Fuel shortages likely to continue as NNPC finally admits ‘significant’ debts to suppliers

After weeks of denial, the Nigerian National Petroleum Company Limited (NNPCL) has finally admitted to significant debts to fuel suppliers.

This, according to the state oil company, is the cause of low fuel supplies to traders across the country.

NNPC’s admission therefore comes amidst concerns that the current fuel shortage in the country could worsen.

In a statement titled “NNPC Ltd Faces Financial Pressure Due to PMS Supply Costs, Impacting Sustainability of Supply,” issued on Sunday, NNPCL Chief Information Officer Olufemi Soneye said the financial pressure has put considerable strain on the company and poses a threat to the sustainability of fuel supply.

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The statement reads:

“NNPC Ltd. has acknowledged recent reports in national newspapers regarding the Company’s significant debts to fuel suppliers. These financial pressures have placed significant pressure on the Company and threaten the sustainability of fuel supply.

“In accordance with the Petroleum Industry Act (PIA), NNPC Ltd. remains committed to its role as the supplier of last resort, ensuring national energy security.

“We are actively collaborating with relevant government agencies and other stakeholders to maintain a consistent supply of petroleum products across the country.”

By: Babajide Okeowo

Fuel shortages likely to continue as NNPC finally admits ‘significant’ debts to suppliers first appeared on Latest Nigeria News | Headlines from Ripples Nigeria.