Cheaper petrol prices in Nigeria major cause of smuggling to neighbouring countries

Monday, November 25, 2024 -Nigeria’s Premium Motor Spirit, also known as petrol, is reportedly being smuggled to neighbouring countries as it is still 58 per cent cheaper than what is obtained in neighbouring countries.

As at press time, petrol in the Republic of Benin, costs Ceffa 600 per litre, an equivalent of $0.97 or N1649 per litre.

In Ghana, the product sells for Ghc 14.35 per litre (Super xp), an equivalent of $0.90 or N1, 530 while it costs D77.89 per litre in The Gambia, an equivalent of $1.09 or N1, 853 per litre.

According to new reports,  smugglers use waterways, borders, bottles, cans, and land borders to conduct large numbers of illegal business involving petroleum.

The Public Relations Officer, Nigeria Customs Service, Abdullahi Maiwada, speaking to Vanguard news. said petrol smuggling has continued, adding that more than 10 trucks were seized between June 2024 and the present through the efforts of Operation Whirlwind, “established to combat petroleum product smuggling and diversion in Nigeria.

The Customs stated: “Between June 2024 and now, we have seized over 650,000 litres of PMS which include more than 10 trucks about to be smuggled to neighbouring countries. We have sealed 17 retail outlets that were involved in aiding and abetting PMS smuggling.

“In terms of the value of seizures, the duty paid value is estimated to be around N700 million. The seizure was recorded across the border areas of Adamawa, Akwa-Ibom, Cross River, Kebbi, Lagos, Ogun and Sokoto states respectively.

“We observed a lot of smuggling activities, product diversion, smuggling of refined products and illegal bunkering around Zone C axis which covers South-South and South-East due to the nature of the terrain, limited manpower and logistics challenges.”

“Operation Whirlwind has made significant strides in combating petroleum product smuggling and diversion in Nigeria. Special Operations continues to face challenges and requires support from stakeholders. By strengthening collaboration, improving intelligence sharing, and enhancing enforcement efforts, Operation Whirlwind can contribute to a more secure and sustainable energy sector in Nigeria.”