The Nigerian Association of Road Transport Owners (NARTO) has issued a key ruling affecting petroleum transportation throughout the country. The association said that all of its members would discontinue petroleum truck loading activity on Monday, February 19, 2024.
This decision followed NARTO’s request that oil marketers reconsider freight charges. Despite the government’s deregulation of the downstream sector, which gives private companies responsibility over petroleum product prices, NARTO expressed concern with oil marketers’ reluctance to alter rates.
In a letter dated February 15, 2024, to the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), NARTO claimed severe economic conditions as the key reason for their inability to continue operations. The association emphasised its multiple attempts to engage parties in talks for appropriate freight rates, including the Major Energies Marketers Association of Nigeria, all of which achieved no beneficial results.
“We are deeply constrained to seek the support and understanding of your Union and members towards the excruciating challenges petroleum truck owners are facing with the high operational costs in the industry,” the statement reads.
“As you are already aware of several efforts we have made to secure negotiations for appropriate and commensurate freight rates for our operations from all conceivable authorities concerned in the industry, most especially the Major Energies Marketers Association of Nigeria, we have received no positive responses from them.
“We have no other option but to write to inform you that the NARTO National Executive Council (NEC) has resolved to direct all our members not to make their petroleum trucks available for petroleum product loading activities with effect from Monday, February 19, 2024.
There is definitely no way we can continue in this business within the context of the current economic situation in the country,” NARTO stated.
Follow the AkweyaTV channel on WhatsApp: https://whatsapp.com/channel/0029Va7m7dvJuyA7h5XMc22i