NARTO Urges Minister to Address Challenges Threatening Petroleum Distribution

The National Association of Road Transport Owners (NARTO) has called on the Minister of State for Petroleum, Heineken Lokpobiri, to urgently address challenges facing the transportation of petroleum products across the country.

In a letter dated February 6, 2024, NARTO President Yusuf Lawal Othman warned that rising operational costs, low freight rates, and the Lagos State government’s proposed truck e-call-up system threaten to disrupt product distribution and harm the nation’s economy.

Key Challenges Highlighted:

• Decreasing revenue: Transporters are struggling with high inflation and economic pressures, leading to dwindling profits and potential business closures.
• Lagos e-call-up system: The proposed system would add a N15,000 fee per truck, further straining transporters’ finances.
• Additional state charges: Lagos, Ogun, and Oyo states already charge N180,000 per truck for breakdowns or parking on highways, adding to the financial burden.

NARTO’s Appeal:

• Othman urged the Minister to intervene and find a balanced solution that protects all stakeholders.
• He requested the Minister to engage with the Lagos State government and other authorities to:
  • Reevaluate the proposed e-call-up system and associated fees.
  • Collaborate on tackling the underlying problems affecting the transportation industry.

    

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Potential Consequences of Inaction:

• Disruption in petroleum product distribution, impacting the nation’s social and economic well-being.
• Energy security threats due to unreliable transportation.
• Livelihoods of countless individuals dependent on the transport industry at risk.

NARTO’s appeal highlights the critical role of the transportation industry in ensuring energy security and economic stability. The Minister’s intervention is crucial to address the challenges faced by transporters and ensure the smooth distribution of petroleum products nationwide