Depot owners get petrol supply despite N26.7bn debt – NNPC

The Nigerian National Petroleum Corporation (NNPC) has described as very unfortunate a statement credited to the Depot and Petroleum Products Marketers Association (DAPPMA) on the fuel supply situation, especially Premium Motor Spirit (petrol).

NNPC wishes to affirm that it has supplied appreciable volume to DAPPMA, Major Marketers Association of Nigeria (MOMAN) and Independent Petroleum Marketers Association of Nigeria (IPMAN) to rid the challenges currently being experienced in the supply and distribution of petroleum products in the country.

A statement from the Group General Manager, Group Public Affairs, NNPC, Ndu Ughamadu, said “NNPC regrets that DAPPMA which members had taken receipts of products from Petroleum Products Marketing Company (PPMC), subsidiary a of NNPC and owe the company to the tune of N26.7billion as at December 21, 2017, has the audacity to indict NNPC unjustifiably.”

The statement by DAPPMA that the current hiccups in the supply of products was due to the inability of the Direct Sale Direct Purchase (DSDP) partners of NNPC to deliver on their business obligations is unfounded and selfindicting as many of DAPPMA members patronize the same DSDP international counterparts as the corporation.

Despite the concession by the government giving access to DAPPMA to obtain FOREX at an official rate of N305 per dollar for PMS import, their members have not been able to do so, leaving NNPC as the sole supplier of PMS to the Nigerian market.

Inspite of the current challenges, Nigerians are reassured that there is no plan to increase PMS pump price above N145/litre and that NNPC will continue to maintain ex-depot price of N133.28/litre which guarantees the pump price not exceeding the N145 per litre capped by the government.

All stakeholders are implored to support the efforts of government to bring a speedy end to the current fuel distribution challenges being experienced in parts of the country as this is not the time to play the blame game.

Meanwhile, Depot and Petroleum Products Marketers Association (DAPPMA) on Wednesday denied owing the Nigerian National Petroleum Corporation (NNPC) N26.7 billion.

NNPC while reacting to allegation by the depots’ owners that they are yet to get fuel supply to the depots said it regrets that DAPPMA which members had taken receipts of products from Petroleum Products Marketing Company (PPMC), a subsidiary of NNPC , is owing the company to the tune of N26.7billion as at December 21, 2017.

But DAPPMA’s executive secretary, Olufemi Adewole, while speaking with daily Trust yesterday said the association didn’t owe NNPC.

He noted that DAPPMA members pay PPMC/NNPC in advance for petroleum products and fully paid up PMS orders that have neither been programmed nor loaded in excess of 500,000 metric tons, about 800 million litres as at today and enough to meet the nation’s needs for 19 days at a daily estimated consumption of 35,000,000 litres

“How can we owe NNPC when we pay in advance for our product? If I tell you we are paying upfront for 500,000 metric tons you should believe me but you should ask NNPC if it has the product or not . If it says because we are owing it N26.7 billion and because of that it won’t give us product, can they deduct the value of N27 billion from the total amount of PFI we will get and supply the rest”, he said