in the supply and distribution of Premium Motor Spirit (PMS) caused by recent thunderstorms and adverse weather conditions.
Weather-Related Disruptions
Dapo Segun, NNPC’s Executive Vice President for Downstream Operations, highlighted that the recent thunderstorms severely impacted the ship-to-ship transfer of PMS, a critical process for fuel distribution. The adverse weather, including heavy rain and lightning, also affected the berthing of vessels at jetties and the loading of trucks at depots, creating a bottleneck in the supply chain.
“For safety reasons, we had to suspend the loading of PMS during thunderstorms,” Segun explained. “This led to a significant delay in the distribution process.”
Collaborative Efforts and Extended Hours
To address these challenges, NNPC has embarked on a joint monitoring initiative with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to ensure efficient fuel supply. Fuel stations are now encouraged to operate longer hours, and marketers are urged to collaborate by sharing their stocks to facilitate wider distribution.
“We are mobilizing trucks and ensuring that loading continues throughout the weekend,” Segun stated. “By extending fuel station hours and fostering cooperation among marketers, we aim to mitigate the impact of the recent supply disruptions.”
Pricing and Supply Challenges
The supply constraints have led to significant price hikes in various regions. In Abuja and neighboring states, black marketers have raised prices to between N1,000 and N1,100 per liter, while some retail outlets have increased the pump price to N900 per liter. Similar price increases have been observed in Lagos, with some stations selling petrol for as much as N750 per liter.
Ogbugo Ukoha, Executive Director of Distribution Systems, Storage, and Retailing Infrastructure at NMDPRA, emphasized the efforts to combat hoarding and black market activities. “Our officials are on the ground, ensuring there is no hoarding at depots and stations,” Ukoha assured. “We urge Nigerians to avoid panic buying.”
Logistical Solutions and Strategic Stocks
NNPC is working on long-term solutions to stabilize fuel supply and prices. The authority has implemented regulations on national strategic stock and framework, aiming to operationalize this framework to address logistic issues.
“Once these national strategic stocks are in place, we expect a significant improvement in supply logistics, which will help stabilize both supply and prices,” Ukoha added.
Stakeholder Collaboration for Lasting Solutions
Billy Gillis-Harry, President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), confirmed NNPC’s efforts to resolve the supply issues. However, he noted that it would take a few days to see the impact, especially in regions far from major depots.
“Filling stations in Abuja get products from Lagos, Oghara, Warri, Port Harcourt, or Calabar, which takes more than three days turnaround time,” Gillis-Harry explained. “We are confident that the situation is being addressed, but it will take some time for the effects to be felt widely.”
Nationwide Impact and Regional Differences
Fuel scarcity has been reported across various states, with significant price variations. In Ogun State, prices range between N700 and N750 per liter, while in Sokoto State, prices have soared to between N900 and N950 per liter. Similar trends are observed in Delta State and Kwara State, where prices range from N600 to N750 per liter.
Despite the challenges, NNPC assures the public that efforts are ongoing to restore normalcy. “Loading has commenced in areas where challenges have subsided, and we are working towards full normalization in the coming days,” NNPC spokesperson Olufemi Soneye stated.
Motorists and residents are urged to remain patient and avoid panic buying, as the NNPC, along with relevant stakeholders, works to resolve the logistics challenges and ensure a steady supply of fuel across the country.
