The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has requested a ₦100 billion intervention fund from the Nigerian government. The aim is to stabilize the petroleum market, making petroleum products more affordable and accessible to Nigerians.
PETROAN’s President, Dr. Billy Gillis-Harry, explained in an interview on Arise TV that the ₦100 billion fund would help reduce the high costs of doing business in the sector. He believes this intervention will make fuel more affordable and help ensure its steady availability in the country.
According to Dr. Gillis-Harry, the proposed ₦100 billion is just a small part of Nigeria’s yearly budget. He stated that it would go a long way in easing the financial challenges faced by petroleum retailers, especially as borrowing costs in the sector are currently between 36 and 40 percent.
The PETROAN president emphasized that the high cost of financing has put a huge strain on fuel retailers, directly impacting the prices consumers pay at the pump. He believes that this intervention fund would provide much-needed relief, helping to stabilize fuel prices and ensure a continuous supply of affordable petroleum products.
Dr. Gillis-Harry also appealed to the federal government to prioritize this request, noting that it would benefit the broader Nigerian economy by protecting jobs and preventing business closures in the petroleum retail sector. He highlighted that a failure to approve the fund could lead to the loss of thousands of jobs and force many businesses to shut down.
Recently, PETROAN issued a statement urging President Bola Tinubu to approve the ₦100 billion grant to help support petroleum marketers affected by the removal of the fuel subsidy. The association warned that this could result in the closure of up to 10,000 businesses, leading to job losses.
Despite these challenges, PETROAN remains optimistic about the future of Nigeria’s oil and gas sector. The association believes that with continued investments in infrastructure and growth in the LPG market, the sector is poised for growth and development in 2024 and beyond.
