Wednesday, December 7, 2022
Home Downstream Petrol freight rate: More trucks to resume fuel bridging -NARTO

Petrol freight rate: More trucks to resume fuel bridging -NARTO

Sequel to the review upward Premium Motor Spirit (PMS) or petrol freight rate by the federal government, the Nigerian Association of Road Transport Owners (NARTO), has said that more trucks would resume fuel bridging across the country to abate fuel scarcity.

According to the association’s President, Alhaji Yusuf Othman, NARTO members are ready to reciprocate government’s gesture.

“It is a very good development and it shows that government is being proactive. It will go a long way in cushioning the effect of the diesel cost on our operations. Like we keep saying, diesel is more than 70 per cent of our operational cost. So it was certain that the high diesel cost would affect our operations. You cannot take products from Lagos to Abuja and other areas while running at a loss.”

He said NARTO members had been struggling to operate, adding that normalcy would soon return to the petroleum products distribution sector with the intervention.

While noting that the government was yet to communicate the new freight rate to marketers and transporters, Othman expressed optimism that the increment would help to reduce operational losses.

He also assured Nigerians that the scarcity of petrol being experienced in Abuja and other parts of the country would soon abate.

“More of our members will resume bridging, which is the transportation of petroleum products from depots to other areas across the country following this development. NARTO members are ready to reciprocate government’s gesture. We are very happy with this timely intervention which is a good development for the industry, ” Othman said.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) had in a statement on Thursday said President Muhammadu Buhari had approved the upward review of the freight rate.

The statement said the review was necessitated by the upswing in the global price of petroleum products, especially Automotive Gasoil (Diesel) and its implication on the cost of transporting PMS nationwide.

It said the revised freight rate would take effect from June 1 while still maintaining the current regulated PMS pump price of N165.00 per litre.

“We believe the increase in transporters freight rate will further encourage NARTO and other stakeholders to deploy more trucks to transport PMS nationwide to ensure adequate supply of the product,” the statement said.

RELATED ARTICLES

NMDPRA gives reason for long queues at Abuja filling stations

As part of measures to mitigate the situation, trucking via alternative routes is currently ongoing. The Authority assures the public that there are sufficient petroleum products inland.

Importation of petroleum products into Nigeria cease by mid-2023 -Kyari

He said that the combined output of Nigeria’s refineries being revamped and Dangote refinery would be enough to stop importation.

Nigeria’s Crude oil refiners meet NMDPRA

The discussion centered on ways to foster good relationship and the need for refiners to collaborate closely with the Authority.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

POWER OUTAGE AS TRUCK HITS TCN TRANSMISSION TOWER

The company in a statement said the current restricted outage situation in parts of Abuja, is caused by a truck loaded with gravel that lost control and crashed into TCN’s 132kV transmission tower No 20, supplying bulk electricity to the 100MVA part of the Katampe Substation and 2x60MVA GIS Central Area Substation.

Nigeria, Morocco, five other W/African Countries sign on Gas Pipeline Project

NNPCL in a series of tweets, said Nigeria's @nnpclimited, Morocco's ONHYM and the nations of Ghana, The Gambia, Guinea, Guinea Bissau & Sierra Leone, signed an MoU on the gas pipeline project

NDPHC decries incessant vandalisation of power transmission facilities

“We will be relentless in hunting these vandals down, particularly those who assassinated the young man.”

Vandals destroy six transmission towers, kill vigilante in Rivers

On September 3, 2022, some miscreants attacked and vandalized the 330kV DC Afam – Onne Transmission Line in Gbake community of Ogoniland, River State.

Recent Comments