Online Reporter
Given the current situation in Nigeria’s oil market relating to the Naira-for-Crude saga with the Dangote Refinery, oil marketers have begun amassing Premium Motor Spirit, otherwise known as petrol.
The projection that the halt in the Naira-for-Crude initiative which allowed local refineries, including the Dangote Refinery to buy crude in local currency, would lead to a fuel crisis is beginning to take hold.
As currently reported, retailers are hoarding fuel to guarantee they have enough to sell at a higher rate, having estimated that the price of gasoline will increase shortly, especially considering that the Dangote Refinery has touted selling petrol in dollars. This, according to the Independent Petroleum Marketers Association of Nigeria (IPMAN), which issued a warning could lead to heavy losses.
During an interview with the Punch Newspaper, Chinedu Ukadike, the National Publicity Secretary of IPMAN, noted that while some filling stations were racing to gather fuel, depot owners were making money.
“Some depot owners are already increasing the price. But we are also asking our marketers not to panic-buy. Because definitely when the Dangote refinery comes back and reverses the price, it will be a huge loss for these marketers. Depot owners are using this opportunity to profiteer. This is not good for the economy,” he stated.
“Some marketers are also stockpiling PMS in a bid to increase the price based on the suspension of naira sales by the Dangote refinery. — Business Insider Africa.
