Tension rises as Oil Marketers and Depot Owners Fight Over Alleged Fuel Diversion of 16.6 Billion Litres

Ibekimi Oriamaja Reports

The allegation that 16.6 billion liters of fuel were diverted to neighboring countries has sparked a feud between oil marketers and depot owners.

Fuel scarcity has been found to be exacerbated in part by marketers allegedly diverting products to neighboring countries.

According to a top official with the Depots and Petroleum Products Marketers Association of Nigeria (DPPMAN), approximately 46 million litres of petrol are diverted daily.

He went on to say that approximately 16.6 billion litres of petrol are allegedly diverted each year, despite Nigeria’s daily consumption of 60 million litres.
“We had a meeting with the PPMC some weeks ago, and part of the complaints was that the volume we load is too high, forcing them to reduce the volume they give to us. From their records, they said marketers loaded 106 million litres per day as of April.

“Nigeria consumes 60 million litres per day, where are the remaining litres of fuel going? They are taken outside the country. That’s a product Nigeria is paying heavily to subsidise, and marketers are busy taking it out and denying Nigerians full benefits of what they pay for,” he said.

Reacting, the Executive Secretary of the Major Oil Marketers Association of Nigeria (MOMAN), Clement Isong, said its members operate a fully integrated business model, adding that it would be impossible to smuggle products out of the country.

He said: “They know who they are accusing, and it’s definitely not our members. We buy products from the NNPC to our depots, and then distribute them to our stations. So, they can’t be accusing major oil marketers of diversion because we run a fully integrated business model.”

Also reacting, the National Operations Controller of the Independent Petroleum Marketers Association of Nigeria, IPMAN, Mike Osatuyi, denied the allegation.

Osatuyi denied the claim that IPMAN members were responsible for the smuggling of petroleum products to neighbouring countries.

“They should go and ask the Customs, police, NIA and others whether they see our members’ trucks carrying such products across the borders. Why are they accusing marketers of smuggling when we have those who are being paid to police our borders?” he said.