• Compliance Hits 95%, Says PPPRA
• Motorists Unimpressed By 50 Kobo Reduction

THE two pricing mechanisms introduced by the Petroleum Products Pricing Regulatory Agency (PPPRA), which saw the reduction of the price of petrol, took off yesterday without any major furore in Abuja.

But in other parts of the country, it was a mixed bag, with most major marketers complying with the directive, while most independent marketers flouted the order.

In some parts of the country, nothing has changed, with the product selling for as high as N140 per litre.

Although most filling stations in the Federal Capital Territory (FCT) had complied with the directive as early as 7am when The Guardian visited some of them, there was no sign of any effect of the 50 kobo reduction among most motorists.

It was gathered that one of the petrol marketing companies had directed their stations to ensure compliance as early as yesterday morning to escape sanctions from the PPPRA and the Department for Petroleum Resources (DPR).

Some of the filling stations caught not complying with the reduction directive cited non-availability of their engineers for the inability to adjust their dispensing metres to reflect the new price.

But PPPRA’s Head of Corporate Service, Lanre Oladele, said such excuse was not tenable to the agency. “It is laughable when marketers come up with these kinds of excuses. As we have seen in previous years when prices were moved up, marketers never had any problem with adjusting their metres to the new price, but now that price is moved downwards, they suddenly have issues with their engineers,” he stated.

Oladele noted that hoarding was not recorded during the monitoring exercise yesterday, saying most filling stations which did not sell petrol did not actually have the product in stock.

He added: “We are happy that most of the filling stations that claimed they did not have products did not indeed have it. We conducted dip-in in all the stations that claimed they did not have product and we found that they did not have truly. There was no single act of hoarding of product in all the stations we visited.”

He warned that the agency would deal ruthlessly with marketers engaging in any act of unnecessary profiteering and charged motorist to resist any rip-off.

On his part, the leader of the monitoring team, Victor Shidok, an Assistant General Manager and Head of Operations, warned marketers against any form of sharp practice, noting that the agency would sanction any marketer caught cheating.

He said any fuel station found ‎to be selling above the new regulated pump price of N86.50 for major oil marketers and N86 for Nigeria National Petroleum Corporation (NNPC) retail stations, respectively, would face various sanctions, including withdrawal of licenses and all the benefits of participation in Petroleum Support Fund Scheme.

Shidok hinted that the monitoring exercise was simultaneously going on across the country, in conjunction with the DPR. He said: “There is 100 per cent compliance so far, though we are yet to reach the outskirts where there may be challenges with regard to total compliance.

“This whole exercise is to ensure that the marketers comply with the new pump price. You know, usually when we have a change in pump price, we go round to monitor compliance.

“We have been to 10 filling stations and we are still going round to make sure that we cover as much as possible. And good enough, ‎all the stations we have visited, both major NNPC Mega stations, there has been 100 per cent compliance.

“But we shall go up to the outskirts, because that is where our concerns is. The challenge may likely be in the outskirts. All those we have visited say they have received directive from their head offices. We are in touch with the leaderships of oil marketers in the country.

“This is a nationwide exercise; all our staff are in the field across the country and we are doing this at the depot level in conjunction with the DPR, which is also out to do a similar exercise because whenever we have a change in the downstream, all the regulatory agencies come out to ensure there is total compliance. Any deviant may lose the benefits of participating in PSFS because we may withdraw such people from participating.

“And since we are working in conjunction with DPR, licence may likely be withdrawn, apart from other measures we are likely going to take to ensure that Nigerians are not shortchanged.”

But motorists in Abuja are unimpressed with the reduction, as most of the filling stations were relatively busy, with the NNPC retail stations not recording higher patronage than the other service stations.

Jibrin Mohammed, told The Guardian: “The true reflection of the whole thing will be clear when the price of gasoline in the international market begins to go up. What will be the fate of the Nigerian poor at that time? I think that is what is crucial and not now. Most Nigerians do not know what is happening because the reduction is not much.”

In Lagos, most filling stations were yet to adjust their metres, as some attendants were still awaiting directives from their managements. The Mobil filling station along Airport Road was yet to adjust its metres and was selling at N87. One of the attendants said that there was not much difference between the old and the new rate, but they are awaiting an order to adjust their metres.

But Conoil adjacent had adjusted their metres to the new price regime. One of the customers who had just bought from the station said he came all the way from Satellite Town to buy fuel because most of the filling stations in his area were not selling fuel to customers, even though they had the product, with some selling at N120 per litre.

“That is why I want the government to do something about it. Most of the filling stations along Old Ojo road have fuel, but they are not selling to their customers. I don’t know why,” he said.

Most stations on Apapa-Oshodi Expressway that had fuel were selling. Total by Second Rainbow junction sold at N87, but one of the attendants said they were going to change to the new price regime by Monday.

A motorist said he had no problem buying at N87, adding: “The most important thing is to get the fuel to buy. I have been buying at N87.”

NNPC station not far away was still selling at N87. Conoil at Cele bus stop was selling at N85.5k, but those buying in jerricans had to pay N100. PM Petroleum Managers nearby sold at N87.

From Yaba to Lawanson to Iyana-Itire, none of the stations sold for less than N87, while a few sold way above that.

MRS at Lawanson sold at N87, Oando at Yaba and Lawanson claimed they did not have PMS and were not dispensing, while Total at Lawanson sold fuel at N87.

The attendants feigned ignorance of the new price and were selling as directed.

Wheel Oil at Iyana-Itire had N87 boldly displayed on its pumps, but were selling at N100 to buyers. When confronted about the official price, the attendants refused to say anything other than that was the price they were asked to sell.

Most other filling stations did not open, claiming they had no fuel.

Conoil along Agege Motor Road in Ikeja and along Airport Road sold at N86.50. Although the gate of Forte within the local airport was closed, the pump price on its metres reflected the new price and it was gathered that it had been selling at that rate since early in the morning.

Tee-Jay station at Ilepo bus-stop in Idimu had suddenly reduced its price from the usual N100 to N87 per litre, an indication that most filling stations that had hoarded the PMS are now been forced to sell at the old official price.

NIPCO and NNPC in Idimu; First royal, Onoke and Energy and NNPC, all in Egbeda, as well as Ascon Oil along Dopemu-Ikeja road were closed to customers.

The PPPRA would review the existing template at the end of March and then decide a new set of prices, considering the price of gasoline in the international market.

By implication, Nigerians may witness four different figures within the year if the prices are relatively stable and may witness more price instability if the price becomes volatile.