The Federal government seems to have bowed to pressure from independent oil markers who had threatened to block importation of petroleum products.
The marketers had said they the Federal government was yet to pay their outstanding subsidy claims.
As such, they vowed to stop all importation of oil products.
Here is the implication of their plan: Petrol, Kerosene, and others will become scarce across the nation.
With this, demand for the products will increase resulting in a high price for available ones.
The price of commodities will tumble out of control weakening the naira further.
If not curbed, this will lead to the naira exchanging at a higher rate to other foreign currencies.
Foreseeing the impending danger, the presidency buckled. They’re heading back straight to subsidy!
In fact, the FG has already ordered the ordered the payment of the N150 billion Petroleum Equalization Fund owed petroleum marketers.
The order followed a meeting between the Chief of Staff to the President, Mr. Abba Kyari, and the stakeholders in the petroleum sector.
The national chairman of the Independent Petroleum Marketers Association of Nigeria, IPMAN, Zarma Mustapha, reacted to the news.
“The meeting had nothing to do with the increase in petroleum pump prices.
“We looked into the issue of diesel and kerosene and as a matter of fact the government is tackling the issues.
“The other issue is the franchise, which is the petroleum equalization fund which marketers are owed.
“The amount is up to the tune of about N150 billion. The issue has been resolved.
“The government has directed that our money must be paid and I am assuring you that with the payment of this money, there is no cause for alarm.
“We are assuring our marketers that they should go back to their normal business as their outstanding will be paid in some few days.”