Oil marketers have increased the pump price of petrol in northern Nigeria, citing the high cost of diesel used to transport the product from the south.
The Independent Petroleum Marketers Association of Nigeria confirmed the price hike to The PUNCH on Sunday and attributed it to the high cost of diesel used by trucks transporting petrol from the South to the North.
IPMAN spokesman Chief Ukadike Chinedu explained that transporting petrol to the North is expensive because of the long distances involved.
He also cited the high cost of foreign exchange and diesel as factors contributing to the price hike.
“You know that because we are importing PMS, the products come in through the coastal areas. So trucks travel several kilometres to come and get products from these coastal areas and distribute them to the far North and other distant regions.
“We have problems associated with logistics. The forex rate and diesel price are also key issues. The price of diesel is about N1,200/litre. We use diesel to move the trucks that convey products to filling stations.
“We also have bad roads, as most of these trucks spend close to one week on roads while trying to move products to retail outlets. All these things are expenses and at the end of the day it will definitely add to the pump price.”
According to a report by The PUNCH, the depot price of petrol at private tank farms has increased to between N610/litre and N615/litre, forcing independent marketers to raise their price at filling stations to between N630/litre and N680/litre, depending on the location of purchase.
The high cost of transportation is also having a major impact on the price of petrol in the north. In Niger State, nearly all the fuel stations have increased their pump price to N650/litre.
In Benue State, the price of petrol is between N655 and N660 per litre. In Plateau State, the price has increased to N670 per litre.
In Sokoto State, only the NNPC filling stations sell petrol for between N615 and N620 per litre. Other major marketers sell for between N640 and N650 per litre, while independent marketers sell for between N680 and N690 per litre.
In Kano State, the price of petrol at filling stations owned by IPMAN is between N660 and N670 per litre, up from the former price of N640 and N650.
The high cost of petrol is having a major impact on the price of foodstuffs and other goods and services in the north. Many car owners have parked their vehicles as they cannot afford to fuel them.
