The Nigerian National Petroleum Corporation (NNPC) Limited Lagos stations have adjusted the price of their fuel to N855 during ongoing fuel scarcity problems.
This is an increase compared to the N568 per liter that the body has been selling.
The body recently admitted its inability to supply petrol to local marketers, blaming its debt obligations to international oil traders.
“NNPC Ltd. has acknowledged recent reports in national newspapers regarding the company’s significant debt to petrol suppliers. This financial strain has placed considerable pressure on the Company and poses a threat to the sustainability of fuel supply”.
“In line with the Petroleum Industry Act (PIA), NNPC Ltd. remains dedicated to its role as the supplier of last resort, ensuring national energy security. We are actively collaborating with relevant government agencies and other stakeholders to maintain a consistent supply of petroleum products nationwide,” The spokesperson of the NNPCL, Soneye, stated.
Read more: https://arbiterz.com/nnpc-extends-fuel-station-operating-hours-amid-nationwide-petrol-scarcity/
What does this mean?
NNPC Limited’s price increase opens up the deeper issues within Nigeria’s petrol supply chain.
As the company struggles to manage its debt to international oil traders, it has admitted its inability to supply local marketers adequately. This situation not only drives up prices but also exacerbates the ongoing fuel shortage.
For consumers, this means that long queues at petrol stations will likely continue, leading to further frustration and potential disruptions in daily activities.
The inability of the NNPC to meet its supply obligations directly impacts not only fuel availability but also the broader economy. Businesses that rely on consistent fuel supplies are likely to face disruptions, potentially leading to higher operational costs and increased prices for goods and services.
As Arbiterz earlier reported, the Dangote refinery starting production today could turn the situation around.
