Fuel Scarcity, Price Hike:Nigerians in Pains As Oil Marketers Blame Scarcity on Logistics, Echoing NNPCL's Concerns

By: Abdulwasiu Akintunde 

The new waves of fuel scarcity in Nigeria has been blamed on persistent logistics issues, according to oil marketers. 

This statement comes shortly after the Nigerian National Petroleum Company Limited (NNPCL) also pointed to similar supply chain disruptions on Sunday. 

As gathered by OPEN TELEVISION Naija (OTN) News during an appearance on Channels Television's *Morning Brief*, the President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, explained that marketers are currently grappling with supply limitations, which has restricted their ability to distribute fuel beyond the resources they currently have available.

Gillis-Harry said: “I think until we get our supply challenges sorted out efficiently and abundantly, we will not be able to get out of this circle."

“I believe you must have heard the NNPC’s communications director who explained that the issues at stake are still logistics-related.

“So until they get that resolved, we may just be managing the little they bring and give to us to distribute among our members. NNPCL is doing its best to bring in products bit by bit, and we can only supply what we have.”

He further said, “The logistics issue is about ship-to-ship transfer. Until the ship gets products, it can not deliver to any of the depots. And until depots have products, we the retailers can not also have access to products." 

He has, however, assured that the marketers were in conversations with the NNPCL over supply challenges, adding “we have been speaking with NNPCL. We encourage them to do more, and I can assure you that they are trying their best.”

Gillis-Harry’s clarification on the fuel scarcity comes following lingering shortages of products, especially in the northern parts of Nigeria. Following the scarcity, it, however, spread to Lagos over the weekend.

OTN News recalls that fuel prices have surged to between N800 and N1,000 per litre in some filling stations, causing a sharp increase in transportation costs. 

While some filling stations have halted sales, black market operators are capitalizing on the scarcity to boost their profits. 

Meanwhile, reports surfaced last week attributing the shortage to outstanding debts owed by the Nigerian National Petroleum Company Limited (NNPCL) to international oil traders, further exacerbating the crisis.