Oil marketers under the aegis of the Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) yesterday, have expressed their dissatisfaction to the federal government over the hostile working environment its members currently operate.
In a press conference held in Abuja, Mr. Benneth Korie, the National President of NOGASA, emphasized the adverse effects of the surging dollar exchange rate on their businesses.
Furthermore, he noted that the rise in interest rates has compounded the difficulties faced by businesses operating in the oil industry
They also lamented the bad road conditions that contributed to the decline in business operations as well as the escalation in operating costs, particularly the cost of logistics.
Korie suggests that to mitigate the impact of the recent surge in oil prices while waiting for the refineries to resume operations, the federal government should consider setting the price of oil at N600 for the next three months.
Moreover, the oil marketers acknowledged their previous support for the elimination of fuel subsidies. They, however, reiterated their prior advice to take appropriate steps to mitigate its consequences on citizens and businesses, ensuring their survival.
In addition, NOGASA also expressed worries about the increasing difficulties in sourcing and distributing petroleum products.
This concern is particularly relevant due to the hardships caused by rising petrol and diesel prices nationwide.
Korie said that the price of diesel has hit N1,000 per litre, pointing out that suppliers were at the very ‘bitter’ receiving end of the precarious development.
Similarly, Korie observed that the rising interest rates have had a severe impact on depot owners. Consequently, numerous depots are nearly abandoned because their proprietors struggle to obtain bank loans due to the exorbitant bank rates.
The president of the organization therefore proffered certain practical steps the federal government can take to mitigate against the overwhelming challenges he listed.
