Oil Marketers Warn Nigerians of Imminent Fuel Price Hike.
The President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gilly-Harry, has cautioned Nigerians to brace themselves for a potential increase in the price of Premium Motor Spirit (PMS), commonly known as petrol, in the coming days.
Despite the recent commencement of petrol production by the Dangote Refinery, which some had hoped would lead to a reduction in retail prices, Gilly-Harry indicated that the current price level—hovering around ₦600 per litre—may not be sustainable. He attributed this to the challenges faced by the Nigerian National Petroleum Company Limited (NNPCL) in maintaining a consistent supply of petrol across the country.
“We’ve been raising alarms that the NNPC has been selling products at ₦590 per litre. But the question is, who is bearing the brunt? We can’t continue to play politics with everything; the reality needs to be addressed,” Gilly-Harry stated during an appearance on Channels Television’s Morning Brief on Tuesday.
He advised Nigerians to prepare for fuel prices that will be determined by market forces. While acknowledging the existence of fuel subsidies globally, Gilly-Harry emphasized the need to consider the trade-offs between subsidizing PMS and addressing other pressing issues, such as healthcare.
This warning comes in the wake of NNPCL’s admission that it owes its petrol suppliers a staggering $6 billion, a debt burden that has contributed to the persistent fuel queues seen at filling stations across the country in recent weeks.
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Although Gilly-Harry commended the NNPCL for its transparency, he noted that the situation remains difficult for retail outlet owners, who are struggling to manage the impact of the current crisis. He also mentioned that PETROAN and other industry stakeholders are actively exploring innovative solutions to address these challenges.
“NNPCL is currently the only entity with the financial muscle to import PMS due to its access to dollars and a guaranteed market. However, this situation demands creativity and out-of-the-box thinking to ensure that Nigerians are adequately served,” Gilly-Harry concluded.
As the situation unfolds, consumers are advised to stay informed and prepare for possible changes in fuel prices, which could have wide-ranging effects on the economy and daily life.
