The Nigerian National Petroleum Company Limited (NNPCL) has acknowledged the ongoing fuel scarcity across the country, attributing it to foreign exchange (FX) illiquidity, distribution challenges, and the need to balance fuel imports with existing debts. Dapo Segun, Executive Vice President of Downstream Operations at NNPCL, made the disclosure during an interview on Arise News, emphasizing that the company is actively working to resolve the supply shortfall but did not provide a specific timeline for when the scarcity would ease.
Segun explained that the shortage is being exacerbated by FX constraints, which hinder the company’s ability to import sufficient petrol to meet demand. *“First, we have conditions that affect our ability to distribute fuel efficiently. We do have a constraint of FX illiquidity,”* he stated, noting that the company is navigating a fine balance between managing its debts and maintaining adequate fuel imports.
A significant issue, according to Segun, is the reluctance to allow market forces to fully determine petrol prices. He pointed out that regulatory factors and pricing limitations complicate efforts to stabilize the supply chain.
As NNPCL continues to address these challenges, long fuel queues persist across the country, leaving Nigerians eagerly awaiting a resolution to the scarcity. Despite the uncertainty around when normalcy will return, the company’s efforts to mitigate the impact of FX shortages and improve distribution are ongoing.
