Nigerians across the country are facing significant challenges as the price of Premium Motor Spirit (PMS), commonly known as petrol, has skyrocketed to over ₦1,000 per liter in several regions. This development has intensified the strain on citizens already grappling with economic difficulties.
In response to this crisis, the Dangote Refinery has stepped in, offering the Nigerian National Petroleum Company Limited (NNPCL) a lifeline to alleviate the burden of petrol importation. The Lagos-based refinery, which has a capacity of 650,000 barrels per day, recently confirmed that it has begun producing PMS, marking a potential turning point in Nigeria’s energy sector.
Speaking to newsmen, Anthony Chiejina, the spokesperson for Dangote Group, emphasized that the refinery’s petrol production would help mitigate the persistent fuel shortages, boost national productivity, and enhance energy security. “The Refinery has started producing Premium Motor Spirit. When it gets to commercial quantity and hits the market, you will know,” Chiejina stated. He further highlighted the expected benefits, including the reduction of fuel queues and the restoration of valuable man-hours lost due to the scarcity of petrol.
This development comes as NNPCL faces growing financial pressure, with the company admitting over the weekend to being heavily indebted to oil suppliers, to the tune of over $6 billion. Olufemi Soneye, a spokesperson for NNPCL, acknowledged the financial strain, noting that it poses a significant threat to the sustainability of fuel supply in the country.
The revelation has sparked widespread concern among stakeholders and public analysts, who fear that the ongoing crisis in Nigeria’s oil and gas sector could worsen if not addressed promptly.
Despite these challenges, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has urged the public not to panic. IPMAN President Abubakar Maigandi reassured Nigerians that efforts are being made in collaboration with NNPCL to ensure fuel availability. He also clarified that while petrol prices vary depending on where marketers source their supplies, any official price adjustment would be communicated by NNPCL.
Fuel queues persist in many areas, including the nation’s capital, where only a few filling stations were seen dispensing fuel, with prices ranging from ₦617 to ₦720 per liter. In other states, such as Nasarawa, Niger, and Kogi, prices have escalated to between ₦850 and ₦1,100 per liter, while in the southern regions of Delta, Bayelsa, Cross River, Imo, Enugu, and Abia, prices hover between ₦870 and ₦1,000 per liter.
Maigandi also called for a swift response from the Dangote Refinery to provide petrol, noting that a directive for marketers to source their supplies from the refinery is eagerly awaited.
As the fuel crisis deepens, calls for long-term solutions are growing louder. Chinedu Amah, CEO of Spark Online, urged the federal government to expedite the implementation of the Compressed Natural Gas (CNG) program as a viable alternative to petrol. He also suggested the development of a public transportation master plan and the promotion of clean energy solutions to reduce dependence on petrol and ease the financial burden on Nigerians.
In a related commentary, Barr. Ameh Madaki, Managing Partner at BBH Consulting and Convener of the Public Interest Advocacy Network (PIAN), criticized the management of Nigeria’s oil and gas sector under President Bola Ahmed Tinubu’s administration. He warned that unless urgent reforms are undertaken to restore professionalism and transparency, the sector could face a complete collapse.
As Nigerians continue to grapple with the soaring cost of fuel, the demand for swift and effective solutions remains urgent, with stakeholders calling on the government to act decisively to stabilize the situation.
