The Nigerian National Petroleum Company Limited has requested that petroleum marketers who applied to purchase fuel through its online portal top up their payments in line with current prices, or risk forfeiting their allocations.
Confirming this to newmen, NNPC’s spokesman, Andy Odeh, explained that marketers who cannot meet the new ex-depot rates may instead apply for refunds. He noted that this was necessary to maintain contractual obligations, as product loading cannot proceed at outdated payment levels once a price adjustment is made.
“Where payments have been made and there is a subsequent price adjustment before loading takes place, marketers are required to either pay the difference before lifting their products or, if they prefer, request a refund,” Odeh said. “NNPC can confirm that it has received refund requests from some marketers, and in line with our contractual obligations, those requests are currently being processed.”
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The Independent Petroleum Marketers Association of Nigeria has, however, urged the NNPC Group Chief Executive Officer, Bayo Ojulari, to clear the backlog of loading tickets held in the company’s portal. According to the association, its members have paid for petroleum products but have not been able to lift the volumes tied to those tickets.
IPMAN’s Publicity Secretary, Chinedu Ukadike, in an interview with Sunday PUNCH, appealed for urgent intervention.
“We, the independent marketers, have been calling on NNPC to reimburse us for our money or give us products from some of our tickets that are being tied down in their system through their portal,” Ukadike said. “Though they have started, it is not in full force. So, we are appealing to the GCEO to look at some of the outstanding tickets and clear them.”
Ukadike admitted he could not specify the exact number of tickets or the financial value involved, but stressed that the amount was “sizable” and required urgent resolution.
The fresh calls from IPMAN come against the backdrop of protests by its members in June over diesel price increases at the Port Harcourt refinery. Marketers alleged that depot officials raised the price of diesel from N980 per litre to N1,130 per litre, even though members had already paid under the earlier agreed price.
The association argued that the delay in product loading before the sudden price adjustment left many of its members stranded and unable to recoup their investments. According to marketers, these developments undermine business operations in the deregulated downstream sector, as fuel price volatility creates uncertainty and affects planning.
Another lingering issue between marketers and the state-owned oil giant concerns unpaid petroleum equalisation funds. The marketers claim that the NNPC still owes them about N25bn under the fund. Ukadike noted that while the new NNPC management had achieved impressive revenue generation—reportedly over N20tn in four months—the outstanding debt continued to hamper marketers’ operations.
“The issue of pending funds that are in PEF – since they (NNPC) have made gains, they should also try and clear it so that marketers can have their money and compete in this deregulated economy and ensure energy security,” he said. “The debt used to be over N40bn, but I think by now, the money has shrunk to around N25bn.”
But Odeh clarified that NNPC was not responsible for managing or disbursing equalisation funds. He explained that the responsibility lies with the Nigerian Midstream and Downstream Petroleum Regulatory Authority.
“With respect to the equalisation fund, we wish to clarify that its management and disbursement fall strictly under the mandate of the Nigerian Midstream and Downstream Petroleum Regulatory Authority,” Odeh stated. “As such, NNPC Ltd is not able to provide updates on that matter.”
The Petroleum Equalisation Fund was originally established by the Federal Government to ensure uniform fuel prices nationwide by reimbursing marketers for costs incurred in transporting products to remote areas. However, following the deregulation of the downstream sector and President Bola Tinubu’s removal of fuel subsidies, the fund was dissolved in line with the Petroleum Industry Act.
Meetings were held with marketers in 2023 to reconcile accounts and settle outstanding claims, but according to IPMAN, many of its members remain unpaid.
The ongoing ticket delays, price top-ups, and unresolved equalisation debts have compounded the challenges faced by independent marketers, who play a crucial role in distributing fuel to communities nationwide.
Ukadike warned that unless these issues are quickly addressed, independent marketers may struggle to operate effectively in Nigeria’s deregulated fuel market. “Marketers need liquidity to stay competitive. Clearing the outstanding tickets and paying the equalisation arrears will provide us with breathing space,” he said.
The marketers also insist that resolving the disputes will help stabilise the distribution chain, reduce uncertainty, and ensure energy security across the country.
The disputes underscore the volatility of Nigeria’s downstream oil sector, which continues to face challenges even after the removal of subsidies. Price instability, rising operating costs, and infrastructure bottlenecks have forced marketers to navigate a difficult business environment.
Analysts warn that if unresolved, these issues could create distortions in fuel distribution, potentially leading to scarcity or higher pump prices in some areas.
