The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said there is looming crisis in the sector over agitation to scrap the Petroleum Equalisation Fund (PEF).
The IPMAN stated this in a press statement issued by its national secretary, Alhaji Danladi Garba Pasali, Sunday in Jos.
The statement read in part: “It is with great concern that we deemed it absolutely necessary to stress that agitation and pressure by some unscrupulous political elite trying to mislead the federal government to scrap PEF, under the Ministry of Petroleum, is to say the least an attempt at destabilising and sabotaging government’s ongoing feat of successes of reforms in the petroleum sector.”
The IPMAN said sections 2 of the PEF Act stipulates that; “The fund shall be utilised for the reimbursement of oil marketing companies for any loss sustained by them solely and exclusively as a result of the sale by them of petroleum products at uniform prices throughout Nigeria being prices fixed by the minister pursuant to section 6 (1) of the Petroleum Act.”
They said they are pleased to say the agency is motivating them and Nigerian public in general to do business.
They stated however that information reaching them revealed that the ministry is under intense pressure to succumb to the unhealthy agitation, to scrap the PEF, which is not in any way a good omen for the sector.
IPMAN said the agitators should clearly understand that marketers/consumers are sole contributors to the equalisation fund, against their wishful thinking that government is spending monies on marketers.
The statement further said: “As contributors to the fund, we have not in any way ever complained or contemplate advising government to scrap the PEF.
“We want to put it on record that should it be scrapped, it will surely cause disparity in prices, wreak havoc on marketers, and inevitably push many of our members out of business.”