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Pump Price: Kwara IPMAN supports Nat’l body on 7 days ultimatum

By Mike Adeyemi

The Independent Petroleum Marketers Association of Nigeria (IPMAN), Kwara State chapter has joined its national body to issue a seven ultimatum to the Federal Government to revert to old pump price of N123 as against the new N143.

A member of caretaker committee of the association, Ojedokun Tajudeen disclosed this during a chat with our reporter in his office in Ilorin, the state capital.

According to him, “The new increase in the prices of Premium Motor Spirit (PMS) by the Federal Government will only inflict hardship on Nigerians.

“IPMAN as an association reject in totality the new increase in the pump price of petrol. Prices have been altered in the recent time, and we were made to believe by the Federal Government that it will be reviewed depending on the global market variables and that is understandable enough.

“It’s not that we did not expect this, but the margin is too high. I mean the difference of N20 is too much considering the peculiarity of fuel prices at the global market,” Ojedokun explained.

“Why we are rejecting this is that for over two decades now, whenever there is an upsurge in the prices of PMS, there is no corresponding increase in the margin of our price.

“Imagine some years ago, a 33,000 litres of a truck of PMS was sold at less than N500,000, but later there were intruders. Even making a profit of N10 per litres when I transacted business with less than N500,000 was okay then.

“But now, the capital has increased geometrically to over N5million. So the same margin still persists, and that is why we said this time around we will not take it.

“This is not a decision we took at Kwara level. It’s a directive from the head office.  The strike hasn’t commenced. We just issued a seven days ultimatum to the Federal Government. And if after the expiration of the ultimatum, Government refuse to revert, we will embark on an indefinite strike.

“Before now whenever there was going to be change in prices,  a committee would be set up, which  would comprise of IPMAN and other stakeholders in the sector.

“But in the recent time, nothing like that . We were not carried along in the decision that led to the recent price hike. We just woke up to read the news of the increment in the pump price on the pages of newspapers,” he lamented.

Ojedokun added that IPMAN has made up its mind to jettison buying  product from the NNPC.

“Basically we want to jettison buying from the Ngeria National Petroleum Corporation (NNPC). We will transact our business with other private deports instead of the NNPC.

“Our concern is the margin. The Federal Government should give us a corresponding margin. Increasing prices simply mean that marketers should go and sought for additional capital which means the banks will demand for additional interest from us.

“If you keep on increasing prices and our margin remains the same, there is no how we will not run loss. The PPRA doesn’t include our members in the decision of price fixing. Basically that has been the problem and until the hierarchies of IPMAN are carried along, the row will continue, “he stated.

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