Business
IPMAN Discloses NNPCL’s N15 Billion Debt as Fuel Prices Surge
Abubakar Garima, the National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), has revealed that the Nigerian National Petroleum Company Limited (NNPCL) owes the association close to N15 billion.
Garima made this known during an appearance on Channels Television’s program, The Morning Brief, where he answered questions about the ongoing issues between IPMAN and NNPCL.
In response to a direct inquiry about the debt, Garima stated, “As it stands, NNPCL is owing IPMAN almost N15 billion.”
His comments bring to light a significant financial strain on the independent marketers, which has been building for some time due to what many industry players describe as delayed payments and other unresolved transactions.
This disclosure comes on the heels of NNPCL’s decision to increase the pump price of Premium Motor Spirit (PMS), commonly known as petrol, to a staggering N1,030 per litre.
The hike has left many Nigerians reeling from the shock, as they struggle to cope with an already challenging economic environment.
The new fuel price was noticed at various NNPCL stations in the nation’s capital, Abuja, on Wednesday, leading to widespread concerns.
The decision to increase the price has not been well-received by the public.
Citizens across the country have voiced their frustrations, condemning the latest fuel price hike, which many fear will worsen inflation and raise the cost of living even further.
With the price of fuel now over the N1,000 mark, transportation costs are expected to soar, which will have a ripple effect on food prices and essential goods.
This, in turn, has sparked debates about the government’s handling of fuel subsidies and the overall management of the oil sector.
For its part, IPMAN, a key stakeholder in the distribution and retail of petroleum products across Nigeria, has found itself in a difficult position.
The association’s members have long played a crucial role in ensuring the availability of fuel in both urban and rural areas.
However, the large debt that NNPCL owes IPMAN has added strain on the marketers, limiting their ability to operate efficiently and meet the demands of consumers.
The association has called on NNPCL to resolve the issue swiftly to prevent further disruptions in the supply chain.
NNPCL, which was previously a government-owned entity, transitioned into a limited liability company, a move aimed at allowing it to operate as a commercial enterprise.
However, the shift has not come without challenges. The oil giant has faced significant pressure to address Nigeria’s fuel scarcity and fluctuating prices, issues that have plagued the country for decades.
With the latest increase in fuel prices, many are questioning whether NNPCL is effectively managing its new role in the liberalized oil market.
The debt owed to IPMAN further complicates the situation, as independent marketers are critical to ensuring fuel reaches all parts of the country, particularly in areas where major oil companies may not operate.
Many are worried that if the debt remains unpaid, it could lead to a slowdown in fuel distribution, exacerbating the already precarious situation.
This latest development has reignited calls for reforms within Nigeria’s petroleum industry, with many stakeholders urging the government and NNPCL to adopt more transparent and effective policies to stabilize fuel prices and ensure the steady supply of petroleum products across the country.
At the heart of the issue lies the challenge of balancing market forces with the need to protect consumers from exorbitant prices, a task that has proven difficult for successive administrations.
As Nigerians grapple with the rising cost of petrol, many will be watching closely to see how NNPCL and IPMAN resolve their financial differences and whether the government will take action to alleviate the burden on citizens.
High street fashion retailer Superdry is closing its Bradford Broadway store today, marking another chapter in the ongoing challenges faced by traditional retail outlets. The store is hosting a significant clearance sale, offering customers substantial discounts as it prepares to shut its doors for good.
This closure is part of a trend affecting the UK’s high streets. In 2024, approximately 13,479 retail stores closed across the country, equating to an average of 37 closures per day—a 28% increase from the previous year. The Centre for Retail Research anticipates that this trend will continue, forecasting around 17,350 retail site closures in 2025.
Several factors contribute to these widespread closures:
- Shift to Online Shopping: Consumers are increasingly favouring online shopping platforms, reducing foot traffic in physical stores.
- Rising Operational Costs: Retailers are grappling with escalating expenses, including higher national insurance contributions and increased minimum wage requirements.
- Economic Pressures: High inflation rates have led to reduced consumer spending, impacting retailers’ revenues.
Other retailers, such as Beales and New Look, are also closing various branches due to financial pressures. Beales, for instance, will close its last remaining store in Poole on May 31, while New Look plans to shut nearly 100 outlets.
The decline in traditional high street shopping has resulted in significant job losses, with nearly 170,000 retail jobs lost in 2024 alone, marking the highest annual loss since 2020. Experts predict that 2025 may bring even worse outcomes for retail jobs and store closures.
Dangote Refinery has reduced its ex-depot price for premium motor spirit (PMS) to N815 per litre. This adjustment follows a drop in fuel landing costs, which recently fell to N774.82 per litre, lower than Dangote’s previous ex-depot price of N825 per litre.
Industry insiders have confirmed the price reduction, although Dangote Refinery has not made any official statement about it.
Chinedu Ukadike, the spokesperson for the Independent Petroleum Marketers Association of Nigeria, acknowledged the change. He explained that speculation about lower prices for imported products is fueling the competition. He added that since Dangote has a large supply of fuel, reducing prices helps to protect its market share.
It’s unclear whether this reduction will affect the pump price at Dangote-affiliated stations like MRS, which currently sells petrol at N860 per litre in Lagos and N880 in Abuja.
In recent months, Dangote Refinery and the Nigerian National Petroleum Company Limited have been locked in a competitive price battle.
Meanwhile, the Petroleum Products Retail Outlet Owners Association recently met with the Minister of State for Petroleum, Heineken Lokpobiri, to push for more stable and competitive fuel prices.
In early 2025, Nigeria’s telecommunications landscape underwent significant changes as major service providers—MTN, Airtel, Glo, and 9mobile—implemented substantial increases in their data tariffs.
These adjustments, some exceeding 200%, were introduced following the Nigerian Communications Commission’s (NCC) approval of a 50% tariff hike, aiming to address escalating operational costs faced by telecom operators.
NCC’s 50% Tariff Increase Approval
In January 2025, the NCC granted permission for a 50% increase in tariffs, responding to the telecom operators’ appeals to mitigate rising expenses and sustain service quality. This decision marked the first tariff adjustment since 2013, reflecting the need to balance operational costs with revenue generation.
MTN Nigeria
MTN Nigeria implemented extensive price adjustments across its data plans, with some popular offerings experiencing increases of up to 200%. Below is a detailed breakdown of the changes:
1. 15GB Digital Bundle Weekly Plan:
- Previous Price: ₦2,000
- New Price: ₦6,000
- Adjustment made: ₦3000 for 7gb
- Percentage Increase: 200%
2. 1.5TB 90-Day Plan:
- Previous Price: ₦150,000
- New Price: ₦240,000
- Percentage Increase: 60%
3. 100GB Monthly Plan:
- Previous Price: ₦20,000
- New Price: ₦25,000 (for 90GB)
- Percentage Increase: 25%
4. 600GB 90-Day Plan:
- Previous Price: ₦75,000
- New Price: ₦120,000 (for 480GB)
- Percentage Increase: 60%
5. 1.8GB Monthly Plan:
- Previous Price: ₦1,000
- New Price: ₦1,500
- Percentage Increase: 50%
6. 20GB Monthly Plan:
- Previous Price: ₦5,500
- New Price: ₦7,500
- Percentage Increase: 36%
7. 25GB Monthly Plan:
- Previous Price: ₦6,500
- New Price: ₦9,750
- Percentage Increase: 50%
8. 10GB Monthly Plan:
- Previous Price: ₦3,500
- New Price: ₦5,250
- Percentage Increase: 50%
9. 5GB Monthly Plan:
- Previous Price: ₦1,500
- New Price: ₦2,250
- Percentage Increase: 50%
10. 1GB Daily Plan:
- Previous Price: ₦350
- New Price: ₦525
- Percentage Increase: 50%
11. 5GB Tuesday Awoof Plan:
- Previous Price: ₦600
- New price: ₦900
- Percentage Increase: 50%
These adjustments and increase has led to consumer dissatisfaction, particularly due to the steep increases in high-capacity data plans.
Airtel Nigeria
Airtel Nigeria also revised its tariffs, affecting data, call, and SMS rates:
1. 23GB Monthly Plan:
- Previous Price: ₦6,000
- New Price: ₦9,000
- Percentage Increase: 50%
2. 10GB Monthly Plan:
- Previous Price: ₦3,000
- New Price: ₦4,500
- Percentage Increase: 50%
These changes prompted concerns among subscribers, especially regarding the affordability of essential data services.
Glo Nigeria
Glo Nigeria adjusted its tariffs in compliance with the NCC’s directive:
1. 24GB Monthly Plan:
- Previous Price: ₦5,000
- New Price: ₦7,500
- Percentage Increase: 50%
2. 10.8GB Monthly Plan:
- Previous Price: ₦2,500
- New Price: ₦3,000
- Percentage Increase: 20%
Glo’s competitive pricing strategy, even after the increase, continued to attract budget-conscious consumers. This has caused many to migrate to this service provider despite the slow network connection.
9mobile
9mobile implemented notable adjustments to its data plans:
1. 22GB Monthly Plan:
- Previous Price: ₦5,000
- New Price: ₦7,500
- Percentage Increase: 50%
MTN Nigeria’s Apology and Acknowledgment of Customer Dissatisfaction
Following the substantial price hikes, MTN Nigeria faced significant backlash from its subscribers. In response, the company issued an apology, acknowledging the abruptness of the increases and admitting to errors in their implementation.
In a statement addressing their “₦2000 for 15GB digital bundle lovers,” MTN expressed: “You dey vex. We know. We know how upsetting it must have been to suddenly wake up to a 200% increase on your favourite digital bundle.”
The company further admitted, “We don cast. We get it and admit it. Let’s just say na mistake.”
This candid acknowledgment aimed to mend the strained relationship with customers, emphasizing their importance to the company. MTN concluded with a plea for forgiveness.
“In this love season, don’t stay angry with us. Please forgive and forget. You matter, die and we will never stop showing you how much.” Despite the apology, MTN did not indicate any plans to reverse or adjust the new pricing structure, as it still remains the same.
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