N100bn debt: Supply disruption imminent as tanker drivers, Marketers issue FG 7-day ultimatum

By Seun Ibiyemi 

Petroleum marketers have issued a seven-day ultimatum to the Federal Government over the N100 billion debt owed to them, warning that a supply disruption is imminent if the issue is not resolved. 

The marketers, under the aegis of the Independent Petroleum Marketers Association of Nigeria (IPMAN) and other industry stakeholders, claim that the unpaid debts have severely affected their operations, making it difficult to import and distribute petroleum products.

They warn that if the government fails to act, fuel supply across the country will be disrupted.

In a communiqué issued on Monday in Abuja, the forum’s chairman, Alhaji Yahaya Alhassan, warned that if the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) fails to make the payment within the stipulated time, marketers will halt the loading and distribution of petroleum products nationwide.

He said, “If NMDPRA does not pay our money within seven working days we are going to withdraw our services all over the country and we are going to withdraw our tanks from loading and discharging. At the same time, we are going to lock all our stations across Nigeria.”

He said the forum is frustrated that a year after the demand for the payment, the NMDPRA has continued to ignore the demand.

According to him, the NMDPRA promised to pay at the stakeholders meeting convened on the eve of the last strike action declared by Nigerian Association of Road Transport Owners (NARTO) over the non-payment.

Alhassan said, “We are extremely frustrated that one year after our last demand as a forum, requesting the payment of over N100 Billion owed our members in bridging and NTA claims by the Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA), the management of the NMDPRA have deliberately ignored our request, even after making clear promises to pay us.

“One of those promises was made by the NMDPRA, at the stakeholders meeting convened on the eve of the last strike action declared by NARTO.

“At that stakeholders meeting, the Nigerian Association of Road Transport Owners (NARTO) listed this same IPMAN bridging claims as part of their demands before the strike action would be called off.”

He further said the NMDPRA promised to offset the bridging claims in 40 days even in the presence of the National Security Adviser, Mal. Nuhu Ribadu and the DG DSS, Mr. Adeola Ajayi. 

He noted, however, 40 days have become months with no hope of the payment. The nine Northern depots comprising of Jos depot, Gusau depot, Minna depot, Suleja depot, Kaduna Depot, Kano depot, Gombe depot, Yola Depot and Maiduguri depot have become completely grounded over this lingering debt.

He added, “For the avoidance of doubt, it is imperative to state again that this debt being owed us are monies belonging to marketers, and which were deducted from us at the point of payments for products, in order to settle our bridging allowances.

“We have also continued to record deaths of our members, closure of their businesses, retrenchment of staff, and the take-over of their business premises by the commercial banks, all arising from this refusal of the NMDPRA to pay us our monies.

“Another worrisome development is the NMDPRA’s imposition of several abnormal levies on our members.

“Chief amongst them is the imposition of a 5% commission accruable to them at the sale of any petrol station outlet in Nigeria. Tell me, when has the NMDPRA turned itself into real estate agents; collecting a commission on sales of Retail Petrol Outlets?  There is no gainsaying the truism that the downstream retail industry is an ever evolving one.

“And so, as IPMAN members, we go the extra mile to renovate our outlets occasionally, to meet with international best practices.

“However, the NMDPRA has also made this very difficult for us, as they have also subjected our members to paying bizarre levies whenever we deem it fit to renovate our petrol outlets.

“These are just a few of the many distressing levies they have forced on us; these are not only anti-developmental, they are also unconstitutional, and we are demanding their immediate suspension.

“As a forum of law-abiding Nigerians, we sincerely believe that we have given the NMDPRA enough time to pay us our monies in bulk and clear the bridging claims

“But in view of their constant refusal, we have therefore decided to liaise with our sister organisations; the PTD and NARTO in order to take collective action in due course.

“As members of IPMAN, it is important to state that we also own sizable numbers of petroleum tankers driven by the PTD, and we may be forced to withdraw our tankers from loading petroleum products in order to enforce the immediate payment of our bridging and NTA claims.

“We hereby call on the federal government of Nigeria headed by Pres. Bola Tinubu to fully intervene in these prolonged disputes between Depot Chairmen of the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Nigerian Midstream & Downstream Petroleum Regulatory Authority (NMDPRA).

“We will not hesitate to immediately take action in due course if our demands are not met immediately beginning from today Monday 24th February 2025.

“We call on our members nationwide to however remain resolute and law abiding, as we wait for our demands to be met and addressed by the NMDPRA.

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