The Major Oil Marketers Association of Nigeria (MOMAN) has urged the Federal Government to consider a phased full deregulation of the downstream sector MOMAM Chairman, Mr Oluwole Adeosun, reiterated the position of the major oil marketers during a web training for energy journalists on Monday in Lagos.
He said the development was necessary to cushion the effects of the impact of the sharp rise in fuel prices on the hardworking citizens of Nigeria.
He claimed the MOMAN members eschew cutting corners in the ongoing fuel scarcity in the country, adding that they would continue to work with other key stakeholders, to ensure that it ramps up supplies to retail sites and return to normalcy as soon as possible.
He said: “We envisage a rise in demand during the yuletide season and we are prepared to work round the clock to keep our stations running.
“There was a need for the country to begin the process of price deregulation to reduce the inefficient subsidy.
“If the country wishes to implement a subsidy, it must be in areas targeted to help those it should help. Such areas are agriculture and transportation, to reduce food price inflation and generate more jobs for Nigerians.
“In tandem, we must find a way to liberalise supply. We must bring transparency and competition into supply to ensure steady and more efficient supply at optimum prices.
“Imported products must compete with locally refined products to find a meeting point between the need for local refining and competitively low but cost-recovered prices for Nigerians for sustainability.”
He added: “Neither the new refineries nor the refurbished refineries will survive with the refining margins at current pump prices.”
Executive Secretary of MOMAN, Mr Clement Isong, apologised to Nigerians over the lingering fuel crisis, adding that his members are desirous to cushion the negative effects on Nigerians.
According to him, there is abundant fuel offshore. He, however, lamented that Nigerians could not have access to the same on account of logistic issues.
He called for massive investment in infrastructure to put the country’s downstream sector in good shape.
