Fuel Scarcity: Queues Return to Abuja as Price Increases

Long queues for petrol resurfaced in Abuja and environs yesterday, amidst speculations about a possible pump price increase.…CONTINUE READING

Reports revealed that many independent marketers’ stations have already raised the price of premium motor spirit (PMS) popularly called petrol, to as much as N650 per litre, thereby heightening the price difference between the and major marketers including the Nigerian National Petroleum Company (NNPC) Limited which are still selling petrol at N617 and N613 per litre respectively.

With the huge price difference, motorists thronged the filling stations still selling petrol at the old prices, especially NNPC retail stations, thereby resulting in long queues.

The NNPC has however, allayed fears of a possible scarcity of petrol in the country.

Responding to Economic Confidential enquiry, chief corporate communications officer of the company, Olufemi Soneye said the current situation is due the price difference in the filling stations.

“The recent tightness in Abuja is essentially a price war which is typical of any competitive market. Motorists would rather queue at filling stations that offer lower prices than others. Whilst NNPC Retail is selling at N613 in Abuja, other marketers’ prices range from N625-N650,” Soneye explained in details.

Recall that the NNPC is once again a major importer of petrol after scarcity of foreign exchange and naira depreciation forced many independent marketers off petrol importation. The national oil company is also a major retailer.
Meanwhile, the queue led to traffic gridlock along Olusegun Obasanjo Way at Wuse as the two NNPC stations along the route had long queues of cars waiting to fill their tanks.