Amid prolonged fuel scarcity in the country, the Nigerian National Petroleum Corporation (NNPC) on Sunday admitted that it is in financial distress due to Premium Motor Spirit (PMS) costs and growing debt to petrol suppliers.
“NNPC Ltd faces financial strain due to PMS supply costs, impacting supply sustainability,” NNPC said in a statement by Olufemi Soneye, its chief corporate communications officer.
It added that debt to petrol suppliers constitute a financial burden that could affect sustainable fuel supply in the country.
“NNPC Ltd. has acknowledged recent reports in national newspapers regarding the company’s significant debt to petrol suppliers. This financial strain has placed considerable pressure on the Company and poses a threat to the sustainability of fuel supply,” the statement said.
It added, “In line with the Petroleum Industry Act (PIA), NNPC Ltd. remains dedicated 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 nationwide.”
This comes amid lingering fuel scarcity in the country that has seen Nigerians stay for hours on queues to get fuel.
