Kunle Kalejaye 21 January 2015, Sweetcrude, Lagos – The Major Oil Marketers Association of Nigeria and Depot and Petroleum Products Marketers Association say the current profit margin on petrol accruable to marketers and dealers was not sufficient, and therefore, is unacceptable to them.
Both associations said foreign exchange differentials and accumulated interests from banks added up to N95 billion while N155 billion was the real subsidy arrears owed marketers.
Speaking to journalists in Lagos, the Executive Secretary, MOMAN, Mr. Femi Olawore, who spoke on behalf of both association, said the news of the N87 reviewed pump-price of petrol was surprising to operators, as no details were given by the Federal Government before and after the reversal took effect.
He said current oil dealers and marketers’ margin of N4.60 per litre was not adequate, and that they remain committed to seeking an upwards review of the margin.
Olawore said for the past two years marketers had been requesting a review of the margin from government, which was last reviewed in July 2007.
Asked what was the position of government as regards the margin review, Olawore said, “The Minister of Petroleum Resources has directed that a committee be set up to look into current margins.”
He added, “It is the right of the right of the Minister of Petroleum Resources to announce a decrease or increase in pump price of petrol according to the Petroleum Act. We don’t object to the N87 price, though it came to us as a surprise. So we had to meet with the government yesterday (Monday). We had a meeting with the Department of Petroleum Resources and Petroleum Products Pricing Regulatory Agency. We do not object to the N87 and we will comply.
“Good a thing that the N10 decrease is on the ex-depot price. If it was from our own margin, we won’t be able to comply.”