The Minister of State for Petroleum Resources, Heineken Lokpobiri, has assured Nigerians that petrol will be widely available despite recent shortages and price increases. Speaking to journalists at the Presidential Villa in Abuja on Thursday, following a meeting with Vice President Kashim Shettima, Lokpobiri emphasized that while fuel prices may vary, the supply situation is expected to improve significantly by the weekend.
“The critical point is that products are available in the country,” Lokpobiri stated. He assured that the scarcity being experienced would soon end, with petrol expected to be accessible nationwide by the weekend. He also noted that the government is not intervening in price setting, as the sector is fully deregulated.
“The price might still be high in some regions, but we anticipate that as availability improves, prices will stabilize,” he said. Lokpobiri urged the public to avoid panic buying, stressing that the government’s focus is on ensuring the steady availability of petrol across the country.
During the briefing, Lokpobiri explained that Vice President Shettima convened the meeting with him, NNPC Group Managing Director Mele Kyari, and National Security Adviser Nuhu Ribadu to discuss the recent price hikes and fuel shortages.
Kalu Okuoha, Executive Director of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), added that regulatory measures are being implemented to stabilize the petrol supply. He highlighted efforts to increase operating hours at loading depots, expedite vessel clearances, and support local refineries to boost supply.
In related developments, the Nigerian National Petroleum Company Limited (NNPCL) has announced that petrol from the Dangote Refinery will start entering the market on September 15, 2024. This follows the refinery’s recent start of petrol refining.
NNPCL's Chief Corporate Communications Officer, Olufemi Soneye, confirmed in a statement that petrol prices will now be set by market forces, following the full deregulation of the downstream sector under the Petroleum Industry Act (PIA). This deregulation means that NNPCL will no longer set fuel prices.
Adedapo Segun, NNPCL’s Executive Vice President of Downstream, emphasized that fluctuations in petrol prices have been largely due to foreign exchange liquidity issues. He reiterated that the free market, rather than government or NNPCL intervention, now dictates petrol prices. Segun also noted that the current fuel scarcity should ease in the coming days as more filling stations recalibrate their systems and resume operations.
Segun further revealed that NNPCL has already supplied 30 million barrels of crude oil to the Dangote Refinery and plans to provide an additional 17 million barrels soon. He acknowledged concerns about the current petrol pump price not reflecting market realities and stressed that a competitive market should determine fuel prices.
