Oil marketers have expressed displeasure over the negative impacts of the unstable pricing index for the nation’s Premium Motor Spirit otherwise known as Petrol, saying the flip+flop is now threatening their businesses.
The President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gilly-Harris, raised the concerns.
According to Gilly-Harris, fluctuating petrol prices in the last few weeks in the country are constituting potential threats to the survival of businesses of its members.
Gilly-Harris’ concern comes on the heels of ongoing price war between the Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL).
Following the announcement of a price cut by the Dangote Refinery by N65 at the ex-depot price, the retail price at filling stations affiliated with Dangote dropped from N925-N930 to N860.
No sooner after, the NNPCL also reduced its price at its retail stations, further deepening rivalry between the two dominant players.
Gilly-Harris, highlighted his members’ challenges below:
“In our consistently weekly reviews, we discovered that the size of loss, and the possibility of most of us getting out of business is glaring at us in the face. Because in today’s Nigeria, we have collaborative efforts being made between all the stakeholders, and we reach out to one another to know how the businesses are doing.
“As much as we are making efforts to make sure that Nigerians have product affordability from our end as the last mile in the industry, we also want to stay afloat and liquid.
“The challenge we have is that we buy products at a price today, and before the close of business, the price has reduced. We thought there should be a mechanism by which prices are analyzed and ensure it doesn’t impact negatively on the industry,” he added.
Meanwhile he prices war has continued to drive competition, thereby making the essential commodity affordable, and helping to reduce the hitherto skyrocketing market inflation among others.