… as Customs/NSA Operation Whirlwind seizes 150,950litres of smuggled petrol worth N105m in 2 weeks
…. NMDPRA confirms unexplained shifts in petrol evacuation patterns in Borno, Sokoto other border states
In recent weeks, Nigeria has witnessed a notable increase in the smuggling of Premium Motor Spirit (petrol), with the product being illicitly transported to neighbouring West African countries where it commands prices as high as N1,700 per litre.
This was confirmed by the Nigeria Customs Service, affirming that while petrol is priced at approximately N701 per litre in Nigeria, it sells for an average of N1,787 per litre in countries like Benin and Cameroon.
Recent data from the Nigerian Midstream and Downstream Regulatory Authority (NMDPRA) between April and May 2024 also revealed substantial changes in petrol evacuation patterns in border states, which is not supported by corresponding economic and demographic changes.
Advisors Reports confirmed that the price disparity between Nigeria and its neighbouring countries has fueled this illegal trade.
Adewale Adeniyi, Comptroller-General of the Nigeria Customs Service, confirmed this latest development during a media interaction in Yola, Adamawa State, on Monday.
According to him, in recent weeks, petrol in Nigeria has been priced at approximately N701 per litre, significantly lower than the average rates in neighbouring countries.
He said, “In the Republic of Benin, petrol sells for an average of N1,672.05 per litre, and in Cameroon, it averages N2,061.55 per litre, as confirmed by the Nigeria Customs Service.
Adewale Adeniyi, Comptroller-General of the Nigeria Customs Service, revealed that the agency has recently launched Operation Whirlwind.
He added that the initiative, conducted under the auspices of the Office of the National Security Adviser, aims to curb the resurgence of smuggling activities.
The Comptroller-General of the Nigeria Customs Service said, “Our visit to Adamawa is to update members of the public on the strategic efforts of the Nigeria Customs Service in addressing the critical issue of fuel smuggling through the recently launched Operation Whirlwind, under the auspices of the Office of the National Security Adviser.
“About a year ago, the Federal Government made the bold strategic decision to remove the fuel subsidy. This crucial step was aimed at freeing up substantial funds that could be redirected to other productive sectors of the economy, reducing pressure on our foreign exchange reserves, and diversifying economic growth.
“The immediate impact was an upward adjustment in fuel prices to reflect current realities. Despite the inflationary pressures and financial strain on households, particularly those with lower incomes, comparative studies still show that fuel prices in Nigeria remain the cheapest compared to other countries in the West and Central African region,”
“While PMS is sold at an average of N701.99 in Nigeria, it is sold at an average of N1,672.05 in the Republic of Benin and N2,061.55 in Cameroon. In other countries around the region, the price of PMS ranges from N1,427.68 in Liberia to N2,128.20 in Mali, averaging N1,787.57, according to the fuel price data obtained from open source.”
“The (NMDPRA) report shows significant changes in evacuation patterns that are not justified by corresponding economic and demographic changes, particularly in border states that share contiguous borders with our neighbours.
“Between April and May 2024, Borno and Kebbi states recorded 76 and 59 per cent increases in evacuations, ranking among the top three states. On a year-on-year basis (May 2023 and May 2024), Sokoto and Taraba states recorded the most substantial increases in evacuations, with 247 and 234 per cent increases, respectively.
“Border states like Katsina and Kebbi also recorded more than 50 per cent increases in evacuation. These discrepancies, along with the price disparity between domestic PMS (N701.99) and neighbouring countries (N1,787.57), raise concerns about the actual delivery of PMS and the potential for smuggling.”
“In response to the alarming increase in fuel smuggling, the NCS in close collaboration with the NSA initiated Operation Whirlwind.
This nationwide operation aims to:
a. Ensure that Nigerians enjoy the full benefits of fuel price deregulation in line with the vision of President Bola Tinubu.
“b. Defend the national currency and reduce pressures that may be attributed to the activities of smugglers.
c. Identify, dismantle and disrupt cartels of smugglers operating within the ecosystem.
d. Raise awareness of the local communities and solicit their support to achieve these objectives, “the Customs boss said.
Adewale Adeniyi, Comptroller-General of the Nigeria Customs Service, reported that within just two weeks of launching “Operation Whirlwind,” the agency conducted a relentless operation that resulted in the interception of a total of 150,950 litres of Premium Motor Spirit (PMS), valued at N105,965,391, across various locations nationwide.
Notably, on Friday, May 31, 2024, a tanker carrying 45,000 litres of PMS was seized in Mubi, Adamawa State.
He detailed further actions, stating that on Saturday, June 1, 2024, another 45,000 litres of PMS in a tanker were also confiscated in Mubi, Adamawa. Between Monday, June 3, 2024, and Friday, June 7, 2024, the Customs Service seized 92,928 litres of PMS in various sizes of jerry cans at different locations in Adamawa State, as well as in Illela, Sokoto, and Agbaragba Creek in Mfum border, Cross River State.
Additionally, the CGC noted significant seizures of 129,185 litres of PMS from individuals engaged in unpatriotic activities aimed at depriving Nigerians of fuel access and causing undue hardship.
