Business

Petrol Scarcity Hits Harder As Filing Stations Run Out Of Stock In Lagos

By Victor Ezeja, Bisina Somto, PBA Journalism Mentee, Izuchukwu Okosi, Ifeoluwa Mokelu

Fuel scarcity which started on Monday morning with long queues at filling stations in different parts of Lagos seems to be worsening as many outlets have run out of stock, Prime Business Africa reports.

This has created an atmosphere of anxiety with many commuters stranded at bus stops and motorists increasing their fares to different destinations.

Many residents have engaged in panic-buying of fuel to stock for future use. There are diverse views on the cause of scarcity. While some observers say it is artificial scarcity caused by the panic of residents who trooped to filling stations with jerry cans to buy petrol in large quantities and store, others say it is as a result of insufficient supply from petroleum depots.

Prime Business Africa (PBA) correspondents visited some petrol stations in different parts of the state to observe the situation.

It was observed that some have the products while others don’t. Due to the surge of people to petrol stations, some outlets that have the product regulate the number of hours they attend to customers. Prime Business Africa gathered that some only sell at night.

PBA observed that only two out of the five filling stations in Shasha, Orisunbare axis under Alimosho LGA were open for business.

A pump attendant at Oando filling station in the area, who identified herself as Abibat, in a chat with PBA, said they ran out of stock on Monday, October 24, 2022, when a large number of customers besieged the station to buy in large quantity when they heard rumor of looming scarcity.

“The last time we sold fuel was on Monday; that was also the last time we received fuel, but our Oga told us that he is expecting fuel today,” Abibat stated.

Another Pump attendant who identified himself as Chairman, an employee of a Conoil filling station, said, that if it was under normal supply, there would have been enough fuel to distribute for a while if people did not engage in panic-buying. “Lagos had fuel until Monday, but because of the rumors that other states are experiencing fuel scarcity due to flooding, Lagosians started panic-buying. This drastically reduced the quantity available for distribution. It would have been enough for everybody if people bought the regular quantity of fuel they needed,” said the attendant.

He added, “We have fuel, but we are trying to control the crowd, so we are planning to open by 12:00 pm, and close again by 3:00 pm; then open again for one hour in the evening.”

He said the measure is both to control the crowd of buyers and ration the product.

On rationing the petroleum product, Sunday, an employee of Oil VSC Filling station, said, “We are not opening during the day until everything comes back to normal, but if you come around 8 pm, you will see fuel and buy.

 

Some petrol stations not selling around Shasha, Orisunbare axis in Alimosho LGA


As at 10 am, PBA observed that most filing stations along Oshodi-Apapa Expressway were closed. At Sherfex filling station, Ilasamaja, there were long queues of both vehicles and people with jerry cans waiting for them to start dispensing. An attendant at the station said they have fuel but got instruction from the owner not to sell at the moment.



He said, “We have fuel, and will start selling once the owner tells us to start selling.” When asked how much they are selling, he said they are selling at the normal price of N175 per litre.

At the IBWAS Oil & Gas along Mushin road, Isolo, there was also queues at the different dispensing points, though not so long. They, however, sell at N190 per litre.

Some observers said this is also a period when those who sell in kegs called black marketers, do brisk businesses, usually selling at higher prices to helpless customers. Checks by PBA revealed that they do not come out during the day but at night, as area boys known as Agbero, often chase them away. It was learned that they sell between N210 and N300 per litre.

Our correspondent reports that in Igere, Ogun State (about 40 minutes drive to Agbara), there is no queue at filling stations yet, as witnessed in many parts of Lagos, but people are hoping that there will be a significant decrease in the pump price of petrol.

A couple of respondents told Prime Business Africa that they are hoping that the incoming government will be able to tackle the issue of fuel scarcity in order to make it available and make the price affordable for ordinary citizens.

“I hear the recent flooding situation might even affect the price of cooking gas. Nothing seems to be working in this country. They must not allow fuel to be scarce on top of that,” Aniefon Sunday Ibok, a school teacher and businesswoman told PBA.

READ ALSO: Petrol Scarcity: Lagos Residents Worry As Queues Return

Commenting on the fuel scarcity, the spokesperson of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Mr. Chinedu Ukadike on Monday, said the current scarcity is not linked to flooding. According to him, it is attributed to the late arrival of vessels carrying petroleum products to depots, a situation that has led to a substantial drop in the quantity of petrol available for distribution.

On the possible implication caused by the scarcity, Lagos State commercial drivers have threatened a seven-day strike over multiple extortions by park and garage management. Mr Adekunle, a commercial bus driver (Danfo), said “We buy fuel now for N190 per liter. If we increase the money, people will say they’ll enter BRT, but these Agberos are still collecting N100 per trip. It is too much, and we may go on strike.”

This is coming four days after Lagos drivers, under the aegis of the Joint Drivers Welfare Association of Nigeria (JDWAN), threatened a boycott of roads from October 31, 2022, over alleged extortion by motor parks and garages management.

In a statement on Friday, JDWAN had called for seven days of mass protest and total boycott, seeking an end to what it described as excessive extortion and harassment of drivers at various bus stops, garages, and parks in Lagos, and asked the government to intervene.

They listed the points of alleged extortions to include: Badagry, Mile 2, Seme, Ogijo, Ikorodu, Ikeja, Agric Bus Stop and many other parts of the state, saying they paid as high as N5,000 and N7,100 at some places.

Prime Business Africa

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