Amidst a looming threat of fuel scarcity in Nigeria, members of the Major Energies Marketers of Nigeria have deemed negotiations with the National Association of Transport Owners (NARTO) illegal and impractical. The disagreement follows NARTO’s decision to halt the lifting of fuel due to the high cost of operations, prompting tanker drivers to park their trucks.
The NARTO President, Yusuf Othman, had communicated the challenges faced by truck drivers, citing unsuccessful attempts to negotiate favorable freight rates with major marketers. In response, the Major Energies Marketers of Nigeria (MEMAN) argued that they lack the legal authority to negotiate fuel transportation costs with NARTO. MEMAN Executive Secretary Clement Isong emphasized that the law does not permit such negotiations and outlined that MEMAN members have independently negotiated with their chosen transporters based on competitive rates and business models.
Isong explained that the Petroleum Industry Act encourages competition among marketers, allowing flexibility in negotiating transportation costs depending on individual business models and capacities. He underscored that MEMAN’s compliance with the law involves members negotiating independently with their transporters, fostering competition to bring down prices.
Addressing concerns about the potential impact of NARTO’s decision on major marketers, Isong stated that, under normal circumstances, it should not affect them unless road blockades or other unforeseen circumstances come into play.
However, the Vice President of the Independent Marketers Association of Nigeria, Hammed Fashola, expressed a contrasting view, asserting that the industrial action would inevitably affect all marketers and could lead to fuel scarcity. Fashola highlighted the integral role NARTO members play in lifting products for both major and independent marketers, emphasizing the interconnected nature of the industry.
Despite assurances from some major marketers that they would not be significantly affected, concerns are growing about the potential impact on fuel supply. Queues have already been observed at filling stations in Abuja, Kaduna, Ogun, and other locations. The situation remains fluid, with uncertainties about the resolution of concerns raised by petroleum products’ transporters and the potential ramifications on fuel availability in the coming days.
