Motorists in parts of Lagos, Ogun, Abuja, Niger, Nasarawa, and other states faced mounting queues at petrol stations on Friday, signalling a surge in demand for Premium Motor Spirit (PMS), commonly known as petrol.
Despite the queues, oil marketers have assured the public of sufficient product availability to meet the demands throughout the Yuletide season.
The extended lines at filling stations operated by the Nigerian National Petroleum Company Limited (NNPCL) were reportedly due to lower pricing than other outlets, leading to increased patronage of NNPCL stations.
However, some oil marketers have expressed concerns over the competitive disadvantage posed by the lower prices at NNPCL stations, branding it detrimental and anti-competitive within the downstream oil sector.
Instances in Abuja highlighted this disparity, with major outlets remaining closed and causing massive rushes at the few stations dispensing PMS.
Observations by Punch at various locations, including the Central Business District and the Kubwa-Zuba Expressway, revealed long queues at NIPCO and NNPCL outlets. At the same time, several private stations either shut down or lacked products.
Ukadike Chinedu, the National Public Relations Officer of the Independent Petroleum Marketers Association of Nigeria, attributed the queues to heightened vehicular movements and panic buying, reassuring the public of ample supply to sustain the country through the festive season.
Another member from the Major Oil Marketers Association of Nigeria echoed this sentiment, confirming the product’s availability but raising concerns about the pricing dynamics that create a price war in the market, particularly at NNPCL stations.
Responding to inquiries, Olufemi Soneye, the Chief Corporate Communications Officer of NNPCL, attributed the fuel queues to a price war in the market.
He highlighted the price variance, with NNPC retail selling at a lower rate than other marketers, thereby drawing larger queues to NNPCL outlets.
Despite assurances of adequate supply, observations on Friday indicated a disproportionate volume of motorists at NNPCL stations compared to private stations.
