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IPMAN partners others to ease scarcity of kerosene, diesel

By Oyime Alabi
27 July 2016   |   1:23 am
Independent Petroleum Marketers Association of Nigeria (IPMAN) is partnering with some major stakeholders in the oil industry to import kerosene and diesel...


National President, Chinedu Okoronkwo, disclosed that the association had been given licence to import kerosene and diesel into the country, adding that IPMAN had also concluded arrangement with its foreign partners to finance the importation.

He said that having given IPMAN licence to import kerosene and diesel, it would ease the suffering of Nigerians, adding that in a couple of weeks now the products will be available at affordable prices.

He stressed the need for both government and marketers to ensure availability of the products to the benefit of the consumers.

According to him, this would go a long way to improving on the nation’s economy and bringing about development in the oil and gas sector.

“We, IPMAN have entered into partnership with some multi-nationals to assist the Federal Government to make petroleum products available in the country.
“This, we hopes to create value in the industry by ensuring that there is enough kerosene and diesel in all our members’ station at affordable prices,’’ he said.

Okoronkwo said that the association has planned to commence importation of petroleum products to boost the activities of the downstream sector.

He said that owing to the liberalisation of the sale of products, the association has planned to import its own products for onward distribution to its members.

“As at today because of the liberalisation exercise in the petroleum industry, we are working towards importing our own products. In short, we are on course to importing our products into the country so that we can distribute to our members.

“He said that IPMAN has already signed some agreements with some of its foreign partners for product importation, while it plans to establish refinery in Nigeria to ensure that there is adequate supply of petroleum products customers still on course.

The IPMAN boss said that the Federal Government has restored association’s right to petroleum products in all the depots across the country.

He explained that this would boost fuel supply across the country, especially as the association accounts for a large percentage of fuel retail outlets in the country.

According to him, with this action of government, we can take charge in all the petroleum products distribution in all the 21 depots in Nigeria.

Okoronkwo appealed to IPMAN members to support the Nigerian National Petroleum Corporation (NNPC) in protecting the pipelines from the nefarious activities of vandals adding that the activities of vandals has caused the corporation billion of naira.

Also, the Executive Secretary, Depot and Petroleum Marketers Association (DAPPMA), Olufemi Adewole, blamed scarcity of foreign exchange for the hike in pump price of petroleum products.

According to him, the reasons for the hike in price could be attributed to scarcity of foreign exchange. Marketers find it extremely difficult to import kerosene due to huge gap between the official exchange rate and the parallel market rates.

“For instance, a dollar is selling at N285 at the floating market while it is selling at N368 to a dollar at parallel market.

“The perfect alternative the country has are the refineries. But our inability to refine kerosene locally also contributes to the hike.

“Not that marketers are not importing but it is not in sufficient quantity. Marketers that bring in products will have to recoup their investment,” he said.