The Natural Oil and Gas Suppliers’ Association of Nigeria (NOGASA), has raised alarm over the incessant increase in the price of Automotive Gas Oil (AGO), called diesel, in the market.
The National President of NOGASA, Mr Benneth Korie, in a statement said that the rapid increase in diesel price has made it difficult for suppliers to access product and loans from commercial banks for doing their businesses.
Korie said the association was worried about the ugly development and had been trying to understand why the price of diesel has continued to go up as high as N950 to N1,100 per litre.
“This rise in prices is also evidently causing veritable hardships to haulage transportation and commuters alike.”
Korie therefore called on the government to intervene before it would affect the sector and derail the anticipated growth it is working towards achieving.
According to him, “This will be counter productive to the aspirations of our overall national political economy.”
The President said that the meeting of the association, scheduled to hold in October, would take adequate steps towards finding lasting solutions to the problem.
“However, the price of crude oil as of today is US$ 95 per barrel and the dollar exchange is racing towards N1, 000 per dollar.
“Consequently, the Nigeria refineries should be given emergency attention by government to forestall the nose diving of the economy.
“NOGASA has been playing a pivotal role in the oil and gas industry and will continue to ensure the availability of adequate supplies of products to Nigerians.
“We will continue to deliver on our mandate as we make progress in the oil and gas industry,” he said.
He advised that suppliers should go about their respective businesses until proper resolution of the problem is taken at the meeting.
He said NOGASA, as a premiere organisation of legitimate, organised and proficient suppliers, dealers, stakeholders and practitioners in the nation’s oil and gas sector distribution chain, would continue to provide quality services for all.