Connect with us

news

Update: Energy crisis: Petrol scarcity to persist

Published

on

….Petrol subsidy could hit N6trn by end of year, IMF warns

…PENGASSAN cites bridging cost, says high diesel price affecting trucking of petrol by tankers

…Adds sole importation, inadequate funds, others can’t guarantee supply

…As MOMAN canvasses full downstream deregulation, says inadequate supply responsible for scarcity

Indications emerged yesterday that the ongoing fuel scarcity in the country may not abate soon, as major stakeholders in the sector are currently expressing divergent views as to the cause(s) of the crisis.

While the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, said there is sufficient stock of the product to serve the nation for some weeks, which seemed to be the position of the Nigerian National Petroleum Corporation Limited, another major stakeholder, the Major Oil Marketers Association of Nigeria, MOMAN, said the product available is inadequate to serve the nation, noting that the shortage was fueled by fundamental issues and problems in the sector.

PENGASSAN blamed the current scarcity on difference in the bridging gap cost between when the cost of diesel was N250 per litre and now that it had risen to as much as N820.

Speaking at an electronic medium monitored in Lagos yesterday, President of PENGASSAN, Mr. Festus Osifo, said: “Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA and truck drivers are the ones administering the bridging fund.

“At a particular time, they agreed with truck drivers that the bridging fund is going to be about N10 per litre, depending on the destination you are going to all over the country.

“As at when they agreed, the cost of diesel was about N250, so it was fashionable and the N10 was okay, but today, the cost of diesel is over N700. It has tripled.

“So, the expectations from the tanker drivers is that since the cost has gone up, instead of paying N10.40 kobo as the case may be, you have to multiply it by three. This is a major problem. As at today, we have close to two billion litres of PMS, so the problem is not the stock.’’

He explained that while the stock is available, most truck drivers are not willing to move these products, “because of the previous problem I just enumerated.

“One of the issues again is that today, NNPC is the sole importer of PMS, so they import PMS into the country, and this PMS is brought to the high sea, so they rent some smaller vessels to bunker the PMS and take to the various tank farms or depots.

“So, if it’s the NNPC depots and you are loading from the NNPC depots, you are going to pay about N148 as the ex-depot price. But some of the PMS are also stored in private depots and those private depots don’t sell to retailers for N148; they add some premium to it. At the end of the day, they sell between N152, N155, N160 and N162.”

Inadequate supply, other challenges abound — MOMAN

Countering this at a virtual meeting monitored yesterday in Lagos, the Chairman of MOMAN, Mr. Olumide Adeosun and the Chief Executive Officer, MOMAN, Mr. Clement Isong, jointly observed that the current scarcity of petrol was occasioned by supply inadequacy in the last few weeks, which was worsened by the scarcity and rising price of Automotive Gas Oil (diesel), which tanker drivers depend on to move petrol from the depots to the filling stations.

They said: “MOMAN, as an association, fears that the current supply framework cannot guarantee steady and consistent supplies to the country, given the current state of government finances and unpredictable international supply shortages.”

Full downstream deregulation is key

The duo, who canvassed deregulation, said: “We recommend a gradual price deregulation with targeted palliatives (e.g. transport and agricultural subsidies) to the public to ease implementation.

“However, in the interim, MOMAN recommends that the current single supplier strategy be reviewed. The Federal Ministry of Petroleum Resources, in collaboration with the Ministry of Finance and other relevant MDAs, should set up a task force to immediately focus on increasing diesel supply through accelerated initiatives to increase local modular refining capacity. This move will tackle the supply and distribution challenges.

“There should be phased rehabilitation of existing NNPC refineries to hasten supply of middle distillates (AGO & ATK). MOMAN recognizes and closely associates with the need to ease challenges, with respect to high energy and transportation costs occasioned by extraneous circumstances.

“MOMAN shall continually do its best to distribute petrol to its customers across the country and keep exploring opportunities to partner with industry stakeholders, The Authority and the government should ensure the sustainability and institutionalization of a viable petroleum downstream sector in Nigeria.

“The full deregulation of the petroleum downstream sector and full implementation of the Petroleum Industry Act (PIA) 2021 clearly remains the most viable long-term solution to the country’s supply and distribution challenges.”

Ukraine-Russian war factor

In any case, an investigation by Vanguard indicated that the outbreak of the Ukraine – Russian war and ban on Russian oil and gas, have culminated in scarcity and rising prices globally.

Consequently, Nigeria remains one of the most affected nations because of its over-dependence on imported petroleum products at the expense of the nation’s scarce foreign exchange, thus over-stretching the capacity of government to import.

Legislators postpone dialogue with stakeholders

Meanwhile, the House of Representatives yesterday postponed its meeting with the major stakeholders in the downstream sector from yesterday to Friday this week, following the taking of permission and absent of major stakeholders.

However, the meeting was targeted at finding lasting solution to the nation’s prolonged energy crisis.

Specifically, those expected at the public hearing include the Nigerian National Petroleum Corporation (NNPC) Company limited represented by the GMD, Mr. Mele Kyari, the Minister of State for Petroleum, Timipre Sylva, the Chief Executive Officer of the NMDPRA, the Managing Director of the Nigerian Gas Company (NGC) and that of the Nigerian Gas Marketing Company (NGMC), two subsidiaries of NNPC Limited and others.

The lawmakers had in a letter signed by the Chairman of the Joint Committee on Petroleum Resources (Downstream) Hon. Mahmud Gaya, invited the heads of the organisations for the hearing.

But addressing the House, the Chairman of the joint committee, Gaya said he received communication from the GMD and the minister who said they would not be able to make it because they were also in another meeting at the time.

Long fuel queues, other woes remain

However, the queues remained visible at many filling stations across the nation, yesterday, due to lack of adequate supply.

Transporters, who managed to get supply at the prevailing black market price, ranging from N200 to N300, increased fares to cover cost.

This, it was gathered, has already culminated in the general increase in the prices of basic services and goods, including commodities, a development worsened by epileptic power supply and high prices of cooking gas as well as aviation fuel.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

news

Dangote Refinery to Begin Nationwide Distribution of PMS, Diesel, for smooth logistics to marketers

Published

on

 

The Dangote Petroleum Refinery has announced that it will begin distribution of Premium Motor Spirit (PMS) and diesel nationwide.

The statement added that the Refinery has invested in the procurement of 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers to ensure smooth take-off of the scheme, which will continue over an extended timeframe

The statement said, “To ensure the smooth takeoff of the free logistics for marketers and petrol dealers buying from Dangote, the statement further disclosed that the refinery has procured 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers.

“This phase of the programme will continue over an extended timeframe. The refinery is also investing in Compressed Natural Gas (CNG) stations, commonly referred to as daughter booster stations, supported by a fleet of over 100 CNG tankers across the country to ensure seamless product distribution.

This strategic programme is part of our broader commitment to eliminating logistics costs, enhancing energy efficiency, promoting sustainability and supporting Nigeria’s economic development. It affirms our dedication to improving the availability and affordability of fuel, in support of broader efforts to strengthen the economy and improve the well-being of all Nigerians.

“Under this initiative, all petrol stations purchasing PMS and diesel from the Dangote Petroleum Refinery will benefit from this enhanced logistics support. Key sectors such as manufacturing, telecommunications, and others will also gain from this transformative initiative, as reduced fuel costs will contribute to lower production costs, reduced inflation, and foster economic growth. Players in these key sectors and others can purchase directly from the Dangote Petroleum Refinery.

The Dangote Petroleum Refinery has announced that it will begin distribution of Premium Motor Spirit (PMS) and diesel nationwide.

In a statement on Sunday, the company said effective from 15th of August 2025, it will begin the distribution of the products to marketers, petrol dealers, manufacturers, telecoms firms, aviation, and other large users across the country, with free logistics to boost distribution network.

The move, according to the company, was a significant national initiative aimed at transforming Nigeria’s fuel distribution landscape.

The statement added that the Refinery has invested in the procurement of 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers to ensure smooth take-off of the scheme, which will continue over an extended timeframe.

“This phase of the programme will continue over an extended timeframe. The refinery is also investing in Compressed Natural Gas (CNG) stations, commonly referred to as daughter booster stations, supported by a fleet of over 100 CNG tankers across the country to ensure seamless product distribution.

“This strategic programme is part of our broader commitment to eliminating logistics costs, enhancing energy efficiency, promoting sustainability and supporting Nigeria’s economic development. It affirms our dedication to improving the availability and affordability of fuel, in support of broader efforts to strengthen the economy and improve the well-being of all Nigerians.

“Under this initiative, all petrol stations purchasing PMS and diesel from the Dangote Petroleum Refinery will benefit from this enhanced logistics support. Key sectors such as manufacturing, telecommunications, and others will also gain from this transformative initiative, as reduced fuel costs will contribute to lower production costs, reduced inflation, and foster economic growth. Players in these key sectors and others can purchase directly from the Dangote Petroleum Refinery.”

The statement added that the refinery will offer a credit facility to those purchasing a minimum of 500,000 litres, which would allow them to obtain an additional 500,000 litres on credit for two weeks, under bank guarantee.

It described the effort as a milestone in its vision to revolutionise the Nigeria’s energy sector.

“This pioneering effort marks a major milestone in our vision to revolutionise Nigeria’s energy sector. Dangote Refinery is dedicated to ensuring that no place is left behind. Our goal is to provide equitable access to affordable fuel for all Nigerians, regardless of location, making energy more accessible and sustainable for everyone, wherever they may b

 

Continue Reading

news

NMA FCT Issues Indefinite Strike Threat Over Alleged Ethnic Victimisation and Unjust Dismissal of Three Abuja Doctors

Published

on

Tensions are rising at the National Hospital Abuja (NHA) as the Nigerian Medical Association (NMA) FCT Branch threatens an indefinite strike following the controversial dismissal of three medical doctors. According to insider sources, the crisis is unfolding under the leadership of Dr. Mahmud Raji, the Chief Medical Director (CMD), who is alleged to be using his office to intimidate these doctors—believed to have been targeted because of their opinions. This disturbing allegation has intensified outrage within the medical community, raising serious concerns about fairness, professionalism, and ethnic bias within the healthcare system.

In what is fast becoming a major flashpoint in Nigeria’s embattled healthcare sector, the Nigerian Medical Association (NMA) FCT Branch has issued a 14-day strike ultimatum to the management of National Hospital Abuja over the controversial and unexplained disengagement of three medical doctors who have served the hospital diligently for years.

In a strongly worded notice dated June 11, 2025, following its Ordinary General Meeting (OGM) held at the VIP Hall of the Federal Medical Centre Abuja, the NMA FCT leadership formally communicated its dissatisfaction with the National Hospital’s refusal to reinstate its disengaged members. The affected doctors, who completed their residency training in 2020, were appointed as locum consultants in March 2022 after working as post-Part II fellows. After three years of dedicated service, they were abruptly dismissed without any stated reason—unlike their contemporaries who remain in service. The hospital only stated that “their services were no longer needed” and advised them to reapply when vacancies arise.

The association described the move as selective victimisation and scapegoating, pointing out that 30 doctors were employed under similar terms, yet only three were let go. Multiple advocacy efforts—including visits from the NMA President, FCT Chairman, and a committee of senior, reputable medical professionals—have all been ignored by the hospital’s leadership.

The NMA expressed deep frustration that despite its peaceful engagement efforts, the hospital remained unmoved, even in the face of the ongoing “japa” wave—mass migration of medical professionals abroad—leaving Nigeria’s healthcare system dangerously understaffed.

“This disengagement worsens an already fragile system, adding to the mental and economic burdens of doctors, increasing anxiety and threatening family stability,” the NMA noted in its communiqué.

The association has now declared that if the doctors are not reinstated, members at National Hospital Abuja will embark on a total and indefinite strike from June 30, 2025, following a two-week warning strike from June 15–29. If after seven days of this action no resolution is achieved, the entire NMA FCT branch will join the strike in solidarity.

Investigations within the hospital revealed that the affected doctors had no records of disciplinary actions or professional misconduct. Their Heads of Department (HODs) had recommended them for continued service, and it was confirmed that they were already on the IPPIS scale, meaning they posed no additional financial burden to the hospital.

The outrage is further fueled by the irony that, while NMA is pushing for an increase in doctors’ retirement age to 70 due to acute personnel shortages, National Hospital is disengaging young, skilled doctors who chose to remain in Nigeria instead of seeking better opportunities abroad. “Are we saying NHA has enough specialists to let go of such committed professionals?” the association questioned.

Doctors familiar with the affected doctors shared personal testimonies: “I worked with Dr. Fernandez during the COVID-19 pandemic. We carried out countless caesarean sections when fear was palpable. Only a doctor with heart would do that. Is this how the system rewards bravery?”

Emotionally charged reactions have poured in from across the country. A senior doctor lamented: “It’s difficult to believe that doctors would ignore juicy offers abroad to make the sacrifice of practising in Nigeria, only to be treated like trash for speaking up on poor welfare. How do you keep a doctor as locum for 3 years, earning barely ₦400,000, and expect them to live a dignified life? This is the reward for years of service?”

He added that the refusal of the hospital to heed the advice of the NMA President and respected elders “is deeply worrisome” and raises concerns of possible hidden motives.

The broader concern is that this crisis could demoralize others in the system. “We are already overwhelmed, underpaid, and understaffed, yet our sacrifices are ignored,” the doctor continued. “Meanwhile, national honours are reserved for political loyalists, while real heroes are discarded.”

He appealed to the NMA and well-meaning members to establish a financial support plan for the affected doctors, who have now been unpaid for three months, pushing them to the brink emotionally and economically.

In his final remarks, he called for unity: “All hands must be on deck to preserve the Hippocratic brotherhood we swore to uphold. A brother should not snuff the life out of another. This is not the future we envisaged. We must fight to leave a better one for the next generation.”

As the clock ticks toward June 30, the healthcare sector in the FCT braces for what may become one of the most consequential strikes in recent years—one born not just from policy failure, but from a cry for justice, equity, and professional dignity.

The NMA is also using this opportunity to call on the Minister of Health, Dr. Muhammad Ali Pate, to urgently intervene before the situation escalates further. At a time when the country is grappling with critical challenges in the healthcare sector—and the President is actively working to reverse the “japa” trend and restore stability through the Renewed Hope Agenda—it would be deeply unfortunate for such avoidable crises to undermine those efforts. Supporting doctors who have chosen to remain in Nigeria is essential to rebuilding trust and encouraging others, both at home and abroad, to return and contribute to the nation’s healthcare revival.

Continue Reading

news

BREAKING: Tinubu honours Abiola, Kudirat, Soyinka, Onanuga others in State of the Nation address

Published

on

President Bola Ahmed Tinubu has conferred national honours on more than 80 Nigerians—both living and deceased—during his inaugural State of the Nation address in honour of this year’s Democracy Day.

The President, who reeled the names out with other messages while addressing a joint session of the National Assembly to mark 26 years of uninterrupted democratic rule in Nigeria on Thursday, also announced the granting of full pardon to the heroes of the Ogoni Struggle, identified as the Ogoni nine.

The president used the solemn occasion to commemorate key figures in the June 12 pro-democracy movement, notably Chief Moshood Kashimawo Olawale Abiola, his late wife Alhaja Kudirat Abiola, and environmental rights activist Ken Saro-Wiwa.

Alhaja Kudirat Abiola was posthumously awarded the Commander of the Federal Republic (CFR) for her role in resisting military rule, a struggle that ultimately led to her assassination. Tinubu described her as the “heroine of the June 12 struggle.”

Also honoured was the late Major General Shehu Musa Yar’Adua, who received the Grand Commander of the Federal Republic (GCFR), the highest national honour typically reserved for heads of state.

He was recognised for mobilising political resistance to military rule and advancing democratic reforms.

Other posthumous recipients included key figures in Nigeria’s pro-democracy movement: Professor Humphrey Nwosu (CON), who chaired the National Electoral Commission during the 1993 elections; Rear Admiral Ndubuisi Kanu (CON); Pa Alfred Rewane (CFR); Bagauda Kaltho (OON); Chima Ubani (OON); Dr. Beko Ransome-Kuti (CON); Chief Alao Aka-Bashorun (CON); and Chief Frank Kokori (CON), among others.

The list extended to civil rights advocates, journalists, politicians, and unionists who lost their lives in the pursuit of justice and democracy.

Honourees included Emma Ezeazu, Bamidele Aturu, Fredrick Fasehun, Professor Festus Iyayi, Dr. John Yima Sen, Alhaja Gambo Sawaba, Dr. Edwin Madunagu, Dr. Alex Ibru, Chief Bola Ige, Pa Reuben Fasoranti, Senator Ayo Fasanmi, Senator Polycarp Nwite, and Dr. Nurudeen Olowopopo.

In a move described as symbolic of national reconciliation, Tinubu posthumously recognised Ken Saro-Wiwa and his fellow environmental activists known as the Ogoni Nine, who were executed in 1995 under the regime of General Sani Abacha.

Saro-Wiwa was awarded the Commander of the Order of the Niger (CON), while Saturday Dobee, Nordu Eawo, Daniel Gbooko, Paul Levera, Felix Nuate, Baribor Bera, Barinem Kiobel, and John Kpuine were each awarded the Officer of the Order of the Niger (OON).

The President further announced that he would invoke his constitutional powers to grant a full state pardon to the Ogoni Nine and others, whose names will be released following consultations with the National Council of State.

Living icons of democratic activism and intellectual freedom were also celebrated. Nobel Laureate Professor Wole Soyinka was awarded the Grand Commander of the Order of the Niger (GCON), while renowned journalism scholar Professor Olatunji Dare received the Commander of the Order of the Niger (CON).

Related NewsProminent journalists and media pioneers were similarly honoured: Kunle Ajibade (OON), Nosa Igiebor (OON), Dapo Olorunyomi (OON), Bayo Onanuga (CON), Ayo Obe (OON), Dare Babarinsa (CON), and Seye Kehinde (OON).

Among the human rights lawyers and activists honoured were Femi Falana, SAN (CON), Barrister Felix Morka (CON), Barrister Ledum Mitee (CON), and Professor Shafideen Amuwo (CON).

Other notable recipients included Bishop Matthew Hassan Kukah (CON), Senator Shehu Sani (CON), Governor Uba Sani (CON), Senator Tokunbo Afikuyomi (CON), Honourable Labaran Maku (OON), Dr. Tunji Alausa (CON), Mr. Nick Dazang (OON), Hon. Abdul Oroh (OON), Barrister Luke Aghanenu (OON), Odia Ofeimun (CON), Hon. Olawale Osun (CON), Dr. Amos Akingba (CON), and Professor Segun Gbadegesin (CON).

Further commendations went to Professor Julius Ihonvbere, Professor Bayo Williams, Senator Abu Ibrahim, Professor Bolaji Akinyemi, Dr. Kayode Shonoiki, and Senator Ameh Ebute, who were also recognised with honours ranging from Commander to Grand Commander of the Federal Republic.

Veteran journalist and Vanguard Newspapers founder Uncle Sam Amuka Pemu was honoured with a Commander of the Order of the Niger (CON), a day before his 90th birthday.

President Tinubu also formally decorated the current presiding officers of the National Assembly, who had previously received national honours:

Senate President Godswill Obot Akpabio (GCON)

Speaker of the House of RepresentativesTajudeen Abbas (GCON)

Deputy Senate President Barau Jibrin (CFR)

Deputy Speaker Benjamin Kalu (CFR)

“The honours were not just symbolic, but a national acknowledgment of those who defended truth, fought repression, and expanded Nigeria’s democratic space”, Tinubu said.

He called on Nigerians, particularly political leaders, to uphold the values of the June 12 movement in their actions and policies.

“We must rededicate ourselves to the ideals of June 12: freedom, transparent and accountable government, social justice, active citizen participation, and a just society where no one is oppressed”, he said.

President Tinubu concluded his address with a call for national reflection and progress, urging the country to move beyond symbolic recognition and build a future anchored on the sacrifices of past heroes.

 

Continue Reading

Trending

Copyright © 2025 Newsthumb Magazine | All rights reserved