Marketers say fuel price will reduce by N70/litre if refineries are functional

Oil marketers assert that the price of petrol would decrease by at least N70 a litre once local refining is fully functioning.

Addressing the benefits of the Federal Government’s investment in operational refineries, Mike Osatuyi, National Controller of Operations for the Independent Petroleum Marketers Association of Nigeria, stated this on Wednesday.

Even though the contracts for the refinery renovations had been given, he informed the media that it would be a positive development for repairs to be completed as soon as possible in order to lessen the pressure and enormous financial burden of imports on the country.

He said, “The contract has been awarded already before the new government came into office. IPMAN doesn’t know the context of the contract, but if the refineries are working, it would cut freight and ship-to-ship transfer costs.

“Not less than N60/N70 per litre will be off if the refineries start working.”

Other advantages of operational local refining that he highlighted were a rise in employment, a decrease in insurance costs, and a faster delivery of products.

The cost of insurance would drop, he claimed, “and if we continue to import goods, it would take roughly 30 days for ships to arrive in Nigeria, and we would then have to pay for the vessel’s hire.

“However, if we refine within the nation, goods would come in only one day. The general public will have greater employment opportunities. It has a lot of advantages.”