FG to Shut Errant Filling Stations as Petrol Hits N1,000/Litre

The Federal Government of Nigeria has threatened to shut down filling stations selling petrol at exorbitant prices, as many independent oil marketers have hiked pump prices to between N900 and N1,000 per litre. These prices starkly contrast with the Nigerian National Petroleum Company (NNPC) stations, where petrol is priced between N568 and N617 per litre, leading to long queues. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has warned that filling stations caught selling petrol at such inflated prices will be closed. The regulatory body stated that the prices reported by independent marketers, who claim to buy petrol at N850 per litre from private depot owners, do not align with the official prices observed by their field agents.

The NMDPRA spokesperson, George Ene-Ita, emphasized that the NNPC provides the ex-depot prices and that there is no justification for the pump prices to exceed N650 per litre. Despite this, independent marketers continue to exploit the ongoing fuel scarcity to increase their profit margins, with some selling petrol for as much as N1,000 per litre in certain areas.

The situation is exacerbated by low supply from the NNPC, forcing private depot owners to increase their prices, which in turn drives up the costs for independent marketers. The ongoing scarcity has also led to a surge in transportation costs, with commercial bus operators raising their fares by 50% in response to the fuel crisis. The NMDPRA has reiterated its commitment to ensuring that marketers adhere to fair pricing, warning that those who engage in profiteering will face severe consequences.