The President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gilly-Harry, has cautioned Nigerians to prepare for an impending increase in the price of Premium Motor Spirit (PMS), commonly known as petrol.
This warning comes even as the Dangote Refinery began petrol production on Monday, a development that some had hoped would lower the current retail price of the fuel.
Gilly-Harry explained that the current price of petrol, which hovers around ₦600 per litre, is unsustainable due to the Nigerian National Petroleum Company Limited’s (NNPCL) struggle to maintain a steady supply across the country.
“We’ve been raising alarms that the NNPC has been selling products at ₦590 per litre. But the question is, who is bearing the brunt? We can’t continue to play politics with everything; the reality needs to be addressed,” Gilly-Harry stated during an appearance on Channels Television’s Morning Brief on Tuesday.
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He advised Nigerians to brace themselves for fuel prices that will be dictated by market forces, noting that while fuel subsidies are a global practice, the current situation in Nigeria requires a reevaluation of the benefits of subsidizing PMS in light of other pressing challenges, such as healthcare.
The NNPCL recently acknowledged that it owes its petrol suppliers $6 billion, a debt that has contributed to the fuel shortages experienced across the country in recent weeks.
Despite these challenges, Gilly-Harry commended the NNPCL for its transparency but noted that the situation remains difficult for retail outlet owners. He also mentioned that PETROAN and other industry stakeholders are exploring innovative solutions to address the current fuel crisis.
“NNPCL is currently the only entity with the financial muscle to import PMS due to its access to dollars and a guaranteed market. However, this situation demands creativity and out-of-the-box thinking to ensure that Nigerians are adequately served,” he added