The Petroleum Products Pricing Regulatory Agency (PPPRA) has discovered an illegal dumpsite for Petroleum Products in Abuja.
The depot is supposedly used to siphon products meant for public consumption.
The facility was discovered in Giri, an outskirt of Abuja.
Reports have it that it was converted to a fuel dump by an independent marketer.
The PPPRA inspection team, therefore, declared the usage of the park as storage dump by the company as illegal.
They said the facility does not have a licence to store products outside its filling station located about a 100 metres away.
The PPPRA team consequently warned the oil firm that it would be sanctioned if it continues to use the park as storage facility.
The Agency has also hinted that the Minister of Petroleum Resources, Dr. Ibe Kachikwu has put in place adequate measures to forestall fuel scarcity.
The measures will ensure that the current steady supply is maintained long term.
The agency later carried out a series of inspections in Abuja and environs over the weekend.
It ensured that with the current steady supply, queues will disappear from filling stations.
It also warned that efforts are being made to ensure that marketers caught committing infractions in the distribution of the product would be sanctioned.
The PPPRA monitoring team inspected the sale of the products along Gwagwalada/Lokoja Expressway, Asokoro extension and Area 11 parts of the Federal Capital.
The PPPRA Head Corporate Services, Lanre Oladele spoke after the exercise.
He expressed satisfaction at the level of compliance to regulations and the pricing template put in place by the government.
Meanwhile, the PPPRA has released the new pricing template for PMS based on average Platts’ Prices for 28th April, 2016.
Average Exchange Rate of the NGN =N= to US$ for 28th April, 2016
PMS
Cost Elements: $/MT Naira/Litre
1 C + F 533.40 78.36
2 Traders Margin 6.81 1.00
3 Lightering Expenses (SVH) 13.61 2.00
4 NPA 1.43 0.21
5 NIMASA 1.02 0.15
6 Financing (SVH) 5.18 0.76
7 Jetty Depot Thru’ Put Charge 4.08 0.60
8 Storage Charge 13.61 2.00
9 Landing Cost 579.15 85.08
10 Distribution Margins:
11 Retailers 34.04 5.00
12 Transporters 20.76 3.05
13 Dealers 13.27 1.95
14 Bridging Fund 27.23 4.00
15 Marine Transport Average (MTA) 1.02 0.15
16 Admin Charge 1.02 0.15
17 Subtotal Margins 97.34 14.30
18 Highway Maintenance 0.00 0.00
19 Government Tax 0.00 0.00
20 Import Tax 0.00 0.00
21 Fuel Tax 0.00 0.00
22 Subtotal Taxes 0.00 0.00
23 Total Cost 676.49 99.38
24 * Official Ex-Depot 491.47 72.20
25 ** Ex-Depot (for collection) 520.74 76.50
26 Under/Over Recovery 87.68 12.88
27 Retail Price 588.81 86.50
Expected Open Market Price (OMP) (Naira/litre) is Landing cost +Margins 99.38
Conversion Rate (MT to Litres): 1341
Exchange Rate (N to $): 197.00
* Official Ex Depot is exclusive of Bridging Fund, Marine Transport Average (MTA) & Admin. Charge
* *Ex Depot (for collection) includes Bridging Fund, Marine Transport Average (MTA) & Admin. Charge
Effective Date of New Approved Pricing Template is 1st April, 2016
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