By Chidi Ugwu, Abuja
Nigerians woke up to a shocking surprise on Tuesday as the Nigerian National Petroleum Company Limited (NNPCL) without warning effected a significant hike in the pump price of Premium Motor Spirit (PMS), commonly known as petrol.
The new pump price, which ranges from N855 to N1,000 per litre depending on the location, has sparked outrage and criticism across the country.
A recent video circulating online shows that the price of petrol surged to N855 per litre at an NNPCL filling station in Ikoyi, Lagos, a significant increase from the previous price of N568.
This price hike follows a troubling announcement from the NNPCL regarding its financial struggles, including an accumulated debt of approximately $6 billion.
The increase in petrol prices is likely to have wide-ranging implications for consumers and the economy, particularly as Nigerians are already grappling with rising living costs.
The NNPCL’s decision to raise prices comes amid ongoing challenges in the oil sector and a pressing need to address its financial obligations.
As the situation develops, consumers and stakeholders are urged to monitor the situation closely and prepare for potential further changes in petrol pricing.
The sudden and unexpected raise in pump price of petrol has dominated discussions as virtually everyone is talking about the change and the resulting effects.
Already, commuters are the first casualties as many were seen stranded at various bus stops, along Maraba, AYA, Area 1 and Lugbe parts of the Federal Capital Territory, lamenting the sudden price hike.
A commuter, Michael Omeje, expressed his frustration saying that if not checked the situation may grind the economy to a halt stressing that people would be forced to stay at home.
“With what we are seeing here, the Nigerian economy is seriously threatened because the situation is that people cannot move even when the are willing because they can simply not pay for moving from one location to another.
Imagine! Just today alone, I have spent N9000 just coming to work and I am yet to get to my house. You can see my brother, that the situation is not sustainable. If the situation is not urgently addressed by the government it will lead to a situation where people can not go to work anymore, not out of protests this time but because they can’t afford the fare” he said.
It was gathered that even with the pump price hike, accessing the petrol is still very difficult, especially in Abuja only few filling stations are open for businesses resulting in emergency of black market hustlers making brisk sales across the nooks and crannies of the capital city.
Major NNPC filling stations and others were shut down ostensibly for lack of product or in speculations of likely official increase in pump price.
Stranded motorists resorted to black market at very exorbitant price, which is said to be from N1.200 to N1.400 per liter depending on one’s bargaining power.
Uchenna Ndibe, lamented to he was forced to buy N950 per liter from, Silvery Resource filling station, along old Karu road in Mararaba, a suburb located in Nasarawa state, but closer to Abuja.
“No one told me to stop and buy it at any cost when my fuel gauge was turning red last night. But, do you know what? It was N950/liter at the Silvery Resource filling station where I bought. Unbelievable! Is that not black market in filling station? This is definitely unsustainable. I think government needs to find a way of regulating this” he lamented.
Musa Adamu, a civil servant told our reporter that he was forced to park his car at home and use commercial bus to work, lamenting that transport fare has doubled due to the growing scarcity.
“The situation is taking a toll on every facet of human lives. Imagine I parked my car and took a commercial bus at twice the usual price, up the hill along the Kigbo axis the bus stopped, fuel finished. The conductor called these black market hustlers along the roads and they told him it is N1.400 per liter or no deal. This country is suffocating all of us and it is no longer funny” stated Adamu.
But in a statement, the Minister for Petroleum Resources (Oil), Heineken Lokpobiri, denied ever issuing such directive to the the Nigerian National Petroleum Company NNPC Limited, describing it as entirely devoid of truth, urging that the statement be recognised as an intentional effort to mislead the public.
According to the statement, signed by the Special Adviser, Media and Communication, to Lokpobiri, Nneamaka Okafor, on Tuesday and made available to our correspondent, the FG declared that the report was concocted and ill-conceived to sow discord and confusion in the oil industry.
The statement stressed that there was never a time the FG interfered with petroleum pricing with NNPCL, let alone give directives for price increment.
The statement read, “The Federal Government is compelled to address the outright falsehoods currently being circulated on social media, which claim that the Minister of Petroleum Resources (Oil), Senator Heineken Lokpobiri, has directed the Nigerian National Petroleum Company Limited to inflate petroleum prices above the approved pump price.
“We categorically condemn these claims as baseless, malicious, and a deliberate attempt to incite public discontent. We challenge anyone in possession of any evidence-be it written documents, audio, or video recordings-that supports these fabrications to make it public.
“Such a claim is entirely devoid of truth and should be recognised as an intentional effort to mislead the public. It must be stressed that NNPCL operates as an independent entity under the Companies and Allied Matters Act, with a fully empowered Board of Directors.
The Ministry of Petroleum Resources does not, and will not, interfere in the internal decisions of NNPCL, including pricing matters. Any suggestion otherwise is not only incorrect but also reveals a profound misunderstanding of the deregulated nature of Nigeria’s petroleum sector.”
