Oil marketers get nearly N74b claims payment by NMDPRA
By Jeph Ajobaju, Chief Copy Editor
Abuja says it has paid N73.97 billion bridging claims to oil marketers, so there is no reason to blame non-payment for the perennial fuel scarcity in Abuja and sporadic ones in other parts of the country.
The allegation was made by Independent Petroleum Marketers Association Nigeria (IPMAN) which said the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) was owing N500 billion claims.
Bridging claims are the costs of transporting petroleum products from refineries and depots to fuel stations to ensure a uniform pump price nationwide.
NMDPRA confirmed in a statement that it has paid “N71,233,712,991 bridging claims and another N2,736,179,950.84 freight differentials to oil marketers as of June 6, 2022.”
The statement, signed by NMDPRA Corporate Communications General Manager Kimchi Apollo, was a reaction to allegation made by IPMAN Suleja branch that non-payment of bridging claims is the cause of fuel scarcity.
“Major Oil Marketers Association of Nigeria (MOMAN) received N9.96 billion while IPMAN members were paid N42.30 billion. NNPC Retails received N6.66 billion while DAPPMAN members were paid N12.30 billion, which translated to a total of N73.97 billion.”
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Assurances of claims payment
Apollo disclosed that NMDPRA Chief Executive Farouk Ahmed at a meeting with IPMAN on 17 May discussed bridging payment extensively, which was explained and agreed upon by IPMAN.
He said Ahmed assured IPMAN of the willingness of NMDPRA to continue the payment of outstanding claims to facilitate seamless operations, per reporting by Nairametrics.
Apollo added that NMDPRA paid additional N10 billion claims in June and sought an increase in the freight rate which was approved by President Muhammadu Buhari and is being implemented.
IPMAN warning
IPMAN warned in May that the failure of NMDPRA to pay its members their bridging claims of N500 billion could lead to a new fuel crisis.
NMDPRA denied that N500 billion bridging claims are outstanding, saying more than N58 billion has been disbursed to oil marketers since December 2021 out of which N34 billion was paid directly to IPMAN members.