The Independent Petroleum Marketers Association of Nigeria (IPMAN) is planning to shut down operations following the failure by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to pay a N100bn debt owed to its members.
Aside from IPMAN, the National Union of Road Transport Workers (NARTO) and the Petroleum Tanker Drivers (PTD) union may join the action, THE WHISTLER learnt.
The action is expected to commence from Monday, February 24, 2024 if the Authority fails to address the issue, according to IPMAN.
The debt is linked to the unpaid funds belonging to petroleum marketers which were deducted at the point of product payments to settle bridging allowances.
The Chairman of the IPMAN, Alhaji Yahaya Alhassan, issued the warning after the downstream regulator pledged to offset the debt within 40 days.
Alhassan said the 40-day period elapsed without the NMDPRA settling its N100bn obligation to IPMAN.
IPMAN said, “We are extremely frustrated that one year after our last demand as a forum, requesting the payment of over N100bn owed our members in bridging and NTA claims by the NMDPRA, the management has deliberately ignored our request, even after making clear promises to pay us.
“At that meeting, NARTO listed IPMAN’s bridging claims as part of their demands before the strike was called off.
“The NMDPRA, in the presence of the National Security Adviser, Mal. Nuhu Ribadu, and the DG DSS, Mr. Adeola Ajayi, assured us that payments would be made within 40 days. However, months have passed, and there is still no hope of receiving our payments.”
IPMAN said the debt has led to the grounding of nine northern depots located in Jos, Gusau, Minna, Suleja, Kaduna, Kano, Gombe, Yola and Maiduguri.
IPMAN further accused the NMDPRA of introducing multiple abnormal levies.
Some of the levies include a five per cent commission on the sale of petrol stations, describing it as an exploitative practice.
He said, “We have recorded deaths of our members, business closures, staff retrenchments, and even the takeover of business premises by commercial banks—all because of NMDPRA’s refusal to pay us.
“Tell me, when did NMDPRA become a real estate agency, collecting commissions on petrol station sales? This is completely unacceptable.”
The chairman lamented that the actions of the NMDPRA has frustrated infrastructural development and upgrade of facilities.
Alhassan said, “As law-abiding Nigerians, we have given NMDPRA enough time to settle our bridging claims. Since they have refused to pay, we are now liaising with our sister organizations—PTD and NARTO—to take decisive action.
“As IPMAN members, we own a sizable number of petroleum tankers operated by the PTD. If necessary, we will withdraw our tankers from loading petroleum products to enforce our demands.”
IPMAN further called on the intervention of the federal government on the matter to avert economic disruption.
“We urge the federal government to fully intervene in this prolonged issue between IPMAN and NMDPRA. If our demands are not met immediately, we will not hesitate to take necessary actions starting from Monday, February 24, 2025,” IPMAN said.