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  • Scarcity looms as NARTO threatens to stop lifting petrol next week

    Scarcity looms as NARTO threatens to stop lifting petrol next week

    Premium Motor Spirit (PMS) petrol may become scarce any moment from now as the Nigerian Association of Road Transport Owners (NARTO) on Thursday, February 15, vowed to suspend operations on Monday.

    Its national president, Alhaji Yusuf Lawal Othman, made this known in a press statement he issued from Abuja.

    The association is basically responsible for the haulage of the product throughout the country.

    Othman, however, noted that the statement is an official announcement from the association’s headquarters that the members are parking their trucks from Monday.

    He stressed: “Why? Because what we spend on operation is more than what we get in total: both in local and bridging.”

    According to him, the members have being operating at a loss and it is no longer sustainable for them to endure the losses. 

    NARTO National President said: “We will have to suspend operations latest from now till on Monday. 

    “We cannot continue to operate at a loss. Most people have parked. A lot more are going to park. But from the point of the association itself, we are going to suspend operations on Monday.”

    The President disclosed that NARTO’s efforts at soliciting the intervention of all the key stakeholders in the Federal Government and industry  have not yielded positive results.

    Othman revealed that the association has written letters to table the plight of unbearable cost of operation to the Chief of Staff to President Bola Ahmed Tinubu; Minister of Petroleum Resources; Director General, Department of State Services (DSS); Nigerian Midstream and Downstream Regulatory Authority (NMDPRA) Chief Executive Officer; Nigerian National Petroleum Company Limited (NNPCL) Group Chief Executive Officer; and the Marketers.

    Read Also: NARTO raises the alarm over roads despite N2.21tr funding

    His words: “We have written letters up to the level of the Chief of Staff. We have written to the Honourable Minister of Petroleum Resources (Oil) I will send you the copy. 

    “We have written to DG SSS. We have written to the GCEO. We have written to the Authority Chief Executive. We have written to the Major Marketers.”

    He stressed that despite the notification to the above stakeholders, “No response.”

    Analysing the market situation, which the members have endured for several months, he recalled that the same freight rate that was in force while President Muhammadu Buhari was in government is still subsisting.

    According to him, the N32 Lagos to Abuja freight rate that was implemented while dollar was N650 is still retained now that dollar is N1,615.

    He said: “Everybody is aware that all our consumables in terms of operation are not produced in the country. So, by virtue of the rate of dollars, every consumables has increased. But the freight they are paying us has been the same even during Buhari’s time.

    “So how is that feasible? During Buhari’s time, dollar was N650. Today, dollar is noe N1,615. The average freight from Lagos to Abuja is N32.” 

    He added: “What I mean by local, you load Lagos, you discharge in Lagos. And bridging, you load from Lagos, you come to Abuja. Lagos to Lagos, we are paid N120,000.

    “AGO alone to distribute fuel within Lagos is N140,000 because it is N1,400 per litre. So, they give you N120,000 and you spend N140,000. So, how do you want to operate? “Talk less of cost of vehicles, cost of loading, driver’s allowance. That is for local. For bridging, Lagos to Abuja, they gave us N32.

    “If you have truck of 40,000 litres, you are talking of N1,280,000-N1,216,000. Less 5% of the amount of N1,280,000 Withholding Tax N64,000. Less 55,000 loading expenses and 15,000 driver allowance. Total expenses N134,000 while balance is N1,146,000. AGO is N1400 for 900 litres, totalling N1260,000.

    “There is a total loss of N114,000.

    The diesel that you use from Lagos to Abuja is 900 litres. 

    “So when you use 900 litres at 1,400, that will be N1,260,000. So it is by far more than what are paid.

    “Meanwhile the cost of a truck New truck head and tank is N95 million and used is N50million.So imagine the Amount invested on each truck?”

  • NARTO raises the alarm over roads despite N2.21tr funding

    NARTO raises the alarm over roads despite N2.21tr funding

    The Nigerian Association of Road Transport Owners (NARTO) has raised the alarm over the deplorable conditions of roads despite the Federal Government allocation of N1.6 trillion and Nigerian National Petroleum Company Limited (NNPCL) N621 billion tax credit.

    NARTO National President, Alhaji Yusuf Lawal Othman, made this at the 24th Annual General Meeting/Conference in Abuja.

     He said: “Bad Roads: The persisting issue of inadequate road infrastructure in the country remains a significant impediment to the seamless movement of people, goods, and services. Despite substantial funding allocated by the federal government, such as N1.6 trillion and N621 billion in NNPCL tax credits.”

    According to him, numerous critical road rehabilitation projects are still incomplete. 
    He warned that the situation may worsen during the rainy season.

    Read Also: NARTO seeks removal of 7.5% VAT on diesel

    Othman urged  the Federal Ministry of Works, to ensure the expeditious completion of these projects to alleviate the hardships faced by road users.

    On insecurity, the NARTO boss noted that the activities of bandits, kidnappers, and thieves have made life miserable for drivers. 

    He added that “We have had many cases where drivers were kidnapped while on duty and some had their trucks hijacked at gunpoint along some of the critical routes in the country. 
    “Many drivers and their assistants have lost their lives and losses incurred from such incidences. “Sadly, we have witnessed the resurgence of these ugly incidences recently with the increasing wave of kidnappings in the country, particularly within the federal capital territory, Abuja.”

  • NARTO seeks removal of 7.5% VAT on diesel

    NARTO seeks removal of 7.5% VAT on diesel

    The Nigerian Association of Road Transport Owners (NARTO) has called on the Federal Government to remove the 7.5 per cent Value Added Tax (VAT) on the Automotive Gas Oil (AGO), also known as  diesel, to avert the disruption in the distribution and supply of the Premium Motor Spirit (PMS) petrol.

    Diesel is the product for fueling about 90 per cent of the haulage trucks which convey the petrol from the depots to the retail outlets nationwide.

    Prior to the placement of VAT on diesel, its cost was barely above N600/litre but it is now almost N1,000, which has also increased the cost of transportating the PMS.

    Also, owing to the high cost of dollar rate, it is expensive to purchase the trucks spare parts and batteries.

    Besides, the roads on which the trucks ply are in a very terrible situation.

    NARTO National President, Alhaji Yusuf Lawal Othman, who made this known in a press statement issued in Abuja, added that despite the high operation cost, the government has stopped further increase in the pump price of PMS.

    He however, noted that since the marketers cannot raise their pump price, it is impossible for them to increase their cost of transportation.

    According to him, this has made the cost of doing the business  unbearable.

    Read Also: NARTO decries attack on truck drivers

    Seeking government’s instant intervention, he said, “We are talking about now, an immediate solution. And the instant intervention is the removal of 7.5% VAT on the diesel because it is increasing the cost of the diesel.

    “NARTO is complaining that the high cost of diesel is unbearable.”

    He noted that the transporters have found themselves in a helpless situation, stressing, “Even if you discuss it with the marketers all they tell you is that government has fixed the pump price on N617 that they cannot increase pump price so they cannot increase the fare for us. So we are in trouble.”

    He noted that unless the government urgently stops the 7.5% VAT on AGO, there will be shortage of supply of the petrol because the transporters may park their trucks in the face of the unbearable cost of operation.

    He emphatically noted that the association which is not  proceeding on strike, is urging the government to immediately act to avert petrol supply disruption.

    Complaining about the situation, he disclosed, “This is the problem we have: diesel is now getting to N1,000. And our transporters are still on the same rate. But the government will say they don’t have business with us because it is deregulated.

    “But the marketers say if it is full deregulation PMS go up. Government pegged pump price at N617 because of that even if diesel reaches N1000 they can’t increase transportation for us.

    ” And to make things worse, government put 7.5% VAT for the AGO and dollar is about N1,000 now.

    On the terrible situation of the roads, the NARTO boss said,

    “And you know that apart from this the roads are terribly bad. From Okpella to Lokoja is bad. From Agai to Bida to Kutugi is bad.”

    He also noted that “All the spare parts, engine, battery and spare parts are all factors of dollar rate. They have gone up. The engine oil, which is also a factor of dollar rate has also gone up but our transportation remains the same.”

    On the whole, Othman said, “So we need serious government attention and it should be urgent.

    First of all, government has to look at that 7.5% increase on VAT on AGO because that is one of the reasons why AGO went up.

    Two, government has to look at the pump price of PMS so that marketers have to also look at the transportation price for us.

    “This is because without looking at the pump price, marketers cannot increase transportation price. And if they do not do that we have no choice than to continue to park. And if we continue to park it will create unwanted disruption of supply and we don’t want that.”

    He however recalled that the market had been stable for some very few months untill the introduction of the VAT on AGO.

    Othman recalled that “At least, since the last few months when the government took over there have been reasonable supply. But if we continue with this trend, naturally there will be shortage and we don’t want that.

    “Of course, in some few months we have some reasonable stability.

    “The government should come quickly to intervene that is all we are saying, especially that 7.5% VAT because that is what the government used to increase AGO price.”

    He added that the association is also concerned about the suffering Nigerians are already going through thus, NARTO wants the government to have a second  look at the sealed pump price.

     The National President said, “Also, they should look at the pump price because it is also one of the reasons why marketers cannot increase transport cost for us.

    “Although we are not necessarily interested in the increase in pump price since Nigerians are suffering, if they don’t increase our transportation cost with AGO at N1,000 and dollar close to N1,000 we cannot operate.

    “And if we don’t operate profitably we will start parking and if we start parking it will generate unwanted supply disruption, which we don’t want.”

  • PMS: NARTO seeks removal of 7.5% VAT on diesel

    PMS: NARTO seeks removal of 7.5% VAT on diesel

    The Nigerian Association of Road Transport Owners (NARTO) has called on the Federal Government to remove the 7.5% Value Added Tax (VAT) on the Automotive Gas Oil (AGO), also known as  diesel, to avert the disruption in the distribution and supply of the Premium Motor Spirit (PMS) petrol.

    Diesel is the product for fueling about 90% of the haulage trucks which convey the petrol from the depots to the retail outlets nationwide.

    Prior to the placement of VAT on diesel, its cost was barely above N600/litre but it is now almost N1,000, which has also increased the cost of transportating the PMS.

    Also, owing to the high cost of dollar rate, it is expensive to purchase the trucks spare parts and batteries. 

    Besides, the roads on which the trucks ply are in a very terrible situation.

    NARTO National President, Alhaji Yusuf Lawal Othman, who made this known in a statement in Abuja, added that despite the high operation cost, the government has stopped further increase in the pump price of PMS.

    He however, noted that since the marketers cannot raise their pump price, it is impossible for them to increase their cost of transportation.

    According to him, this has made the cost of doing the business  unbearable.

    Seeking government’s instant intervention, he said: “We are talking about now, an immediate solution. And the instant intervention is the removal of 7.5% VAT on the diesel because it is increasing the cost of the diesel.

    Read Also: NARTO decries attack on truck drivers

    “NARTO is complaining that the high cost of diesel is unbearable.”

    He noted that the transporters have found themselves in a helpless situation, stressing, 

    “Even if you discuss it with the marketers all they tell you is that government has fixed the pump price on N617 that they cannot increase pump price so they cannot increase the fare for us. So we are in trouble.”

    He noted that unless the government urgently stops the 7.5% VAT on AGO, there will be shortage of supply of the petrol because the transporters may park their trucks in the face of the unbearable cost of operation.

    He emphatically noted that the association which is not  proceeding on strike, is urging the government to immediately act to avert petrol supply disruption.

    Complaining about the situation, he said: “This is the problem we have: diesel is now getting to N1,000. And our transporters are still on the same rate. But the government will say they don’t have business with us because it is deregulated. 

    “But the marketers say if it is full deregulation PMS go up. Government pegged pump price at N617 because of that even if diesel reaches N1000 they can’t increase transportation for us.

    ” And to make things worse, government put 7.5% VAT for the AGO and dollar is about N1,000 now.”

  • Apapa gridlock: NARTO to go against erring truck drivers

    The National Association of Road Transport Owners (NARTO) said yesterday that it would henceforth picket truck drivers who give bribes to gain access to loading point at the Apapa Port.

    Chief Remi Ogungbemi, NARTO President,told  the News Agency of Nigeria (NAN) in Lagos that with the completion and return of trucks to the Apapa Wharf Road and the continued traffic gridlock on the road, it was time the association looked elsewhere for solutions.

    “With the completion and use of the Apapa Wharf Road, expectation was high that gridlock would disappear, instead the problems remain,” he said.

    “Fingers have continued to point at truck drivers that bribe their way through and in most cases the disagreement that such cheating may cause particularly for those on the queue.

    “Some drivers who may want to prevent such sharp practices use their trucks to cause obstruction that may take a whole day to resolve.”

    According him, if the truck drivers are made to be orderly, it would go a long way in stopping the traffic.

    He said henceforth, driving documents of drivers caught disrupting lanes would be seized for a period of time.

    He also said that those operators who were in the habit of collecting money to aid such disorderly practices would be reported for immediate action.

    He, however, regretted the near collapse of haulage and transporting business in the ports and its negative bearing on the nation’s economy.

     

  • INEC signs MOU with transport unions on improved logistics

    The Independent Electoral Commission ( INEC ) in Niger state has signed a Memorandum of Understanding (MoU) with the National Union of Road Transport Workers (NURTW) and the National Association of Road Transport Owners (NARTO) for improved election logistics.

    The MoU states the unions are to serve as partners with INEC in delivering election personnel and materials promptly in Election Day and to undertake reverse logistics.

    The Resident Electoral Commissioner (REC), Professor Samuel Egwu, said the MoU would change the narrative of the 2019 election in Niger state.

    Egwu said the MoU replicates the signing of similar MoU at the federal level in December 2018, adding the success of the 2015 elections made it necessary for the commission to engage the two unions.

    “INEC is particularly trilled by the contents of this MoU that specifies the roles of leadership of the unions in ensuring proper behaviour on the part of their drivers and functionaries.

    “We are hopeful that on February 16 and March 2, INEC in Niger state will be in the position to open polls latest at 8 am because that alone can contribute significantly to free, fair, credible and peaceful elections.”

    Read Also: Truck laden with INEC ballot papers arrested

    The Commissioner said they were yet to finalise discussions with the Road Transport Employers Association of Nigeria (RTEAN) as the union is yet to sign the MoU at the national level.

    The Niger state NURTW Chairman, Comrade Musa Kontagora and his counterpart in NARTO, Alhaji adamu Mohammed Wushishi, promised to keep to the stipulations of the MoU promising the delivery of all election materials early and on time.

    The signing of the MoU was witnessed by Barrister Auta Nasara.

  • Ngige urges NARTO to sustain partnership among members

    The Minister of Labour and Employment, Dr Chris Ngige, has called on the Nigerian Association of Road Transport Owners (NARTO) to sustain more collaborative partnership among members.

     

    Ngige, represented by Alhaji Idris Idris, made the call at the NARTO 18th Annual General Meeting in Sokoto on Tuesday.

    The minister said: “I want to use this forum to appreciate your association for working in collaborative partnership with your members.

     

    “This has in no small measure contributed to sustaining industrial peace and harmony as a major prerequisite for economic growth and development.

    “In this regard, I wish to reiterate that my ministry places much emphasis on social dialogue.

    Read Also:  Buhari, Ngige, Wabba meet in Aso Rock over minimum wage

    “As such, I want to state without equivocation that the doors of my office will continue to remain open to achieve this objective.’’

    He called on the participants at the conference to give it all the necessary seriousness it deserves.

    “All hands should be on deck to ensure the success of the conference, as I have no doubt that the outcome will significantly strengthen your association in attaining its statutory mandates.

     

    “This will provide a conducive environment for the maintenance of industrial peace and harmony which is a catalyst for socio-economic growth of our nation,’’ Ngige said.

     

    In his message, Gov. Aminu Tambuwal of Sokoto State, represented by the Secretary to the State Government, Prof. Bashir Garba, commended NARTO for selecting the state for the meeting.

    Tambuwal called on the association to continue to focus on modern and latest means of transportation of goods and services across the country.

     

    “The transport sector been a crucial sector that played important role in the movement of goods and services; hence the need to focus more on modern system to be fully sustainable.

     

    “It is in view of this that the Sokoto State Government formed a committee to look into the activities of NARTO and the National Union of Road Transport Workers (NURTW) in the state, ‘’ he said.

     

    Earlier the President of NARTO, Alhaji Kassim Bataiya, commended the efforts of the Federal Government in the area of road construction in many parts of the country.

     

    Bataiya called for the dualisation of Makera-Kontagora-Yauri-Jega-Sokoto Road and upscaling of the security arrangement on Birnin Gwari-Kaduna Road to stop the incessant kidnapping of people on the road

  • NARTO warns tanker drivers against aiding fuel smuggling

    NARTO warns tanker drivers against aiding fuel smuggling

    The National Association of Road Transport Owners (NARTO) in Ibadan, the Oyo State capital, has warned Petroleum Tanker Drivers (PTD), a branch of Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), against conniving with  petroleum products smugglers, noting that anyone caught doing so would face the consequences.

    The body urged the National Assembly to not scrap the Petroleum Equalisation Fund (PEF), warning  that this would worsen fuel distribution crisis across the country.

    In his address at the PTD Branch Executive Council meeting,     NARTO President, Alhaji Kassim Bataiya, insisted that the role of PEF in fuel distribution was vital.

    Bataiya said: “We cannot overemphasise the important and invaluable contribution of the Petroleum Equalisation Fund to the availability and accessibility of Petroleum products at the government approved prices to every citizen wherever they are residing.

    ”In fact, it would have been extremely difficult, if not practically impossible, for citizens in far Northwest, Northeast and some interior places in the Southwest, east and even Southsouth to have access to petroleum products and buy it at the approved prices, if Petroleum Equalisation Fund had not been in existence.”

    “So, we want to use this opportunity to say it will be rather unfortunate if the statement is true, considering the pivotal roles of PEF in the effective and efficient distribution of petroleum products in the country. We earnestly urge Senator Marafa and members of the National Assembly to rethink this matter to avoid worsening and compounding fuel distribution crisis in the country.”

    Bataiya also called on drivers not to allow themselves to be used by smugglers of petroleum products.

  • NARTO, PTD warn against products diversion

    NARTO, PTD warn against products diversion

    THE National Association of Road Transport Owners (NARTO) and Petroleum Tanker Drivers (PTD) have pledged to throw their weight behind Nigerian National Petroleum Corporation (NNPC) in its efforts to rid the hiccups being experienced in the supply and distribution of Premium Motor Spirit (PMS), otherwise called petrol.

    NARTO National President, Alhaji Kassim Ibrahim Bataiya and PTD National Chairman Comrade Salimon Oladiti, spoke on Wednesday in Abuja at a meeting of stakeholders on the challenges of products supply and distribution.

    Chairman, House of Representatives Committee on Petroleum Resources Downstream Joseph Akinlaja led the unions to the NNPC Towers.

    Bataiya and Oladiti, in a statement by Group General Manager, Group Public Affairs Division of NNPC, Mr. Ndu Ughamadu, said their focus was to put an end to the hardship being experienced by Nigerians at fuel stations across the country.

    “We are transporters and we know how many litres we have been moving across the country. If anybody is found guilty of moving products out of this country or to any unauthorised locations within, even if they are our members, we would not only disown them, but also exposed them,” Bataiya said.

    Lauding the efforts of the NNPC Group Managing Director (GMD) in making products available to the citizens, the NARTO National President gave the assurance that its union members would make available trucks to deliver products to any designations at any given time.

    Oladiti condemned the activities of some unpatriotic citizens, who are involved in smuggling products out of the country and thus subjecting Nigerians to hardship.

    He called on stakeholders to join hands in addressing the issues of tanker hijacking, vandalism and smuggling, among others.

    On his part, Akinlaja expressed confidence with the outcome of the meeting.

    He added that with the commitment of critical stakeholders like NARTO and PTD, the end to the problem being experience in products distribution is very much in sight.

    NNPC Group Managing Director Dr. Maikanti Baru hailed the support of critical stakeholders like the House of Representatives, NARTO and PTD in addressing the challenges of products supply nationwide.

  • NARTO, tanker drivers praise Baru

    NARTO, tanker drivers praise Baru

    The Nigerian Association of Road Transport Owners, NARTO, and the Petroleum Tankers Drivers branch of the National Union of Petroleum and Natural Gas Workers, NUPENG, have commended the Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Dr. Maikanti Baru, for ensuring seamless supply and distribution of petroleum products across the country.

    Speaking during a visit to the GMD by the associations, the NARTO President, Alhaji Kassim Ibrahim Bataiya, and Chairman of PTD, Chief Otumba Oladiti, were unanimous in their views that fuel supply and distribution matrix had improved under Dr. Baru’s watch.

    According to Alhaji Bataiya, never in the history of the NNPC did the country record such an achievement which has brought about uninterrupted supply of petroleum products nationwide due to the various strategic measures undertaken by the GMD.

    NNPC Group General Manager, Group Public Affairs Division, Ndu Ughamadu disclosed this in statement yesterday.

    The statement quoted Bataiya as saying that “Petroleum products scarcity has now disappeared from our filling stations. In fact, the retail price of the product has also come down from N145 per litre to N143 per litre. You have also extended considerable assistance to transporters by allocating Automotive Gas Oil, (AGO), at subsidized prices to enable them keep their trucks on the road.”

    The NARTO President also thank Dr. Baru for the settlement of their freight bills of about N80 billion owed by the Petroleum Equalization Fund, PEF, Management Board.

    PTD Chairman, Chief Otumba Oladiti, while re-echoing the zero fuel queue strides of the GMD, noted that the sanity brought to bear on the fuel supply and distribution by Dr. Baru should be extended to the refineries said to be scheduled for rehabilitation.

    While urging the GMD and the NNPC Management to remain focused on their mandate to the country, Chief Oladiti assured Dr. Baru of the tanker drivers’ due support.

    Responding, Dr. Baru thanked the members and leadership of the associations for their kind words, noting that his team would do all it could to remain focus