• Friday, December 08, 2023
businessday logo


IPMAN fears worse inflation as diesel price spikes

Fuel crisis: Business owners seek FG’s intervention

The Independent Petroleum Marketers Association of Nigeria (IPMAN) says Nigeria risks one of its worse inflations and hardships on the citizens if the spike in the prices of diesel and other refined petroleum products continues.

Chinedu Anyaso, IPMAN chairman, Enugu Depot, raised the concern an interview with journalists, weekend, in Awka, the Anambra State capital.

Diesel price in Awka and its environs has jumped from N400 per litre about two weeks ago to N650. The product is a major source of energy for articulated vehicles, industries and hotels, especially as power supply nationwide remains abysmal.

Anyaso said the increase being seen in the prices of most refined petroleum products is connected to the rise in the price of crude oil in the international market due to the conflict in Eastern Europe between Russia and Ukraine.

He said the instability in prices was not good for marketers and businesses.

Read also: Nigeria faces fresh spike in food prices on rising diesel cost

“We are worried about the rise in the price of diesel and other petroleum products, it is affecting our members because each time we go to the depot, there is an increase.

“It will certainly lead to the worse inflation in recent years because AGO is the major source of fuel for most transporters and manufacturing companies,” he said.

Anyaso said the Federal Government should address the country’s refining capacity by fixing the existing refineries or building new ones to protect citizens from the effect of the volatility of international crude prices.

He regretted that the downstream relied completely on importation while expressing fears that there could be supply problems if the crisis in Ukraine persisted.

He, however, assured that IPMAN would continue to ensure seamless distribution of available products in the Southeast at the prevailing market price.