The Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) have attributed the recent increase in petrol prices to the escalating conflict between the United States and Iran, as well as higher prices charged by suppliers.
National presidents of the two associations, Abubakar Maigandi (IPMAN) and Billy Gillis-Harry (PETROAN), disclosed this in separate reactions.
Pump prices of petrol have risen to between ₦1,310 and ₦1,345 per litre from the previous range of ₦1,210 to ₦1,275 per litre in less than two weeks.
Maigandi identified the ongoing US-Iran tensions as the major driver of the latest hike, noting that global oil price fluctuations caused by the conflict often push petrol prices in Nigeria up or down.
“The fuel will sometimes go up and down due to the conflict in Iran and the United States,” he said.
Gillis-Harry, on his part, placed the blame squarely on petroleum products suppliers. He explained that retail prices are directly tied to the cost at which marketers purchase the products.
“The reality is that once we buy petroleum products at a certain price from the source of supply, it will affect the prices at the retail outlets. So, regardless of the crude oil price coming down, if we are buying, we will not buy products at ₦1,500 and sell at ₦1,499 per litre.
“If we buy 1,500 per litre, we must still try to make a minimal markup to be able to pay for the cost of finance, cost of services, cost of logistics, cost of overhead and all of that. So, it is not the doing of the retail outlets. Petroleum members are only going to be selling exactly how they buy.“It is not from petroleum retailers. The issue is from the supplier,” he added.
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