NNPCL admits financial burden amidst fuel scarcity

Nigerians are yet to see the end of the Premium Motor Spirit (Petrol) crisis as the Nigerian National Petroleum Company Limited, NNPCL, blamed supply cost for fuel scarcity.

The spokesperson of NNPCL, Soneye Olufemi, disclosed this in a statement on Sunday.

The firm’s comments come amid a report that its piled-up debt of $6 billion is the reason for fuel scarcity and the product supply hiccups.

Reacting to the report, NNPCL admitted to facing financial strain due to PMS supply costs.

The company, however, said it is committed to the role of the PMS supplier of last resort and to ensuring national energy security.

“NNPC Ltd. has acknowledged recent reports in national newspapers regarding the company’s significant debt to petrol suppliers. This financial strain has placed considerable pressure on the company and poses a threat to the sustainability of fuel supply.

“In line with the Petroleum Industry Act (PIA), NNPC Ltd. remains dedicated to its role as the supplier of last resort, ensuring national energy security. We are actively collaborating with relevant government agencies and other stakeholders to maintain a consistent supply of petroleum products nationwide,” the company stated.

This comes as fuel queues mounted in filling stations across the country in the past week.

Though the nation’s oil behemoth didn’t mention the possibility of a fuel price hike, the option was not ruled out.

The development comes despite the company announcing N3.3 trillion in profit for the 2023 financial year.