The Independent Petroleum Marketers Association of Nigeria (IPMAN) issued a seven-day ultimatum to the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
Specifically, IPMAN demands that NMDPRA settle outstanding bridging claims totaling N200 billion.
If NMDPRA fails to meet this critical demand, the association warns of a nationwide withdrawal of services.
On Monday, Abdul Ibrahim, the Gombe depot chairman of IPMAN, addressed journalists to express frustration over this ongoing situation.
He emphasized that the NMDPRA’s continued delay in resolving the matter has created severe financial distress for petroleum marketers.
Consequently, several businesses have closed, staff layoffs occurred, and some members tragically lost their lives due to this crisis.
Unsettled Bridging Claims
Bridging claims represent the costs marketers incur when transporting petroleum products from depots to designated zones nationwide.
Consequently, these expenses help maintain uniform pump prices across the country.
However, IPMAN revealed that the NMDPRA has not reimbursed these funds, which were deducted at the payment point for products.
Previously, the association raised concerns about unpaid bridging claims back in May 2022.
At that time, they accused the regulatory authority of owing over N500 billion.
Although the NMDPRA promised to resolve the issue within 40 days, Ibrahim emphasized that “40 days have today become months with no hope of our payment.”
Furthermore, the prolonged debt crisis has severely impacted operations at nine northern depots.
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Specifically, depots in Jos, Gusau, Suleja, Kaduna, Kano, Gombe, Yola, and Maiduguri have become non-operational due to this ongoing financial struggle.
Impact on Marketers and Industry
Ibrahim lamented that the unpaid claims have led to dire consequences for IPMAN members. “We have continued to record deaths of our members, closure of their businesses, retrenchment of staff, and the takeover of their business premises by commercial banks,” he said.
He further criticized the NMDPRA for imposing what he described as “abnormal levies” on marketers. These levies, he claimed, are unconstitutional and have exacerbated the financial burden on members. Ibrahim called for their immediate suspension.
Collaborative Action with Sister Organizations
IPMAN has announced plans to collaborate with sister organizations, such as Petroleum Tanker Drivers (PTD) and NARTO, for collective action.
If their demands remain unmet, Ibrahim warned that IPMAN members, who own many petroleum tankers, may withdraw their vehicles.
Call for Presidential Intervention
In light of the escalating tensions, IPMAN has appealed to President Bola Tinubu to intervene in resolving the protracted dispute. The association underscored its commitment to being law-abiding but emphasized that it has exhausted all avenues for dialogue with the NMDPRA.
“We firmly believe we have allowed the NMDPRA sufficient time to pay us in bulk and settle our claims,” Ibrahim stated.
As the looming strike approaches, it threatens to disrupt fuel distribution across Nigeria, worsening challenges in the downstream petroleum sector.
Consequently, all eyes are now on the NMDPRA as the deadline draws near.
