Nigerians are grappling with skyrocketing fuel prices as the cost of Premium Motor Spirit (PMS) surges past N1,000 per litre in several parts of the country. This price hike comes at a time when the Nigerian National Petroleum Company Limited (NNPCL) is struggling under the weight of over $6 billion in debt, creating widespread anxiety about the sustainability of fuel supplies.
The situation has been exacerbated by the NNPCL’s recent admission of severe financial strain, a revelation that has further fueled concerns among stakeholders and the general public. The company’s spokesperson, Olufemi Soneye, disclosed that the financial challenges pose a significant threat to the continued supply of fuel, raising fears of more price hikes in the near future.
Amidst this crisis, the much-anticipated start of petrol production at the Dangote Refinery has brought a glimmer of hope. The refinery, which recently began producing PMS, is expected to ease the pressure on Nigeria’s fuel supply and reduce the country’s reliance on imports. Anthony Chiejina, spokesperson for Dangote Group, stated that the refinery’s production would soon reach commercial quantities, potentially alleviating the endless fuel queues and improving the availability of petrol across the nation.
However, the current reality remains grim. In states like Delta, Bayelsa, and Cross River, fuel prices have soared to between N870 and N1,100 per litre, with similar reports from other regions. Long queues persist at the few stations that are still dispensing fuel, adding to the frustration of Nigerians who are already dealing with the ripple effects of the fuel crisis on the cost of living.
In response to the unfolding situation, the President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Maigandi, urged Nigerians not to panic, assuring them that efforts are being made to ensure product availability. He also emphasized that any official price increase would be announced by the NNPCL.
The impact of the crisis has been felt across various sectors, with public analysts and industry experts calling for swift government action. Ameh Madaki, Managing Partner at BBH Consulting, criticized the government’s handling of the oil and gas sector, warning of dire consequences if urgent reforms are not implemented.
As Nigerians brace for the potential fallout of this ongoing crisis, energy experts like Uche Okoro and Chinedu Amah have called for the rapid expansion of alternative energy programs, such as Compressed Natural Gas (CNG), to provide more sustainable solutions and reduce the country’s dependency on petrol.
