Nigeria Faces Fuel Scarcity Threat as Petrol Marketers Warn of Irregular Supply and Price Hikes

Fuel scarcity is anticipated in Nigeria as petrol marketers, led by Chukwudi Akadik of the Independent Petroleum Marketers Association of Nigeria (IPMAN), caution about irregular fuel supply. Factors contributing to this looming crisis include rising petrol prices, significant bank debts, and challenges in importing fuel due to financial constraints.

The market is experiencing pressure as banks tighten lending, making it harder for fill stations to maintain adequate fuel stocks. The recent surge in global oil prices, reaching $70 per barrel, further exacerbates the situation.

Analysts predict that petrol prices may soar to as high as N1,000 per liter if crude oil prices continue to rise. Already, some fuel stations have increased prices, with Dangote Petroleum Refinery selling petrol at N699 to N799 per liter.

The Nigerian National Petroleum Corporation (NNPC) has capped its pump prices at N839 per liter in Abuja and N835 per liter in Lagos. These developments reflect the challenges facing the Nigerian fuel market amid economic pressures and global oil dynamics.