Petrol marketers deny opposing price reduction

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has denied allegations that it opposed the recent reduction in Premium Motor Spirit (petrol) prices by Dangote Refinery and the Nigerian National Petroleum Corporation Limited (NNPCL).

Former presidential aide Reno Omokri, claimed that instead of Nigerians protesting high fuel prices, oil marketers were instead resisting the price cut.

In a post on his verified X handle, Omokri alleged that IPMAN was protesting against the Federal Government due to the affordability of Dangote and NNPCL fuel.

He wrote, “For the first time in Nigeria’s history, IPMAN, the Independent Petroleum Marketers of Nigeria, are protesting against the Nigerian government because NNPCL and Dangote Refinery’s fuel is so cheap that their imported fuel is causing them to lose money.

“Instead of Nigerians protesting high prices, marketers are now railing against low costs. From N1050 to N815. Tinubu did it! In just one month, fuel prices have gone down three times.”

However, IPMAN’s National Vice President, Hammed Fashola, dismissed Omokri’s claims, insisting that the association has always supported full deregulation and lower fuel costs, as they benefit both consumers and marketers.

Read also: IPMAN, Dangote reach agreement to lift petrol directly

“The said publication is not from IPMAN, and it cannot be from IPMAN because we have always advocated for total deregulation of the downstream sector. We understand the concept of deregulation, along with its benefits and consequences.

“We (IPMAN) are never against the reduction of petroleum product prices in the country, as it brings relief to citizens. Moreover, as marketers, lower prices mean reduced working capital for us as well.”

Fashola further clarified that fuel prices in Nigeria are primarily influenced by the exchange rate and crude oil prices, factors beyond the control of refiners or importers, especially in a fully deregulated market.

He noted, “A fixed timeframe or prior notice for price changes, as previously suggested, is impractical in this era of total deregulation due to competition among market players—everyone wants a share of the market.

“IPMAN, as a body, fully supports the government, NNPCL, and Dangote in this phase of total deregulation and subsidy removal. We stand by the federal government’s reform agenda under President Asiwaju Bola Ahmed Tinubu.”

The statement from IPMAN emphasises the association’s commitment to supporting efforts aimed at ensuring market stability and providing relief to Nigerian consumers.