The Nigerian National Petroleum Company Limited (NNPC) has agreed to sell Premium Motor Spirit (PMS), also known as petrol, to members of the Independent Petroleum Marketers Association of Nigeria (IPMAN) at N995 per litre. This development comes after the Department of State Services (DSS) intervened in the dispute between NNPC and IPMAN.
According to Hammed Fashola, IPMAN’s National Vice President, the DSS’s intervention resolved many issues facing marketers. The Nigerian Midstream and Downstream Petroleum Regulatory Authority also agreed to pay IPMAN’s outstanding N10 billion and address direct petrol purchase from Dangote Refinery.
Fashola stated, “We really appreciate their intervention… their intervention brokered peace and understanding between the parties.” He noted that with the N995 ex-depot price, IPMAN members will no longer sell at significantly higher prices than major marketers. However, distance affects pricing, and IPMAN aims to establish a uniform price.
Key Points:
- Price Disparity: IPMAN seeks competitive prices to close the gap with NNPC Retail and major marketers.
- Direct Supply: IPMAN will meet with Dangote Refinery to work out modalities for direct petrol purchase.
- Outstanding Debt: NNPC will pay IPMAN’s N10 billion outstanding debt.
- Uniform Pricing: IPMAN aims to establish a uniform price, considering transportation costs and expenses.
This agreement is expected to reduce fuel scarcity and queues at filling stations, as IPMAN controls over 70% of filling stations nationwide.
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