Independent petroleum marketers are expressing alarm over the steep rise in the price of Premium Motor Spirit (PMS), commonly known as petrol, at private depots, reaching as high as N710 per liter. This surge has translated to pump prices at outlets operated by independent marketers, which now range between N730 and N750 per liter, causing queues at stations owned by major marketers and the Nigerian National Petroleum Company Limited (NNPCL), where prices are comparatively lower at N610 and N568 per liter, respectively.
A visit to private depots in the Satellite and Apapa areas of Lagos revealed a range of prices, with some depots selling petrol at between N701 and N735 per liter. The highest prices were observed at Bovas depot, which sold petrol to independent marketers at N762 per liter, followed by MRS depot at N735 per liter. In contrast, Rainoil and Emadeb depots sold at the lowest prices of N705 per liter, while Eterna Oil and Sahara (Asharami) depot sold at N701 per liter.
Speaking anonymously, an independent marketer lamented the challenges faced by independent marketers who rely on major marketers for products. Major marketers, who purchase directly from NNPCL at rates of N548 to N550 per liter, sell to independent marketers at higher rates, ranging from N701 to N705 per liter. This disparity has created stiff competition in the market, particularly in Lagos, where major marketers sell at N610 to N620 per liter in their stations.
The situation has also impacted IPMAN stations in Lagos, which are struggling to compete due to the price difference. Transportation costs and charges from the National Union of Petroleum and Natural Gas Workers (NUPENG) further inflate the final pump price, resulting in prices ranging from N740 to N750 per liter.
In a telephone interview with Vanguard, the National President of IPMAN, Alhaji Abubakar Migandi Garima, noted that while supply challenges have eased, the allocation from NNPCL is insufficient to meet the demands of all members. As a result, some members resort to purchasing from private depots, where prices are higher, leading to increased prices at their stations compared to major marketers.
