AN estimated 60 million Nigerians now own power generating sets for their electricity, while the same number of people spend a staggering N1.56 trillion ($13.35m ) to fuel them annually, and despite the cut in the price of Premium Motor Spirit (petrol) announced last week, marketers still sell at N70 and above in many parts of the country.
Chairman of Manufacturers Association of Nigeria (MAN), Imo, Abia Branch, Dr. Frank S.U. Jacobs, made this disclosure, in a chat with Vanguard on the effects of poor public power supply on the industrial growth of the two states (Imo and Abia).
“An estimated 60 million residents use generators of varying sizes. In the last one year, average residential expenditure in fuelling power generators climbed to an all-time high of N1.56 trillion, about $13.35 billion per annum”, Dr. Jacobs lamented.
He was of the view that, “similar level of expenditure on private power generation has characterised the affairs of industrial and commercial power consumers”, adding that early last year, independent investigations recorded about half the figures outlined above.
He recalled with grief that the Senior Private Sector Specialist at the World Bank, Mr. Steven Dimitryer, noted that “Nigeria experienced the worst electricity crisis among its contemporaries, which underscores the nightmarish generation, distribution and supply in the country.”
Dr. Jacobs insisted that “electricity crisis is the most important infrastructure bottleneck in Nigeria today”, adding that all types of firms in Nigeria experience power outages and 85 percent of them own generators as alternative source of power generation.
“The present condition of manufacturers in this part of Nigeria does not leave much to be cheerful. The efforts of government have continued to totter. We are speedily losing hope”, Jacobs lamented.
Petrol still selling at N70 and above
Three days after a cut in the pump price of petrol from N70 per litre to N65 was announced, most filling stations nationwide still sell the product at the old pump price of N70, with many others selling above that, in some places as high as N80 and N100 per litre. With only the NNPC mega stations nationwide complying with the new directive, the Department of Petroleum Resources (DPR) has threatened to wield the big stick against defaulters.
In Abuja, the federal capital, petrol still sells for between N69.50 and N70 per litre, with some motorists seen arguing with petrol attendants in parts of the city yesterday over the failure to adhere to the new price reduction.
In Kaduna, petrol still sells for N70 per litre. Although the pump at many filling stations display the price of N65 per litre, they actually sell at N70 per litre. The fuel stations which sold at N70 as at 6.30 pm yesterday included those in Barnawa, and on Kachia road, while stations belonging oil majors like like Texaco, Mobil and AP were not dispensing fuel as at the time of this report.
However, most of the independent marketers told Vanguard that they will adjust their pump prices to N65 when they exhaust the old stock they purchased before the new price regime.
In Calabar, petrol was sold at between N70 and N90 per litre. An independent marketer along Ettagbor Road sold at N90, while an Oando station on Calabar Road sold at N70. Along the same Calabar Road, a Total filling station also sold at N70, but an independent marketer along the same road was selling at N80 per litre.
In Jos, only the NNPC Mega Station has effected the new N65 per litre price of petrol while other filling stations still maintained the N70 per litre price, last weekend.
As a result, there was a long queue of vehicles at the mega station yesterday with most motorists preferring to spend hours to get petrol at the new price than buy at N70.
Petrol dealers interviewed told Vanguard that they were yet to receive an official directive from their head offices on the new price regime while some claimed they were awaiting technicians from their area offices to adjust their pumps to the new price.
In Port Harcourt, just like Jos, only the mega station has complied with the new price regime as at yesterday afternoon. Although the state government, through its ministry of transport, warned operators of filling stations to comply or face government’s wrath, some independent marketers still sell at N80 per litre, N10 above the old price of N70 per litre.
Many independent marketers complained that they would sell at a loss if the new price is effected, saying they would exhaust the current stock before selling at the new rate. There were also those who said they were waiting for their engineers to come and adjust the metres of their pumps.
In Kano, major filling stations still sell petrol at the old price of N70 per litre.
The development has raised concern among motorists who have since resigned to fate in view of the inaction of relevant authorities to ensure compliance.
Chairman, Independent Marketers Association of Nigeria IPMAN in the state, Alhaji Bashir Bello told Vanguard that they requested for seven days to exhaust the old stock before they could sell at the new price.
Bello who pledged the commitment of IPMAN to ensure the success of the new price regime therefore called on transporters to reduce transport fare in line with the new rate.
In Ebonyi state, precisely in Abakaliki, petrol is sold at different prices per litre.
While the NNPC mega station along Enugu-Abakaliki road sells at N65, but most of the time it is out of stock.
The Oando filling station along Ogoja road sells at N75 per litre, while an independent marketer along Afikpo road in Abakaliki, sold at N80 per litre at the weekend.
In Umuahia, the Abia state capital and Aba, the commercial city of the state, petroleum dealers are yet to adjust their pump price to the N65 announced by the Federal Government. Only NNPC’s mega station located on the outskirt of Umuahia, on the Enugu-Port Harcourt Express Way sells at N65.
At both Aba and Umuahia, marketers still sell petrol at between N70 for the major marketers like Oando, Mobil, AP and Conoil, while independent marketers sell at between N75 and N85.
Some of the attendants who spoke to Vanguard said they still sell at their old price because they have not received instructions by their superiors to adjust to the new price of N65.
In Benin City, the product was still being sold for N70 per litre. A petrol attendant at the Total filling station located along Sapele road Benin City, told Vanguard that “by tomorrow (Monday) we are expecting the engineers that will come and adjust our metres. In fact, that is the major reason why we have not started selling at N65. And after that everything will be normal”.
We’ll deal with defaulters, says DPR
However, DPR spokesperson, Belema Osibudu told Vanguard on telephone that the department would from today take action against marketers that failed to implement the new price, saying that the department has already commenced the enforcement.
According to her, “we have been checking them. Our people have been going round. We have already commenced the enforcement. I am sure by Monday (today) they will all change to N65, at least in Lagos and Abuja. We will deal strongly with those who have not changed.”
Petroleum Products Pricing and Regulatory Agency (PPPPRA) had pushed the responsibility of enforcement of the new price to the DPR which it said had the responsibility to do so. An official of the agency who did not want to be quoted told Vanguard in Abuja that the implementation ought to be automatic.