Bad news: Fuel scarcity may continue until mid-April

Citizens who have been hoping for a quick resolution of the fuel scarcity currently plaguing the country might have to wait a little longer.

According to reports, the unpleasant situation might persist until the middle of next month due to a setback in finance arrangements for import allocations received from the Petroleum Products Pricing Regulatory Agency.

Marketers who got the import allocations are said to be having financial challenges as banks have refused to issue them Letters of Credit which would enable them get the necessary funding.

Nigerian Eye reports:

Though the Federal Government still owes the marketers substantial subsidy claims, many of those affected, who are considered small, are said to lack the financial muscle to attract more loans from the banks without paying what they currently owe.

“The marketers are facing financial challenges because they are finding it difficult to finance their import allocations. The supply situation may not improve until the middle of April; and if care is not taken, it may last till the end of April,” an industry source, who asked not to be named, said.

The country’s daily petrol consumption currently stands at 35 million litres, but since fuel scarcity began last month, the market has been under supplied. As such, there has been cyclical shortage as the supply has failed to meet the demand.