The Depot and Petroleum Products Marketers Association of Nigeria says most fuel depot operators have been forced out of business as the Nigerian National Petroleum Company, NNPC begun the sole merchant of imported fuel in recent years.
DAPPMAN Chairman and Managing Director of Northwest Petroleum and Gas Company Limited, Winifred Akpani noted that about 30 per cent of the operators were still in business.
Akpani, who spoke during the Nigeria Petroleum Downstream Consultative Summit held online, said most of them are in one problem or the other with banks and the Asset Management Corporation of Nigeria.
She noted that in the past few years, there were a lot of investments in depot construction across the country because opportunities presented themselves for people to make such investment.
According to Akpani, on the average, a depot costs between 3 billion naira to 5 billion naira, adding that some operators who were able to make subsequent investments into retail, haulage, marine vessels and pipelines, among others, had been able to continue to operate.