Nigerians decry extra charges on PMS sales to containers

Nigerians have decried the increasing cost of purchasing Petroleum Motor Spirit, PMS also known as fuel using containers.

Vanguard investigation has revealed that most of the filling stations in Lagos, especially those located within residential areas charge additional fees for the commodity bought using containers. The extra charges range from N30 to N100 and depend on the quantity of PMS a customer wants to buy.
During investigation which covered areas from Surulere to Apapa in Lagos, it was discovered that most of the PMS retailers were involved in the unwholesome practice.

Vanguard investigation revealed that the retailers target only customers using containers to purchase. Customers buying with vehicles are sold at the official pump price of N97 per litre, while customers with containers purchase between N100 and N105 per litre. For instance, if a customer is purchasing 10 litres of fuel, he would be forced to pay N1050 or get N950 worth of fuel.

The quantity determines how much extra money the customer would be charged. Vanguard also observed how the attendants struggled for customers, swooping on them as they approached the filling stations. This sent a signal that the extra charge regime was a brisk business opportunity for the attendants.

Some consumers who narrated their experiences to Vanguard said although they were aware that the retailers fleeced them through the practice, they appeared helpless as most filling stations were involved in the practice and there appears to be no options for them. They decried the situation where government allowed the retailers to have a field day shortchanging Nigerians.

A customer, Ezena  Udaba, who spoke to Vanguard at SOT Oil Apapa said people in Apapa area have gotten used to the practice as it has endured for a long time. He said it is not because people are comfortable with it but as they have no choice, they have to endure it.

According to him, “This practice has become a normal thing for it has been like that for a long time and we are used to it. This is not because there are no people who frown at this act but because they have to use the commodity and they can afford it, so this matter has been left untouched.

“Most filling stations that engage in this practice are usually the only ones located within residential areas. This is because they know that a customer will prefer to get less than the value of his money rather than transport himself to where he will get the right value for his money, and that fuels the bad act.

“While many owners of these stations may not be aware of this practice, there are many other managers that pay the salary of their attendants from the additional money they make on the sales and that is why most of the attendants are committed to the work to the extent that they even struggle among themselves for customers.”

For another customer, Obinna John, he said, “I know that they sell a litter N100 but if you ask why, since the official price is N97, they will tell you that it is because you are buying with container. And majority of the people do not protest since they are not the only ones since everybody seems comfortable with the practice.

“I could remember the last time I challenged one of the attendants, he told me that they only do that to those that buy the product to resell at the ‘black market’ but I also realized that if one has a good rapport with them, they will not charge that extra fee.”

Adekanbi Wasiu who had once served as a petrol station attendant said it still baffled him how the filling stations charge those extra costs with impunity. He noted that the practice has no justification and that government should wade in to curtail the trend.

“What I can see that is clearly playing out is that these filling station attendants are the ones collecting the money,” Waisu who spoke to Vanguard at Mobil filling station at Surulere noted.

“If you see the 10litr gallon that I have here, normally it should be N97 per litre, but they usually add N3 to make it N100 which means that if I want to fill my ten litre gallon, I should pay N1000 but even at that, they would also collect additional N50, making it N1050 and that is very wrong. I had once served as a petrol attendant in Osun state and we used to sell at normal price. We didn’t cheat people the way these people are doing here.”

”I want government to address this issue. All the filling stations in Lagos are guilty of this offence. So government should do something about it. We, the consumers are just in a tight corner; we don’t have option than to buy. So, unless government intervenes, there is nothing we can do about it,” he added.

Solomon Louis is a business man who buys fuel everyday to power his generator in his shop. He was very furious when he spoke to Vanguard at the same Mobil station in Surulere.

According to him, “These people are robbing people blind here. They are busy making so much money at our expense.  It is wrong. This is a broad day light robbery. If you multiply the N30, N50 and N100 that they charge as additional cost on every quantity of fuel bought, by the 33,000 litres which is the size of a tanker, you will be shocked at how much money these attendants are making.

“Government should deal with this situation and stop them from stealing from the people. In the situation that we have found ourselves in this country without constant power supply, this attitude by fuel retailers is making things more difficult.”

Vanguard sought the opinion of the Department of Petroleum Resources, DPR, the agency charged with the responsibility of regulating the downstream sector, Mr. Paul Osu from the Public Relations Unit of the agencysaid buying PMS using containers as is rampant in the country today is an illegal practice.
According to him, “both the seller and the buyer are engaging in illegality.”