Oil prices are expected to increase from the current N162-N165 / liter to N170 / liter, while the price of the depot is expected to increase from N159 / liter to N165 / liter, oil traders said on Thursday.

Traders affiliated to the Nigeria Independent Petroleum Marketers Association and the Nigerian Petroleum Retail Owners Association have warned that if the price of petrol at the depots is not checked, a reasonable pump price will be required.

He also highlighted the problem of PMS supply and stressed that many tanks or depots do not have gasoline, which is why the few who owned the product were increased from N148 / liter to N159 / liter.

But the Nigerian National Petroleum Company Limited maintained that it had enough gasoline to sustain the country during the holiday season and beyond.

IPMAN and Petrovan members own most of the gas stations across the country and purchase depots before selling them to their various retailers.

Explaining the increase in the price of petrol at the depot, the owners of the plant told our correspondent that the recent agreement reached by key stakeholders in the lower riparian oil sector has not been implemented by the federal government.

Last week, the NNPC agreed to return coastal activity to overcrowded Naira-like receipts, using the window value of investors and exporters, but this has not yet been implemented.

Depot owners argued that paying in dollars was a major obstacle to their effective participation in product distribution, which led to shortages in many cities.

The price of a gasoline pump is likely to rise soon, said Uqadike Chinedu, head of IPM, National Public Relations Officer.

Asked if the high cost of the depot would increase the cost of the pump, he said, “Yes, because if you look at our profit margins it is controlled and adjusted.

“And they (the government) often talk about lack of control. But you can’t control a controlled market. There is a band and you say you are doing a derailment.

“So for marketers, we urge you to take the band N165 to N170 if this trend continues from now on.”

He said there was a shortage of gasoline for months and that there were problems with the supply chain.

“I want you to know that gasoline supply is a problem,” said an IPMAN spokesman. Most tank farms do not have products. And the place to buy the product is one of the few.

“As a result, profitability will begin and they will sell for N159 to N160 / liter.

“Now this trader pays around N100,000 to send the product to the station. Now when the product arrives at its own station, the price of that product is N163 / liter.

“Marketers should not be held accountable when the price of a pump goes up,” he added. Many tank farms do not produce. So shoppers have no choice but to sell.

“If there is a profit, you will see traders selling N162 / liter or less, but now you will not find anyone to sell at that price. I want to let you know next week that products will be closer to N165 / liter depots.

PETROAN President Billy Gillis-Harry confirmed IPMAN’s position that oil retailers in gas stations will adjust their prices by more than N165 / liter, if depots continue to sell at unauthorized prices.

“Private depot owners have increased their prices at random. Most retailers are now very disciplined, keeping the pump price in the band.

“But if the depots continue to run from N157 to N159 / liter, retail owners will have no choice, but they will add a reasonable price to it. The fact is.

Gillis-Harry, however, reported that PETROAN had officially reported to the Department of Petroleum Resources and had now been transformed into two agencies based on the implementation of the Petroleum Industry Act.

“We will soon meet with the new Central and Lower Basin Superintendent and this will be one of the issues that will come up when we meet,” he said.

The Nigerian Depot and Petroleum Products Traders Association official told our correspondent why the depot owners raised their pride above the allowable N148 / liter. NNPC failed to implement the agreement reached last week.

The official NNPC has agreed to return to Nara-similar receipts for maximum capacity off the coast using temporary import and export window size.

The Nigerian Naval Administration and Security Agency and the Nigerian Ports Authority have said that the dollar fee for oil tankers was a test for depot owners.

The official emphasized that the two sides had agreed to a ceasefire if the two sides agreed to a ceasefire.

According to the source, NNPC is paying in dollars to use the ships, in contrast to previous Nara payments.

This is the main reason for the increase in depot price to N159 / liter, he said, adding that the price is now too high for depot owners.

Gaba-Din Mohammed, General Manager of the Group Public Affairs Division of the Group NPNC, could not be reached for comment.

WhatsApp did not respond to a request for comment at the time of writing.

However, Mohammed said in a recent statement that NNPC had more than 1.7 billion liters of gasoline and that further production was expected to reach Nigeria every day in the coming weeks and months.

He said it was not necessary to worry about the shortage of gasoline during the holiday season and beyond.

NNPC also stressed that the government has no plans to increase the price of petroleum pumps.

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