Showing posts with label fuel scarcity. Show all posts
Showing posts with label fuel scarcity. Show all posts

Tuesday, April 5, 2016

Fuel scarcity paralyses Lagos, other major cities

The scarcity of petrol got worse in many parts of the country on Monday despite assurances by the Nigerian National Petroleum Corporation that the situation would improve.


Fuel Scarcity
Fuel Scarcity

Lagos, which traditionally receives more product than other parts of the country, was virtually grounded on Monday as only few vehicles moved about, with many passengers stranded at bus stops, while queues of desperate motorists stretched for kilometres at the few filling stations that had the product to sell, and partially blocked major roads.


The same situation was recorded in the Federal Capital Territory, Osogbo, Abeokuta, Ibadan, Minna, Maiduguri, Bauchi, Ado Ekiti and Benin City, among others.


At most filling stations belonging to independent marketers, a litre of the product sold for between N120 and N200 instead of the N86 and N86.50 official pump prices, while black market hawkers sold it for as high as N400 per litre.


Many commuters were seen in Lagos struggling to get commercial vehicles to different destinations, even as some transport operators increased the fares by 100 per cent or more.


On the Otedola Estate and Berger end of the Lagos-Ibadan Expressway, the Mobil, Capital Oil and Oando filling stations had longer queues of desperate motorists and other customers, which spilled onto the road and caused a serious gridlock.


The long queues at the filling stations forced many motorists to resort to the black marketers, who were having a field day as they sold the product at exorbitant prices.


Our correspondent gathered that most of the independent marketers’ depots in Apapa did not have petrol on Monday, while few had kerosene and Automotive Gas Oil (diesel).


Out of the 36 depots surveyed, only Capital Oil, Folawiyo and Heyden were said to have petrol, while MRS was still expecting its vessel.


Aiteo, Acorn, Nipco Plc, Fatgbems, Aiteo, Sahara, Techno, Zenon, Stallionire, Gulf Treasure, Global Fleet, Honeywell, Obat, Eurafic, Rahamaniyya, Index and other depots did not have petrol to load.


A commuter, Jumoke Awe, said she bought a litre of petrol for N300 on the black market on her way to Palmgrove from Ajah, but had to park her car somewhere along the Lekki-Ajah Expressway so as to take a commercial bus due to the attendant gridlock.


When asked if there was any new development in terms of supply, the National Operation Controller, Independent Petroleum Marketers Association of Nigeria, Mr. Mike Osatuyi, said the supply had not really improved.


“We are expecting the ships to come; when the ships come and they discharge, we will start loading. We are expecting that any moment from now, the ships will be arriving, based on what the NNPC said. But it will take some days before the vessels will clear,” he said.


Another source, who is an official of an independent marketer, said “There is no new development today (Monday). Some of the vessels that the government promised to bring in have yet to come. They promised to bring two vessels last week, but only one came on Thursday, and it started discharging on Saturday, and is still discharging now.


“One of the vessel’s areas has been cleared now. So, we are expecting that they will bring one overnight if they are going to keep to their promise. There is a gentleman’s agreement now that until this problem abates, no other product vessel should come into the Apapa jetty.”


The National President, Nigeria Union of Petroleum and Natural Gas Workers, Igwe Achese, said members of the union were ready to work with the NNPC to ensure effective distribution of fuel to filling stations.


He, however, said the NNPC needed to meet the conditions the union earlier discussed with its management.


While speaking at the Central Working Committee meeting of the Joe Ajaero’s faction of the Nigeria Labour Congress in Lagos on Monday, Achese highlighted challenges that the Ministry of Petroleum Resources needed to address to include the passage of the Petroleum Industry Bill, building of new refineries and prevention of gas pipeline vandalism.


“While removing subsidy, our refineries must work because we cannot continue to import. With the prices of crude oil in the international market, it is difficult for any nation to sustain the payment of subsidy to any importer of petroleum products,” Achese said.


In Oyo State, a litre of fuel was selling for between N180 and N200, while black market rate was between N250 and N300.


There were few vehicles plying the roads in the state capital on Monday, while the small number of transport operators on the road charged exorbitant fares.


Many prominent markets like those at Dugbe, Aleshinloye and Gbagi were nearly deserted because traders decided to stay indoors and buyers seemed to have postponed shopping till the situation normalises.


Residents of Bauchi metropolis lamented the unending hardship they are facing as the scarcity of petrol become worse.


One of our correspondents, who went round some filling stations in the state capital, observed that the product was not available.


Most of the filling stations visited were under lock and key, while black marketeers continued making brisk business by selling the product for between N250 and N300 per litre.


In Minna, Niger State, the situation has forced the Department of Petroleum Resources to relax its crackdown on independent marketers who are now selling the product for between N220 and N260 per litre.


The State Controller, DPR, Mr. Abdullahi Jankara, said the agency had decided to allow independent marketers to sell the product at their own prices because of its non-availability in order to reduce the hardship being faced by the people.


The fuel crisis in Borno and Yobe states got worse on Monday as petrol sold for between N250 and N300 on the black market.


There was virtually no place to buy at the right price other than the NNPC mega stations where it could take two or three days to get.


One of our correspondents reported that the fuel situation in Osogbo, the Osun State capital, and other towns in the state had not improved.


It was observed that many filling stations were shut on Monday because of non-availability of the product, while the few ones that had sold a litre of petrol for between N180 and N200.


The NNPC mega station in Osogbo sold at the official price of N86 but the queues at the station were about two kilometres long.


Motorists in queue at the station were disorderly until a team of the Nigerian Security and Civil Defence Corps led by the state Commandant, Mr. Olusola Ayodele, came to restore sanity.


Many civil servants in Ekiti State have abandoned their cars for public transport due to the fuel scarcity.


A litre of petrol sold for N200 at filling stations in Ado Ekiti, while a commercial driver told our correspondent that it sold for N230 in the hinterlands.


In Edo State, the lingering fuel scarcity worsened on Monday, as a litre of petrol sold for N230 at the few filing stations that sold the product to hundreds of desperate motorists.


On the black market, it sold for between N250 and N300 per litre, while some black marketeers insisted on selling to only customers willing to buy five litres and above.


In Ogun State, transport fares on most of the routes had increased by between 50 and 150 per cent.


Commuters paid between N600 and N700 from Sango to Abeokuta, a journey that hitherto attracted between N250 and N300.


However, queues by motorists and other petrol seekers reduced marginally on Monday as more filling stations dispensed fuel in Abuja and parts of Nasarawa State.


The largest mega filling station belonging to the NNPC, located on the Kubwa-Zuba Expressway, had lesser number of motorists when compared to what obtained all through last week.


Officials at the Department of Petroleum Resources and the Federal Ministry of Petroleum Resources stated that the number of trucks from the Suleja depot to Abuja and environs had increased.


According to them, more filling stations received the product on Monday, as they expressed the hope that the situation would improve by the day.


  • Additional reports by Okechukwu Nnodim, Olufemi Atoyebi, Femi Makinde, Armstrong Bakam, Enyioha Opara, Kayode Idowu, Godwin Isenyo, Kamarudeen Ogundele, Alexander Okere and Samuel Awoyinfa


Fuel scarcity paralyses Lagos, other major cities

Saturday, April 2, 2016

Buhari sets new world record

President Muhammadu Buhari has again put Nigeria into the global scene with having recorded the worst and unprecedented fuel queues in the history of Nigeria.


President Buhari
President Buhari

Temper seems to be high, hope tumbles like a pack of cards, the change mantra of the All Progressives Congress, APC, has become a rocket science, as angry Nigerians who defied rain and sun shine to vote for President Buhari have now been subjected to serious economic hardship.


To many Nigerians, Buhari has written his name in the Guinness Book of Record having been the only president in the world that recorded the longest queues in filling stations and generated zero Megawatts of electricity.


Quite paradoxically, under Buhari’s watch, Nigeria remains the only oil-producing country globally where fuel availability has become a major headache despite having a sitting President who doubles as the substantive Petroleum Minister.


The shout of “Sai Baba” under the present economic down turn has become suicidal as the APC “e-rodent,” and “electronic rag sheet” have gone into hiding. This new world record set by Buhari does not need any celebration.


From the commercial city of Lagos, through Abuja, to other major cities across the country, the story has been the same as motorists spend hours and days queuing to buy petrol, a product that ordinarily should be available in the remotest villages in the country if Nigeria has been blessed with a visionary leader.


Post-Nigeria gathered that many Nigerians have lost hope having been subjected to excruciating pains for going through weeks without Electricity and Fuel.


The Fuel scarcity is biting harder as motorists queue for hours and pass nights at filling stations in search of petrol. The queue circles stretched into tens of kilometers, especially in NNPC filling stations.


Many commuters are now stranded at different bus stops especially in the nation’s capital, Abuja due to lack of vehicles. The few ones that are plying the road jerked up their fares by 50 percent.


This chaotic situation has prompted black marketers to cash in on the situation by selling fuel at exorbitant rates to motorists.


As at press time, motorists were still going through hectic time under the scorching sun, trying to buy the commodity with hope out of sight.


Businesses are crumbling; the masses can no longer afford three square meals a day. Unemployment has gotten to a breaking point. The nation is at a standstill as hope gradually fades away, paving way for gloom and doom fuel scarcity.


 




Buhari sets new world record

Monday, March 28, 2016

Fuel scarcity: S’ South, S’East APC back Tinubu against Kachikwu

The South-South and the South-East chapters of the All Progressives Congress have supported the criticism of the Minister of State for Petroleum, Ibe Kachikwu by the APC National Leader, Asiwaju Bola Tinubu.


Managing Director of the NNPC, Mr. Emmanuel Kachikwu
Managing Director of the NNPC, Mr. Emmanuel Kachikwu

The South-South APC advised the minister  to resign if he was incapable of doing his job.


This was contained in a statement signed by the party’s National Vice-Chairman, South South,  Hilliard Eta, a copy of which was made available to newsmen in Abuja on Sunday.


The statement entitled, “No split in APC: Tinubu right to critique Kachikwu,” the National Vice-Chairman said it was the opinion of the South-South chapter of the party that Kachikwu had yet to purge himself of his Peoples Democratic Party’s orientation.


Kachikwu, who hails from the South-South,  had in an interview with journalists  in Abuja on Wednesday, said fuel queues could not be eliminated  with a magic wand.


He said that despite government’s efforts, fuel queues would remain in the country in the next two months, adding that he was not a magician.


Supporting Tinubu, Eta said,  “The South-South Chapter of the All Progressives Congress feels that Kachikwu has not entirely cast off the orientation of the Peoples Democratic Party, where he was and this is manifest in his actions and utterances such as the recent one that attracted opprobrium from many Nigerians.


“Mr. Kachikwu must not be a cog in the wheel of progress and he should do the needful by resigning honourably if he is not capable of doing his part by effectively running the ministry assigned to him.”


The party chieftain noted that the minister, as a member of the President’s cabinet with a very important office, “it is incumbent on him to shed his haughtiness and climb down from his high horse to face his duties squarely.”


According to Eta, Tinubu’s observation about the utterances of the minister is in line with the core ideology of progressivism which the APC espouses as it is the very foundation on which the party rests.


Eta said, “This progressive ideology strongly emphasises government as a tool for service to the people who are the custodians of power in the first instance.


“In line with this, it is not wrong or out of place for Tinubu to caution the Minister of State for Petroleum, Mr. Ibe Kachikwu, owing to the anti-progressive statements he made in the Presidential Villa on Wednesday, March 23, 2016, while fielding questions from journalists on the persisting scarcity of petrol.”


The South-South leader of the APC said Tinubu’s critique of the minister did not amount to a split in the APC.


He observed that if anything, it had further strengthened the commitment of the party and the government it had formed to be fully accountable to Nigerians.


It will be recalled that Tinubu had taken exceptions to comments made by the minister with regards to the lingering fuel crisis in the country.


Also speaking on the issue, the South-East Chapter of the party stated that Tinubu had voiced the frustrations of Nigerians.


The South-East Zonal spokesman for the party, Mr. Osita Okechukwu, said this in a telephone interview with The PUNCH, in Abuja  on Sunday.


He explained that Tinubu’s democratic credentials and his commitment to the Nigerian project were not in doubt.


Okechukwu, however, said calls for Kachikwu’s resignation in some quarters were hasty in the light of the realities on the ground.


He said, “Our National Leader, Asiwaju Ahmed Tinubu, re-echoed the anger of the Nigerian people about the current situation we have found ourselves with regards to the shortage of petrol.


“We have been privileged to have attended the recent meeting the President held with stakeholders in the oil and gas sector where he outlined his policies and programmes with regards to how he intends to deal with the problem.


“It was part of his commitment to resolving these issues that made him (the President) take up the responsibility of the Minister of Petroleum.


“He has visited Saudi Arabia and Qatar and he has made a personal commitment to supporting private sector investment in the sector. Having this as a background, we wish to state that calls for Kachikwu to resign are hasty at this point.”



Fuel scarcity: S’ South, S’East APC back Tinubu against Kachikwu

Sunday, March 27, 2016

Fuel crisis: Gunmen shoot at motorists on queue

The-yet-to-abate fuel scarcity in the country assumed a dangerous dimension yesterday in Ilorin, capital of Kwara State as three gunmen opened fire on motorists queuing for petrol.


The incident happened at one of the Nigerian National Petroleum Corporation (NNPC) Filling Stations in the metropolis.


In the ensuing melee, it was gathered that the gunmen left two young men and a lady with serious injuries.


Some others on the queue as well as officials of the station were said to have scampered for safety.


The incident, according to eyewitnesses, occurred in the early hours.


It was gathered the gunmen were part of some youths who forced themselves on the station, located along Offa Garage road to manage the gates.


They were there to reduce the practice by many motorists to jump the queue in their desperate bid to get fuel.


An eyewitness said: “It was due to an argument among the boys; you know they are thugs and they have been at the gate but we don’t really know what led to the argument but we just suddenly heard the gunshots and it was later discovered that some people were seriously injured.”


The three victims, it was gathered, were rushed to a private hospital, Yusjib Industrial Medicare along the same axis.


The Chief Medical Director (CMD) of the facility Dr Yusuf Abdulraheem told newsmen the three victims were in stable conditions.


He said one of them had been taken to a laboratory where the bullets in him would be extracted.


Kwara police command’s spokesperson Ajayi Okasanmi confirmed the development.


He said one of the gunmen has been arrested, adding that a locally made pistol and some live cartridges were recovered from the suspect.


The manager of the station promised to call back.


He however did not respond to text messages from reporters.



Fuel crisis: Gunmen shoot at motorists on queue

Saturday, March 26, 2016

Tinubu tongue-lashes NNPC boss, Kachikwu over fuel scarcity

Minister of State for Petroleum Resources, Mr. Ibe Kachikwu, on Saturday got a tongue-lashing from the national leader of the ruling All Progressives Congress, Asiwaju Bola Tinubu, over his recent comments on the lingering fuel scarcity in the country.


Tinubu
Bola Tinubu

The former Governor of Lagos State took a swipe at the minister, who is also the Group Managing Director of the Nigeria National Petroleum Corporation, for saying he was not a magician who could end the scarcity of Premium Motor Spirit, also known as petrol.


The APC leader stated that the minister was answerable to Nigerians and not the other way round.


Tinubu stated this on Saturday in a statement titled, ‘Kachikwu Needs to Know That Respect and Good Performance Will Do What Magic Cannot.’


Referring to the minister, Tinubu said he believed a member of the President Muhammadu Buhari-led government “has strayed from the progressive calling required of this administration.”


Kachikwu had on Wednesday, while speaking with State House correspondents shortly after he led a joint delegation of the Petroleum and Natural Gas Senior Staff Association of Nigeria and the Nigeria Union of Petroleum and Natural Gas Workers to meet with Buhari at the Presidential Villa, Abuja, said since he was not a magician, the fuel queues could not be eliminated with a magic wand.


He added that despite the efforts being put in place by the Federal Government, fuel queues might not be completely eliminated until about two months (May).


The minister noted that with the reality on the ground, it was by sheer magic that the country had the amount of products it currently had at the filling stations.


However, Tinubu, on Saturday, stated that there might be no economic matter more difficult to unravel and more sensitive to the purse of the average person than the current fuel scarcity.


The APC leader said despite that, he was confident of progress because he knew the commitment of the President to resolving the issue.


“I make no attempt to hide it. I am an avid and partisan supporter of this government and of the progressive policies of the party, the APC, upon which this government is based,” the ex-governor stated.


Tinubu added, “With that, I do reserve the right and the duty as a Nigerian to voice my opinion when I believe a member of this government has strayed from the progressive calling required of this administration. I do this because my greater devotion and love are for this nation and its people. Party and politics fall secondary.


“Much public ire has been drawn to the statement made by the Minister of State (for Petroleum Resources) Ibe Kachikwu that he was not trained as a magician and that basically Nigerians should count themselves fortunate that the NNPC under his stewardship has been able to bring in the amount of petrol it is currently doing.


“Perhaps the statement by Kachikwu was made in a moment of unguarded frustration or was an awkward attempt at a joke. Whatever the motive, it was untimely and off-putting. The remark did not sit well with the Nigerian people; they were as right to feel insulted as the minister was wrong to have said such a thing.


“The fuel shortage is severely biting for the average person. They are forced to remain in lines far too long — for too much time — to pay too much money for too little fuel. This is no joking matter. Livelihoods and people’s welfare are at stake.


“With so much on the line, Kachikwu’s flippancy was out-of-line. He was basically telling Nigerians that they should be lucky that they are getting the inadequate supply they now suffer and that they should just be quiet and endure the shortage for several weeks more.”


Saying Kachikwu’s intervention was unhelpful, the APC leader said it rather panicked and disappointed the public as to the duration of the crisis.


“It insulted the people by its tonality. He spoke with the imperious nature of a member of the elitist government the people voted out last year and not the progressive one they voted in,” he added.


Tinubu also said Kachikwu must be reminded that he was not coerced to take the job, adding that the minster accepted the job and its responsibilities “knowingly.”


The ex-governor said the NNPC GMD must also remember that he does not own the corporation and that the NNPC was not a private company that owes nothing to the public except the duty of fair dealing.


Tinubu added, “He is a public servant. The seat he sits upon is owned by Nigerians, not by him. The company he runs is owned by Nigerians, not by him. They are his boss. He is not theirs. Power is vested in the people. He is a mere custodian or agent of their will.


“In talking to us in such a manner, he committed an act of insubordination. If he had talked so cavalierly to his boss in the private sector, he would have been reprimanded or worse. If wise, the man should refrain from such interjections in the future.


“As his ultimate bosses, the people have a right to demand the requisite performance and respect from him.  He should apologise for treating them so lightly in this instance.”


The APC leader noted that as Kachikwu’s portfolio was a strategically important one, the minister needed to re-establish the correct relationship with the public.


He said Nigerians no longer felt Kachikwu was working for their optimal benefit as their servant. “Instead, he seems to be standing above them, telling them to take it or leave it,” Tinubu added.


The politician stated that for the minister’s policies and stint in office to be successful and of help to the government, he (Kachikwu) must have the support and belief of the people at this tough time.


Tinubu said the NNPC boss must talk to them in a way that they believe he seeks their best interest and understands the hardship weighing upon them.


“He must ask them to work with him and, perhaps, to endure a bit longer but with the knowledge that he is working to resolve this matter as fast as he can and as permanently as possible; that he is dedicated to the position that once these current lines are gone, never again shall they reappear, as long as he has any influence in the matter.


“To do this requires no magic or training in that strange craft. It requires empathy, compassion and the willpower to forge a better Nigeria. These must be the common trademarks of those serving in a progressive government, for these attributes are integral parts of the spirit and ideals upon which the APC was founded,” Tinubu added.


When contacted, the Director, Press and Public Relations, Ministry of Petroleum Resources, Mr. Idang Alibi, told SUNDAY PUNCH that the ministry had yet to see the statement by Tinubu.


He stated that the ministry would wish to react to it when it gets the statement and promised to get across to Kachikwu and respond to our correspondent.


Alibi said, “We will need to find out what Tinubu actually said before getting across to the minister.”


When asked if he would get back to our correspondent after speaking with the minister, he replied, “Well, it depends on the response from the other side. If I get a response, I will get back to you.”


When probed further if he would get across to the minister on Saturday night, Alibi replied again, “I hope so.”


Also, calls to the mobile phone of the Group General Manager, Group Public Affairs Division of the NNPC, Mr. Garba Deen, were not answered.


A detailed text message sent to him was also not replied.


Up till the time (8.53pm) of filing in this report, no response was received from the ministry and the NNPC.


The scarcity of petrol has lingered since January, as hundreds of motorists besiege few filling stations that dispense the product on a daily basis.


Kachikwu’s comment had drawn heavy criticisms from various stakeholders, including the organised labour, petroleum marketers, oil industry workers, manufacturers, experts in the oil sector and the latest from Tinubu.


The Trade Union Congress had specifically asked Kachikwu to resign instead of giving Nigerians excuses on why it would be impossible to get fuel easily in the country before June.


The TUC, through its President, Mr. Bala Kaigama, said the positions occupied by the minister were too demanding for him and urged Buhari to appoint a new GMD for the NNPC.


Kaigama stated, “If he is not a magician, he should resign now. What we are saying is that Nigerians are getting impatient with him.


“So, if he has no quick fix to it, he should just quit. We are getting impatient. He is moving from one unpopular policy to another, yet we cannot see any quick fix.’’


Similarly, the Nigeria Labour Congress had described Kachikwu’s statement as unfortunate.


The General Secretary of the NLC, Dr. Peter Ozo-Eson, said it was wrong of any agent of government to resign himself to a position that would subject Nigerians to months of long fuel queues.


He said, “As far as we are concerned, one day of queues is unacceptable to Nigerians and the hardship Nigerians have been subjected to, through the queues over a long period now, is actually something that should be condemned.


“Apart from the hardship to Nigerians, the cost of these protracted queues on an economy that is already in crisis is enormous, and actually makes the issue of the revival of the economy even more difficult.”


Also, workers in the oil and gas sector on Wednesday said they were at a loss as to what was really the cause of fuel scarcity in the country.


The workers, who spoke under the aegis of PENGASSAN and NUPENG, stated that the minister should be questioned on the development.



Tinubu tongue-lashes NNPC boss, Kachikwu over fuel scarcity

Friday, March 11, 2016

Fuel hits N180 in Edo

Price of Premium Motor Spirit also known as fuel has risen to N180 per litre at some filling stations owned by Independent Marketers in Benin City


At the black market, fuel sold for N200 per litre and above.


Fuel was sold at some NNPC mega filling station and some major marketers that were supplied fuel from Benin Depot of the NNPC sold fuel at the approved pump price.


Fuel chart released at the Benin depot showed that about 800,000 liters of fuel were supplied to filling stations across the state.


A manager at one of the fuel station where fuel was sold for N160 said they got the product at a price of N120 per litre.


 Prices of transport fares have however soared within Benin City and environs.Ring Road to Oluku that used to cost N70 now cost N100.


Fuel hits N180 in Edo

Thursday, March 10, 2016

Oil workers suspend strike, fuel scarcity worsens

The industrial action embarked upon on Tuesday by oil workers across the country due to the restructuring of the Nigerian National Petroleum Corporation has been suspended.


Fuel Scarcity
Fuel Scarcity

As a result, work resumed at both the Abuja headquarters of the corporation and all its subsidiaries, as well as at petrol stations operated by the national oil firm.


It was learnt that the strike was suspended on Thursday morning after a marathon meeting between officials of the Federal Government and the National Union of Petroleum and Natural Gas Workers and the Petroleum and Natural Gas Senior Staff Association of Nigeria on Wednesday night.


However, the suspension of the strike did nothing to relieve motorists in different parts of the country of the pains they have been experiencing in the past two weeks due to shortage of petrol.


In Lagos, very few filling stations which had the product to dispense recorded long queues of desperate motorists, who were joined by those who wanted to use the product to fuel their generators as a result of the prolonged blackout being experienced in the state and the attendant heatwaves.


The situation was the same in Abuja, Kaduna, Ogun and Nasarawa.


The workers had staged a protest at the headquarters of the NNPC, blocked the entrances to the firm and shut its operations nationwide on Wednesday, a development that worsened the already bad state of fuel supply across the country.


On Thursday morning, the Group Chairman, NUPENG, NNPC Branch, Mr. Odudu Udofia, told one of our correspondents that the strike had been suspended.


The suspension of the strike was also confirmed by an official of the NNPC in an email, in which he said officials of “NUPENG and PENGASSAN had a marathon meeting with the GMD/Minister of Petroleum (State) and NNPC top management for several hours, ending this (Thursday) morning at 4:30am on the ongoing industrial action.


“After exhaustive deliberations, a resolution was signed by the two parties. In view of that, the industrial action is hereby suspended.”


It was also gathered that marketers of petroleum products were currently avoiding the Lagos market, which they said was heavily regulated in terms of product pricing, adding that this was making them to have low margins.


One of our correspondents gathered that this was the reason why the current petrol scarcity was more pronounced in Lagos and its environs.


With the product selling in most states of the federation above N100 per litre instead of the regulated prices of N86 and N86.50, two marketers who spoke to one of our correspondents on condition of anonymity, said it made more market sense to concentrate on markets outside Lagos, where prices were arbitrarily fixed.


“As it is right now, supplying product to Lagos is not as good as supplying to other states. For independent marketers especially, there is a strong urge to sell their products in other markets for better yields,” one of the marketers said.


Reacting to the development, the Chairman, NUPENG, Lagos Zone, Alhaji Tokunbo Korodo, said the workers unions had called off the strike they embarked on and loading of products had commenced at the depots.


He also confirmed that more marketers were interested in supplying to markets outside Lagos owing to the fact that the strict regulation of the business in the state did not give room for higher prices above the N86.50 official price per litre.


“Marketers come here, pick products and move to areas outside Lagos. They sell at prices above the N86.50 official price and make more money,” he explained.



Oil workers suspend strike, fuel scarcity worsens

Thursday, December 24, 2015

Dear Lai Mohammed: Jonathan is not to Blame!

(An Open Letter to the Honourable Minister of Information of the Federal Republic of Nigeria)


Dear Honourable Minister Lai Mohammed,


Greetings and congratulations on your recent and well deserved appointment as Nigeria’s Minister of Information.


Reno Omokri
Reno Omokri

You may recall that we met on the set of ‘Politics Today’ in May of 2011 soon after I was interviewed by Deji Bademosi and just before you were interviewed.


The purpose of my letter to you today is in response to your statement made on Monday the 21st of December, 2015 in which you accused former President Goodluck Jonathan, whom I served as one of three spokesmen, of being responsible for the current excruciating fuel scarcity now subsisting in Nigeria.


Your exact words were “What I will be telling Nigerians is that what we met on ground is such that we are paying for the sins of the last administration…..One of the reasons for the fuel scarcity was the inability of the last government to make adequate provision for fuel subsidy”.


My candid take on your message to Nigerians is that it is an abdication of responsibility on your part and does not project you and the government you represent as being responsible.


Government, as you very well know, is a continuum. One government takes over from where the other stopped and to say that an action in December of 2015 (six months after ex President Jonathan handed over to the incumbent on May 29th, 2015, ) is the fault of the last President, is to confer super human powers on Jonathan.


To prove to you that it is wrong to blame the former President, I will quote the words of the incumbent President.


A month ago, President Buhari, while speaking to the Nigerian community in the Iranian capital, Tehran, said “I believe if you are in touch back at home, you would have been told that already there is some improvement in power”.


Those were the words of President Muhammadu Buhari in Tehran on November 25th, 2015.


You, Honourable Minister, also boasted about the improvement in power back in August 2015, when you attributed the improvement to the ‘body language’ of the ‘new sheriff’ in town.


You may recall that you said “I say it anywhere I go that even though we have not added one single megawatt to power, there has been improvement. My colleagues in the PDP will say no; that’s not true. But I maintain that this improvement is as a result of the kind of integrity that President Buhari has brought to leadership.”


Now, you and I know that despite what you said about the President’s “body language”, there is absolutely no way that any action or inaction of President Muhammadu Buhari could have led to an improvement in power.


All the new power stations that have come on stream this year were either built or completed by Jonathan. Absolutely all of them were conceived, funded, built and commissioned by Peoples Democratic Party, PDP, Presidents, the same party that you said had destroyed Nigeria.


On October 19th, 2013, then President Jonathan completed and commissioned the 530 Megawatts Omotosho Power station Phase 2 begun by his predecessor.


On February 20th, 2015, he commissioned the 750 MW Olorunsogo II Power Station in Ifo Local Government Area of Ogun State.


On March 24th, 2015, Jonathan also commissioned the Phase I 504MW (Simple Cycle Gas) Alaoji Power Plant at Umuobasi-Ukwu, Abia State.


Former President Jonathan was also the leader who successfully privatized major chunks of our power generation and distribution infrastructure. He also created the Nigerian Bulk Electricity Trading PLC.


So concerned was President Jonathan to know the state of electricity provision that I had to do regular, sometimes weekly, polls and surveys on Twitter to get the public’s feedback on the state of power in their locales.


Yet, despite all these, President Buhari and you, Honourable Minister, were not shy at taking credit for the improvement in electricity in far away Tehran and Lagos at various times this year.


One wonders why the same “integrity” you credited for automatically improving power cannot provide fuel?


Don’t you think it is a bit rich to blame ex President Jonathan for the current fuel subsidy especially given the fact that leading lights of your party resisted and rejected the ex President’s move to do away with fuel subsidy by deregulating the down stream sector of the petroleum sector?


Indeed Honourable Minister, you may recall that as the National Publicity Secretary of the then Action Congress of Nigeria, you released a statement condemning the then government’s plans to deregulate the petroleum industry and remove fuel subsidy and also said that the removal of fuel subsidy was “a threat to Nigeria’s unity”.


Sir, you would agree with me that it is only honourable to take the bitter with the sweet.


I am reminded of my 10 year old daughter’s comments to me every time I accuse her of watching too much television. She quotes a line from the Disney movie, ‘A Bug’s Life’ in which Hopper says to Atta “First rule of leadership: Everything is your fault”.


If my daughter at 10 is aware of this rule, shouldn’t a minister of the Federal Republic of Nigeria, who also happens to be over 60 years of age, and who also happens to be the official spokesperson of the current administration know this rule?


A bad workman may blame his tools, but it takes an irresponsible workman to blame his predecessor!


When Jonathan became President on May 6th, 2010, he met a comatose railway network. He did not blame his predecessors. Rather, he went to work.


Within two years, he successfully rehabilitated a significant portion of our national railway infrastructure and had restored intra and inter city routes for the first time decades. He made it possible for Nigerians to travel from Lagos to Kano for less than $10 (₦1600).


There were services from Port Harcourt to Enugu, Makurdi to Port Harcourt and Gombe-Kafanchan-Kaduna to mention but a few.


For the first time in decades, there was a direct rail transport from Tin Can Island Port in Lagos all the way to Kano with stops along the way.


Jonathan successfully built the brand new standard gauge 187 kilometer Abuja-Kaduna railway which will make it possible to live in Kaduna and work in Abuja.


Within Lagos, he introduced air conditioned fast Diesel Multiple Unit trains, the first of its type in Nigeria.


I quite remember that when I wrote about these accomplishments, members and sympathizes of your party publicly labeled me a liar.


I remained a liar in the eyes of the Nigerian public until my recent surprise vindication by the new Minister of Transport, Rotimi Amaechi, who said while on a familiarization tour of the Nigerian Railway Corporation as follows “in fact, I think we have a problem; most people don’t believe that the railway transport is functioning in Nigeria. I didn’t even know, until I started this tour, I never knew that the railway was functioning, it was even from his (MD’s) speech that I learnt that there are some coaches or services that go to Kano or Port Harcourt or elsewhere. So we need to make people become more aware that the narrow gauge is working, and that people can still use it to travel around that country.”


Now, Honourable Minister Lai Mohammed, who do we blame for this remarkable progress in our rail sector?


Let me end this letter to you with a quote from best selling author, Dr. Steve Maraboli: “It’s time to care; it’s time to take responsibility; it’s time to lead; it’s time for a change; it’s time to be true to our greatest self; it’s time to stop blaming others.”


Thank you and be assured of my continued loyalty and support to the Federal Republic of Nigeria.


Regards,


Reno.

Reno Omokri, former Special Assistant on New Media to President Goodluck Jonathan.



Dear Lai Mohammed: Jonathan is not to Blame!

Monday, December 21, 2015

Jonathan responsible for Fuel Scarcity - Lai Mohammed

Information Minister, Mr Lai Mohammed on Monday said the administration of Dr Goodluck Jonathan should be blamed for the scarcity across the country.


Lai Mohammed
Lai Mohammed

Answering questions from journalists at the conclusion of an emergency meeting of the Federal Executive Council at which President Muhammadu Buhari presided, the minister said the inability of the past government to make provisions for the payment of subsidy for fuel was the cause of the queues at filling stations across the country.


When asked what he would tell Nigerians if they told him that this was not the change they voted for, he replied thus: ‎”What I will be telling Nigerians is that what we met on ground is such that we are paying for the sins of the last administration. I am being very serious. You remember that about two weeks ago, we had to go to the National Assembly for a supplementary budget of N674 billion. Of that figure, N522 billion was for arrears of fuel subsidy which was incurred as far back as August last year.


“One of the reasons for the fuel scarcity was the inability of the last government to make adequate provision for fuel subsidy.


“We do face some other logistic problems but majorly we are paying for the sins of the last administration.”


He said the Federal Government was working out a solution‎.

He said: “The first thing we have done now is to make sure that unlike before when the marketers used to import the major percentage of the fuel, the Nigerian National Petroleum Coporation (NNPC) has been involved in importation, because some of the marketers had stopped importing for a couple of months. If you see any fuel anywhere today, it is imported by the NNPC.


“We also inherited the vandalisation of the pipelines which has made it impossible for us to even transport the fuel. In tanks today we have 14 days reserve and off tank we have 10 days reserve.


“The issue is not non-availability of the product it is the distribution, because of pipelines that have been vandalised and the gridlock in Lagos. It takes about 5 days for anybody to take fuel with tanker in Lagos. As at two days ago this matter has been resolved.”



Jonathan responsible for Fuel Scarcity - Lai Mohammed

Thursday, December 3, 2015

We can confidently announce that fuel scarcity will end in a few days – Lai Mohammed

The Minister of Information and Culture, Alhaji Lai Mohammed, has assured that the current fuel scarcity in the country will be over in a matter of days, following the approval of the subsidy payment by the National Assembly.


Lai Mohammed
Lai Mohammed

”We can confidently announce here today that the scarcity will end in a few days. Subsidy payment till the end of the year has been approved by the National Assembly. As you know we can’t spend money without approval,” the Minister said during a visit to the headquarters of the Daily Trust newspaper in Abuja on Wednesday.


Alhaji Mohammed explained that the 521 billion Naira that has been approved by the National Assembly, as part of the passed supplementary budget of 574.4 billion Naira, would be enough to cover the fuel subsidy till the end of the year


He also said the kind of fuel scarcity that has triggered vehicular queues across the country would no longer repeat itself, adding: ”We can assure you that we won’t be caught in this kind of situation again.”


The Minister thanked the management and staff of the newspaper for the role they played during the last general elections


”The sacrifice you made helped to bring about the change that Nigerians desired. You stood by the people of Nigeria when it mattered most, and we will continue to engage with you all through the tenure of this Administration to exchange ideas in the interest of Nigerians,” he said.


Alhaji Mohammed announced a plan to set up an adhoc committee comprising representatives of the government, the military and the media to enhance the exchange of information, especially concerning the war against terrorism.


He hinted that the 2016 budget would soon be submitted to the National Assembly, ”and it will address the yearnings of Nigerians”.


The Minister was received by Mr. Kabir Yusuf, Chairman/Chief Executive Officer of the Daily Trust, who led a team of other top management officials.



We can confidently announce that fuel scarcity will end in a few days – Lai Mohammed

Thursday, November 26, 2015

Fuel scarcity: NNPC apologises to Nigerians

ABUJA — The Nigerian National Petroleum Corporation, NNPC, yesterday, apologised to Nigerians for the hardship experienced in purchasing petrol, while it also stated that it had entered into a partnership with security agencies in the country to assist in the monitoring of fuel supply across the country.


Managing Director of the NNPC, Mr. Emmanuel Kachikwu
Managing Director of the NNPC, Mr. Emmanuel Kachikwu

He said: “We must all make sure that petroleum products get across to Nigerians at the regulated price especially as the yuletide season approaches. We have enough products and we want to plead with the Petroleum Tanker Drivers (PTDs) not to be involved in the diversion of petroleum products in order to avoid causing untold hardship to motorists.”


Role of the security agencies


Providing insight on the role of the security agencies in curbing product diversion, Managing Director of the Pipelines and Products Marketing Company, Mrs. Esther Nnamdi-Ogbue, said the DSS and EFCC have been mobilized to bring to book any marketer involved in sabotaging the efforts of the Federal Government in making petroleum products available to motorists across the country.


She said: “We have invited the EFCC and DSS to join us in this campaign of monitoring the movement of petroleum products and they have our mandate to sanction any errant marketer. Enough is enough.”


She urged Nigerians and other motorists to desist from panic buying assuring that there are sufficient petroleum products to satisfy local consumption.


Meanwhile, giving  breakdown of fuel supplied to petrol stations, the NNPC stated that Suleja, Kaduna, Kano, Minna, Gusau, Mosimi and Satelite depots dispatched 7.398 million litres, 0.937 million litres, 4.4 million litres, 0.444 million litres, 0.939 million litres, 4.351 million litres and 1.937 million litres respectively.


In addition Ore, Ibadan, Gombe, Benin, Warri, Port Harcourt, Aba, Makurdi and Enugu dispatched 0.338 million litres, 0.412 million litres, 3.024 million litres, 0.318 million litres, 0.318 million litres, 3.097 million litres, 0.298 million litres, 0.891 million litres and 1.737 million litres respectively to petrol stations across the country.



Fuel scarcity: NNPC apologises to Nigerians

Monday, November 16, 2015

Motorists groan as fuel crisis lingers nationwide

ABUJA— Motorists  faced hard times as the fuel crisis situation continued across the country over the weekend with long queues witnessed in almost all the petrol stations selling the products.


Fuel Scarcity
Fuel Scarcity

The situation was worsened by  the fact that a number of the petrol stations were shut, with the attendants claimingthat they do not have products in their tanks.


Motorists besieged the few petrol stations that are selling the product, spending between four and six hours on the queue in some cases.


At the NNPC mega station, Katampe, along the Abuja-Kaduna expressway, about 300 cars were on the queue struggling to buy the products.


A similar scenario was witnessed in almost all the petrol stations dispensing the product at the Central Business District.


At the NIPCO petrol station at Arab Road in Kubwa,  large number of vehicles were struggling to purchase the product, leading to a gridlock which made it difficult for other road users to ply the road.


In Gwarimpa, most of the petrol stations were shut, while the few that had the product were besieged by a large number of motorists.


Same situation played out in Utako, Jabi, Maitama, Dutse, Garki, Nyanya, Wuse, Asokoro and Airport Road among others.


To make matters worse, a number of the petrol stations besieged by motorists were dispensing fuel to vehicles using only  two pumps.


One of the marketers in one of the petrol stations told Vanguard that it resorted to the use of only two pumps because the tanks that service the other pumps were empty.


Sharp practices


Some motorists told Vanguard that the situation has led to a number of sharp practices by some marketers who now prefer to sell above the stipulated price, while some sell only at nocturnal hours to black marketers.


The situation has seen a rise in fuel hawkers across Abuja, with majority of them plying their trade in front of petrol stations and major roads across the Federal Capital Territory.


Effort to get the views of officials of the Department of Petroleum Resources proved abortive.


Long queues  at NNPC outlets


In Lagos, most of the filling stations remained locked while the Nigerian National Petroleum Corporation (NNPC) outlets, which are the only ones dispensing the product, have long queues.


Vanguard investigation showed that petrol stations along FESTAC, Apapa, Badagry, Surelere, Itire, Amukoko areas of the state sold fuel at N100, as against the official price of N87.


For instance, Mobil and Total, Kirikiri road were selling at N100 per litre with long queues stretching across express roads leading to disruption in the flow of traffic.


Speaking on the development, a motorist, Mohammed Yusuf, told Vanguard that the scarcity has subjected transporters to untold hardship as it has over the weekend become very difficult getting fuel to carry out their businesses.


A motorist, Yusuf Samaila, said he was at a filling station along the ever busy Apapa-Oshodi expressway for more than two hours and was not able to buy fuel.


He said: “I do not know why we suffer for basically everything in this country. There is no frequent power supply and now that we have a generator to use, getting fuel is also a problem. I have been on the queue for more than two hours.”


Also, a commercial bus driver, Olu Akinyo, stated that it was unfortunate that Nigerians were experiencing fuel shortage, noting that the scarcity had encouraged sharp practices by petrol attendants, who now make brisk business.


N100 per litre at some filling stations


Akinyo, while lamenting that a litre of petrol now attracts over N100 at some filling stations against the official price of N97, said: “I have been on this queue for about an hour before I was able to buy petrol. This is very bad.”


Another motorist, Wale Shogunle, said he was not happy with the fuel scarcity as it had disrupted his business, stating: “As a businessman, I operate a viewing centre, where you can watch football and play games but now, the business is affected because of scarcity of fuel.”


Some commuters complained that they now pay more with a trip from Ikotun to CMS on Lagos Island, which used to cost N300 now attracting between N350 and N400, while some petrol attendants disclosed that they were selling at the price they got the new stock, which according to them, was now higher.


In Owerri, Imo State capital, many of the fuel stations did not open while the few that attended to motorists sold petrol at between N150 and N170.


Vanguard learnt that vehicle owners, especially commercial vehicle drivers, spent several hours at filling stations to buy fuel.


The situation was the same in Port Harcourt, Rivers State capital as most of the filling stations have remained shut to customers for about four days.


Vanguard gathered that 10 litres of petrol have been going for N3,000 in Port Harcourt at the black market since last week.


 


TUC blames private depot owners


Trade Union Congress, TUC, has however blamed private depot owners for the ugly situation. TUC Chairman in the state, Mr Chika Onuegbu, accused most of them of selling products only at night at exorbitant prices.


Onuegbu said it was worrisome that this could go on particularly after the Federal Government had approved payment of N413 billion to cover backlog of petroleum subsidy.


Describing the action of depot owners as shameful, Onuegbu called  on Department of Petroleum Resources, DPR, the state government and other relevant agencies to wade into the matter.


“Trade Union Congress, Rivers State is worried by the determination of the private depot owners to starve Rivers people of petroleum products. Currently, they have shut their depots and only selling at night at exorbitant prices.”


“We call on the DPR, law enforcement agencies and the Rivers State government to force the depots open and ensure that the available products are released to petroleum marketers including IPMAN since President Buhari has approved about N413 billion subsidy payment backlog.”


We have enough stock to last 17 days —NNPC


However, the NNPC had stated that it has enough stock of Premium Motor Spirit, PMS, also known as petrol, to serve the needs of Nigerians across the country for about 17 days and urged Nigerians to desist from panic buying of the product.


According to the NNPC, the country currently has 656.376 million litres of PMS in its various storage platform, while it is expecting additional 756.99 million litres of the product before the end of November.


Breakdown


Giving a breakdown of the figures, the NNPC explained that 66.81 million litres of PMS are in PPMC depots; 117.48 million litres are in PPMC throughputs depots; 427.971 million litres of PMS of marine stock and 44.112 million litres are in the depots of Major Oil Marketers Association of Nigeria, MOMAN.


In addition, it stated that 380.99 million litres of PMS are expected to be brought in by the PPMC through import, between now and the end of the November, while other marketers are expecting 376 million litres of the products.


The NNPC  maintained that the current stock available in its depots and reserves are enough to serve the country for 17 days, while the products that are being awaited in the next couple of days would serve the country for 35 days minimum.



Motorists groan as fuel crisis lingers nationwide

Monday, May 25, 2015

Oil marketers move to end fuel scarcity, strike

Oil marketers have restated their commitment to the quick resolution of the crises in the oil industry that has led to scarcity of petroleum products and untold hardship on Nigerians.


In a statement by Executive Secratary, Major Oil Marketers Association, MOMAN, Thomas Olawore, said the association is leading efforts to engage all stakeholders to resolve the on-going fuel scarcity.


” The Major Oil Marketers Association of Nigeria is leading efforts to engage all stakeholders to resolve the on-going fuel scarcity.  MOMAN is talking to all parties involved to suspend the current strike and negotiate their differences.  All parties are currently talking to resolve all issues.”


Nigerians are currently groaning under worsening fuel scarcity occasioned by oil marketers and depot operators’ refusal to import and distribute petroleum products over N200 billion unpaid subsidy claims, as well as, the strike by the Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, and Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN.


 



Oil marketers move to end fuel scarcity, strike

Sunday, May 24, 2015

Fuel Scarcity: Nigeria economy crumbles as a litre sell for N200, N600

The current nationwide scarcity of refined petroleum products has reached a crisis point with a litre of petrol selling for between N200 and N600 in many parts of the country, while diesel, household kerosene and liquefied natural gas have also become elusive.


Fuel Scarcity

Fuel Scarcity


Also, with power generation dropping to an all-time low of 1,327 megawatts, most Nigerian households are now living without electricity as they have also run out of fuel to power their generators.


Even before the dip in power generation, most Nigerian households have been relying on generators as the main source of their power supply while using the public power supply as a backup. However, the fuel shortages which started over a week ago, have made it impossible for households to even get fuel to power their generators.


Although, daily fuel consumption nationwide is about 40 million litres per day, it is estimated that a sizeable proportion of the demand goes into fuelling of generators.


“It is now impossible for me to get a four-litre fuel to run   my small generator,” a man who was in the queue in one of the filling stations, told one of our correspondents on Sunday.





Also, a resident of one of the upscale estates in Magodo, who identified himself as John Adebayo, told one of our correspondents that he had been unable to run his generator for three days because he could not get diesel to buy.

“I have money to buy diesel but it is just not available anywhere.   I can’t even pump water, it is really pathetic,”he lamented.


Already, the situation has started affecting companies with some firms like MTN and Airtel saying that they could not get diesel to run generators at base stations.


Unless urgent steps are taken by the Federal Government and all concerned stakeholders, many citizens will find it difficult to get to their various places of work and business as from today (Monday) due to the crippling scarcity of refined petroleum products occasioned by the refusal of marketers to import them and a strike by tanker drivers.


Our correspondents reported on Sunday that petrol had dried up in almost all the filling stations nationwide, while black marketers capitalised on the prevailing scarcity by selling the product in jerry cans for between N200 and N600 per litre in places like Lagos, Ogun, Osun, Kaduna and Oyo states, as well as the Federal Capital Territory.


The situation affected vehicular movements in many parts of Lagos and Ogun states on Sunday, with attendance at religious centres unusually low, while commercial transport operators raised their fares by over 300 per cent.


All the filling stations owned by major oil marketers visited by our correspondents were under lock and key. Majority of the independent petroleum products marketers were also not selling petrol on Sunday.


The very few independent marketers with petrol were selling the product for between N150 and N400 per litre, while black market dealers were selling for between N500 and N600 per litre in some of the stations visited.


A motorist plying the Berger-Mowe route traversing Lagos and Ogun states, who simply identified himself as Ola, expressed disappointment with the slow response of the government to the problem, adding that with the situation on the ground, workers would have to part with a lot of money to get to their offices on Monday (today).


A commercial transport operator in Ikorodu, Lagos, told one of our correspondents that he bought 30 litres of petrol for N12,000 instead of N2,610 at the regulated price of N87 per litre.


It was gathered that virtually all the filling stations in Osun State had run out of petrol as of Sunday, thereby forcing the residents to stay indoors.


A major petroleum products’ marketer told one of our correspondents that the Federal Government had refused to meet them to resolve the lingering issues surrounding the payment of the subsidy arrears owed the marketers.


The marketer, who pleaded anonymity, said since the last meeting they had with the Minister of Finance, Dr. Ngozi Okonjo-Iweala, on May 4, nothing had changed.


The Executive Secretary, Major Oil Marketers Association of Nigeria, Mr. Thomas Olawore, said though the marketers had reached out to the President-elect, Muhammadu Buhari, on the lingering fuel supply problems, they had yet to get a positive response.


He confirmed that the marketers were not importing petrol at the moment, because they did not have the wherewithal to do so.


The spokesperson for the Department of Petroleum Resources, Mr. Saidu Muhammed, said the product scarcity was primarily due to the ongoing workers’ strike in the NNPC.


He said, “Products are not coming out from the depots and there’s virtually nothing anybody can do for now. But hopefully, when they resolve the strike, things may become normal.


“The strike by the NNPC workers is affecting all the depots. And until the strike is called off, there will be no loading. There is no loading in almost all the depots across the country and so products are not coming out.”


Meanwhile, the Lagos Chamber of Commerce and Industry has noted with concern the current energy crisis facing the country, which it describes as unprecedented.


In a statement signed by its President, Alhaji Remi Bello, the LCCI called on President Goodluck Johnathan to bring a halt to the imminent collapse of economic and social life in the country.


Bello said, “There should be an immediate engagement of stakeholders in the petroleum industry to discuss the outstanding issues of indebtedness and related labour matters in the interest of the economy and the citizens. The situation should not be allowed to degenerate any further.


“The Lagos Chamber urges the incoming administration to immediately deregulate the oil and gas downstream sector on assumption of office in order to provide an enduring solution to the recurring problem of petroleum products’ scarcity, corruption inherent in the subsidy regime, the collapse of refineries, lack of investment in the downstream sector, loss of jobs and so on.


“Options available to the incoming administration in this matter are very limited. The current regime of subsidy and government’s direct involvement in the operations of oil and gas sector should be discontinued. Government needs to get out of the way, so that the sector and the economy as a whole can make progress. This will pave the way for the restoration of normalcy in the sector and attract private capital, boost investments and create jobs.”


Similarly, a Global System of Mobile communications provider, Airtel Networks Limited, said in a statement that its commitments to delivering best-in-class quality of service and seamless telephony experience to all Nigerians was being affected by its inability to procure diesel for its base stations.


The company stated, “While we are currently doing everything within our means as well as going the extra mile to ensure that all our base stations and switches are up and running, it is sad to note that it is becoming increasingly difficult to replenish current stock of diesel due to the lingering scarcity of the product.


“We are also concerned that, if the situation persists, it may have adverse effects on our network, impacting both voice and data services.”


MTN Nigeria had issued a similar statement on Saturday.


A faction of the Nigeria Labour Congress led by Mr. Joe Ajaero said on Sunday in Kaduna that the current fuel scarcity across the country was a war against Nigerians.


It, therefore, warned that should the scarcity persist, organised labour would have no choice than to embark on an indefinite strike.


This was contained in a statement by the factional Deputy President of the NLC, Alhaji Issa Aremu, which was made available to newsmen in Kaduna on Sunday.



Fuel Scarcity: Nigeria economy crumbles as a litre sell for N200, N600

Sunday, May 3, 2015

Fuel scarcity bites harder in Edo

BENIN- SCARCITY of Premium Motor Spirit, popularly known as petrol, has hit Benin, ts environs and major cities in Edo State as motorists have continued to experienced difficulties in purchasing the product.


Investigations by Vanguard yesterday in Benin indicated that many of the filling stations within the metropolis were out of service.


While some of the attendants claimed to have exhausted their stock, others said that they were awaiting instructions on the price to sell

to consumers.


In few filing stations where the product was sold, motorists were made to part with as much as N140 to N150 per litre, as against the official pump price of N87, a situation which has also led to an increase in the cost of transportation in the city.


One of the attendants at Total filling station on Akpakpava road, who spoke to our correspondent under condition of anonymity, said that the uncertainty about distribution of the products by oil marketers was partly responsible for scarcity.


“We cannot sell to anyone because there is no petrol.‎ Fuel is like gold now. Maybe the situation it will improve soon. But for now, no petrol,” he said.


As the scarcity lingered, black‎ marketers cashed in on the development, with most of them selling 10 litres of petrol for N1,800 to N2,000, depending on the bargaining power of the buyer.


Some motorists who spoke to our correspondent bemoaned the situation and called for urgent intervention by the federal government.


“I almost spent the whole day at one of the filling stations ; I still was unable to buy petrol. Some of my colleagues who were lucky bought at N140, which is above the official price.


“If you go to Dawson road to buy from black marketers, then you have to be ready to pay at N1,800 for 10 litres. But that is if they are in a good mood.


“The federal government should please address the situation because if it continues for the next one week, even with the light situation,‎ things will be very difficult for the average Nigerian,” a private motorist said on Sunday.


But the ‎state command of the Nigerian Security and Civil Defence Corps has warned against the sale of illegally refined petrol by black marketers.


The command’s spokesperson, ASC Ogbebor Efosa, said that the corps would not spare anyone caught with adulterated petrol, as it was concerned about the possible spread of illegally refined petroleum products.


Efforts to reach the state chapter of the Independent Petroleum Marketers Association were unsuccessful at the time of filing the report.


However‎, the Chairman of the state Petroleum Monitoring Committee, Mr. Sunny Idahagbon, urged motorists to exercise patience, as the committee was doing its best to ensure that petroleum products were sold at the official price at filing stations where they are available.


He said, “It (fuel scarcity) is nationwide; it’s not peculiar to Edo State. “Here in the state, we are doing our very best to ensure that the Aproduct gets to the consumers at the possible best market price.”


 



Fuel scarcity bites harder in Edo

Saturday, May 2, 2015

Fuel Scarcity NSCDC Clampdown on Illegal Dealers of PMS

The unending fuel scarcity has continued to bite hard on motorists and users of the premium motor spirit (PMS) across the federation following long queues at the few stations that occasionally sell the product.


Fuel Scarcity

Fuel Scarcity


However, the Commandant General of the Corps, Dr. Ade Abolurin in line with the Corps’ mandate in curtailing the activities of illegal dealers on petroleum products have directed the Anti-Vandal Squad of the Corps to clampdown on illegal marketers of petroleum products, product diversion, unnecessary hike in pump prices and black marketers.


According to him, the persistent scarcity of the product gives room for the citizens to cast aspersion on the Government as if Government is not sensitive to the plight of the common man.


Therefore, he has directed that for the purpose of the benefits and dividends of democracy, all miscreants and those involved in hoarding of the product thereby causing artificial scarcity in order to sell at exorbitant prices should be arrested and prosecuted accordingly.


He reiterated that the clampdown will bring about sanity and availability of product at the various stations for legal sales to buyers  at ease instead of selling to those that are likely to hoard the product in order to sell at inflated prices to desperate buyers.


In compliance to the directive, the Corps’ Anti-Vandal squad have since commenced raiding of the illegal hide-outs of those involved in hoarding and diversion of the product as well as black marketers. Similarly, the Corps Chief Executive made a passionate appeal to the residents of Arepo and Ikorodu community respectively to cooperate and report appropriately activities of vandals within their communities to the Corps for necessary action.


According to Abolurin, the only way to overcome the menace of vandalism is when the community members and stakeholders come together to synergise, cooperate and partner by sharing information and intelligence in order to clampdown on vandals and those involved in nefarious activities.


Remarkably, he stressed that if the residents can maintain surveillance of their environments and report back to the Corps in order to effect arrest and possible prosecution, it will reduce the act of vandalism within the axis.


He emphasized that the shootout yesterday at Arepo axis which led to the death of one resident and some others injured is uncalled for; also, the ugly incident demonstrated early this year where the Corps personnel were attacked by vandals, operational vehicles burnt and three personnel abducted which up till date have not been seen, calls for the effort of all stakeholders to be vigilant and work assiduously towards wiping out vandals.


Abolurin therefore, urged all stakeholders to partner with the Corps in areas where vandalism is prevalent and becoming critical as vandalism in the oil and gas sector is affecting others especially the Power sector.


In addressing this hydra-headed problem of vandalism of critical infrastructure and national assets, while meeting with the representatives of DISCOS, GENCOS, TCN and other stakeholders in the Power sector yesterday at the Ministry of Power, Abolurin in his effort to finding a lasting solution and new strategies in curbing vandalism, said collaboration of the public and stakeholders is the best antidote in solving the problem so that the dividend of democracy can be felt and enjoyed by all, particularly taking into consideration the effort and input of Government over time towards curbing and eradicating vandalism.


However, in swift reaction, the service providers all complained of the same problem of constant attack on their facilities by vandals and appealed to Government to come to their aid by providing communication centre and security in and around the installations.


The Honourable Minister of Power, Chinedu Nebo, who was represented by the Permanent Secretary, Godknows Igali said Power have dropped by 2,900 Mega Watts (MWs) due to activities of vandals, but with the effort of Civil Defence, there is a greater improvement.


The Commandant General further stated that, vandalism is a cartel and it has assumed a different dimension but with synergy of all stakeholders, it is summountable by the Corps if required logistics are provided such as social security and advanced technologies in addition to the earlier procurement made by the Corps.



Fuel Scarcity NSCDC Clampdown on Illegal Dealers of PMS

Monday, April 20, 2015

Fuel Scarcity Looms over FG’s Indebtedness to Marketers

Oil marketers, under the auspices of Major Oil Marketers Association of Nigeria (MOMAN), have decried the government’s inability to disburse the outstanding payments due to its members for the import of petrol under the Petroleum Subsidy Fund scheme, warning that it could lead to another round of fuel scarcity if not promptly resolved.


It is understood that the purpose of the scheme is to ensure the reimbursement to marketers of agreed and verifiable costs of delivery of petrol to the consumer which are in excess of the market price (Under Recovery).


Similarly, the scheme ensures the repayment of any excess of the market price over the costs incurred by marketers whenever this occurs (Over Recovery).


In a letter addressed to the Coordinating Minister for the Economy and Minister of FINANCE, Dr. Ngozi Okonjo-Iweala,  and obtained by an online news medium, Freedom Online, the association, through its Executive Secretary, Mr. Thomas Olawore, stated despite previous assurance from the government to reimburse marketers the Under Recovery due to them as verified by the Petroleum Products Pricing Regulatory Agency (PPPRA), the government has till date failed to honour its agreement.


The letter read: “At the previous meeting, you empathised with the marketers and committed to full restitution provided these were verified by the Petroleum Product Pricing Regulatory Agency (PPPRA). You also assured marketers that they would be fully reimbursed for the interest (incurred due to the late payment) and FOREIGN EXCHANGE (FOREX) differential elements of their Under Recovery within 30 days of the meeting. Furthermore, you committed to immediately issuing Sovereign Debt Notes (SDNs) for the outstanding Under Recovery with full payment on or before the 28th of April, 2015.


“Regrettably, despite your above commitment and assurances, the industry to date has only received approximately N30billion IN FOREX differential claims out of the N100billion owed. In the same vein, only N345billion has been received in core subsidy payments covering payments up to Q2, 2014. Specifically only three companies out of the six MOMAN companies received payments for Forex differentials and no company, MOMAN or DAPPMA (Depot and Petroleum Products Marketing Association) has been paid interest charges on delayed payments.”


The letter noted that as at March 31, 2015, the total amount due to marketers based on all claims verified by the PPPRA is in the region of N270 billion but revealed that only N200 billion was earmarked for them in the 2015 budget, this according to MOMAN constituted a ”great cause of concern” for her members.


Similarly, MOMAN enumerated that the delays in the payment of the verified sums has ensured the marketers cannot fulfill their financial and non-financial obligations, notwithstanding this, they have continuously supplied adequate petroleum products into the country especially during the just concluded general elections. Olawore warned that the marketers who are currently experiencing “commercial hardship” as a result of cash flow constraints caused by these delayed payments and compounded by devaluation of the naira, higher inflation, and increase in lending rates might unfortunately down tools if this impasse is not resolved.


The consequences would include a significant scale down in petroleum products supply into the country and MOMAN members being left with no option but to streamline overhead costs and workforce “in the very immediate future.” Consequently, the body requested the federal government to urgently redeem the understanding that it had of about the plan to implement the terms of the petroleum subsidy fund scheme by doing the following:


• PSF outstanding receivables – that the Ministry of FINANCE issues authorised marketers whose cargoes have been cleared by PPPRA with Sovereign Debt Notes for immediate payment of outstanding principal sums.


• Additional Burdens – that all ancillary burdens such as interest and FOREX differentials incurred by the marketers as a result of the late payment be immediately reimbursed. • Sanctity of the PPPRA guidelines – that the relevant government agencies vested with the authority to administer the PSF scheme honor the sanctity of the Sovereign Debt Notes and the 45 days payment deadlines. It, however, pleaded that the minister should quickly intervene as the next five working days are crucial to members’ capacity to continue to operate.



Fuel Scarcity Looms over FG’s Indebtedness to Marketers

Wednesday, March 4, 2015

Fuel Scarcity: DPR to clamp down stations hoarding petrol

The Department of Petroleum Resources (DPR) on Tuesday threatened to clamped down indefinitely any petrol filling station engaged in hoarding.


Mrs Chioma Njoku, Operations’ Controller for Lagos Zone of the agency, made the assertion on a telephone interview with the News Agency of Nigeria (NAN) in Lagos.


Njoku said that the agency’s surveillance teams would clamp down on filling stations hoarding petrol or selling above the approved rate of N87 per liter.


According to her, the department has been inundated with complaints from the public on the arbitrarily fixing of petrol prices above the government approved rate.


She said such actions of the marketers negated the rules of engagement, stressing that DPR would sanction any outlet that indulged in illegal acts.


Njoku also charged marketers of petroleum products in Lagos to ensure that the products supply and distribution to the public met the recommended specifications.


She said that DPR had sanctioned some erring marketers caught hoarding petrol and engaging in other sharp practices.


“We have embarked on a monitoring exercise across Lagos since Monday in view of the current scarcity and discovered that some marketers were capitalising on the situation to make huge illegal profits.


“While some filling stations were under-dispensing, others were found hoarding products.


“We have compelled some of the marketers to begin selling of products immediately and sealed those that failed to comply,” she said.


Nkoju said the DPR would have sanctioned many more stations that were caught with sharp practices but decided to warn them due to the situation at hand.


She said also that the current scarcity was artificial and that the DPR would continue to ensure compliance at the filling stations and depots across the country.


“A lot of filling stations is hoarding petrol. We know we have enough petrol at the depots to go round but we found that some are hoarding.


“This exercise will continue till normalcy returns to the system and the DPR is ready to sanction more marketers and seal more depots that are found wanting,” she said.


 



Fuel Scarcity: DPR to clamp down stations hoarding petrol

Jonathan orders Okonjo-Iweala to clear monies owe to oil marketers

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ABUJA— President Goodluck Jonathan, yesterday, directed the Minister of Finance and Coordinating Minister of the Economy, Dr. Ngozi Okonjo-Iweala, to pay with immediate effect all outstanding monies owed to oil marketers so as to end the current gruelling fuel scarcity that has crippled the nation and caused untold hardship to millions of people.


Ngozi Okonjo-Iweala Ngozi Okonjo Iweala


This came as the fuel scarcity in Abuja and other cities worsened further, yesterday, despite assurances from the Federal Government of improved supply, as motorists experienced increased difficulties in their quest to purchase Premium Motor Spirit, PMS, from petrol stations.


The President who restated his commitment to Nigerians in Abuja, yesterday, said the public need not bear the burden of needless bureaucracy as is presently the case, and that they don’t need excuses but solutions which must be provided.


Consequently, petroleum marketers are, therefore, meeting Federal Government officials today with a view to resolving all outstanding issues leading to the current fuel crisis.


FG, marketers meet today


Okonjo-Iweala who spoke to journalists in Abuja, said the queues were due more to pipeline vandalism and logistics and not payment of claims to marketers.


Her words: “Government is very concerned about the fuel queues which have appeared in Lagos, Abuja and other parts of the country. As Nigerians can attest, the Petroleum Ministry and Nigerian National Petroleum Corporation, NNPC, have worked very hard to give out the message that there is no need for panic buying and that it is trying to reduce the queues to the barest minimum.


“We are working with them and in fact, the marketers are coming to meet with us tomorrow (today). We have also agreed to pay the interest rate and foreign exchange differentials.


“Tomorrow (today) we will be making part of that payment when the marketers are here and on the outstanding balance, we will be issuing SDN (Sovereign Debt Notes) to them so that the banks will know that the government has undertaken the obligations.”


According to the minister, the Governor of the Central Bank of Nigeria, CBN, Mr. Godwin Emefiele, has also spoken with the banks so that all marketers who want to open Letters of Credit could do so, adding: “We have cleared with the marketers that this is how we will go about it.”


Scarcity not about payment issues—Okonjo-Iweala


Okonjo-Iweala said last December, the government paid N320.8 billion debt owed marketers. The money, she revealed, came from Excess Crude Account, which she said “shows the seriousness with which the government takes issues about payments to marketers.”


She insisted that the current fuel crisis was not over payments to marketers, adding: “I want to emphasize that contrary to some unfounded speculations, the queues are not caused by payment issues. As you know, we paid the marketers a total of N320.8 billion from the Excess Crude account in two instalments in December last year.


“This underscores the fact that we are taking payment of marketers very seriously indeed. We’ve been in constant touch and talking with the marketers and a week ago we reached an agreement with them on their core concerns which we have addressed.”


The minister commended members of the Major Oil Marketers Assoaiciation of Nigerian, MOMAN, who she described as very cooperative and urged Nigerians to question the motive of others who even refused to open Letters of Credit, LCs.


She said: “It is clear that while the union and most members have been cooperative, some of their members are not. Some of these people have even refused to open LCs to facilitate their payments.


“We salute the union and the members who are working hard to end this unfortunate situation. As for those who are working in the other direction, Nigerians should ask them what their motives are.”


Transporters hiken fares by 100%


Meanwhile, transporters have hiked their fares by over 100 per cent, as the fares within a short distance of Abuja city centre which used to cost N50 were increased to N100, while some charge N150.


Also, large numbers of commuters were stranded at bus stops and parks across the FCT, as only a few vehicles were seen on the roads.


Major roads in the FCT, especially traffic-prone areas, were virtually free, as the roads were almost deserted due to the fact that a large number of vehicles were parked at petrol stations hoping to get fuel while others left their vehicles at home after having run out of the commodity.


 


Sharp practices at petrol stations


The situation also gave rise to sharp practices at petrol stations, despite warning by the DPR, as some stations used the opportunity to hike the price of the product, while some others resorted to manipulating their pump volume and extorting extra cash from motorists before allowing them gain entrance into the stations.


A chaotic scene was recorded in almost all the petrol stations across the FCT, with soldiers and other law enforcement agents deployed to some stations to maintain law and order,


When Vanguard visited Total petrol station opposite the Nigeria Police Headquarters, Abuja, which was dispensing the commodity slowly, a huge crowd of motorists were struggling to buy the product.


Other petrol stations that were selling amidst long queues of motorists include: Oando Mabushi;Forte Oil opposite Transcorp Hilton; MRS, Kubwa Expressway;NNPC Mega Stations, Gwarinpa and Kubwa Expressway among others.


Things are getting back to normal —NNPC


This was in spite of assurances by the Department of Petroleum Resources, DPR, the Nigerian National Petroleum Corporation, NNPC, Petroleum Products Pricing and Regulatory Agency, PPPRA and the Pipeline Products and Marketing Company, PPMC, of a reduction of fuel queues following increase in products supply.


Group Managing Director of the NNPC, Mr. Joseph Dawha, had on Monday assured Nigerians that the fuel scarcity situation will ease by yesterday, stating that the corporation is working hard to ensure that the crisis is nipped in the bud.


He maintained that things are gradually returning to normal and it is hoped that within the next two days, the situation will normalise.


He further stated that it is working with the PPMC, the PPPRA and the DPR, to ensure the increased supply of the product across the country.


He said: “Things are getting back to normal. The stations we just visited have confirmed the availability of products. The queues are disappearing and supply is improving, by tomorrow and day after tomorrow, everything will go back to normal.”


Speaking in the same vein, Haruna Momoh, Managing Director of the PPMC, lamented the absence of effective pipeline network, due to the continuous vandalisation of pipeline across the country, saying it is a major challenge to fuel distribution across the country.


He, however, assured that the fuel situation will normalise in the next few days as, according to him, supply is improving with the arrival of a number of fuel vessels over the weekend, while more vessels are expected to arrive in the next couple of days.


He further stated that the PPMC is expanding its depot across the country, adding that it is commissioning two of the depots in a few days time.


He saisd: “Despite the increase in our depots, we have to make sure that our pipelines work. When they work, fuel distribution across the country will be much easier.”


He advised Nigerians not to engage in panic buying, saying that the situation has been brought under control.


DPR warns fuel station owners


Also speaking, Mr. George Osahon, Director of the DPR, threatened to deploy law enforcement agents to petrol stations found to be hoarding fuel across the country and compel them to sell to motorists at the regulated price.


He also disclosed that the DPR will not hesitate to sanction any marketer found engaging in sharp practices, especially in the hoarding of the product and in manipulation of prices.


He said: “We are going to make sure that those people who are possibly hoarding fuel, don’t hoard fuel. We will try as much as possible to minimise the number of petrol stations to shut down.


“For anybody who hoards, we will get law enforcement agency to go in there and make sure that they are forced to sell and sell at regulated prices. And we are doing that in filling stations across the country to ensure this crisis eases off as soon as possible.”


 



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Jonathan orders Okonjo-Iweala to clear monies owe to oil marketers