The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) has called on the Federal Government to provide a N100 billion grant to prevent the closure of approximately 10,000 fuel retail outlets nationwide.

In a position paper jointly signed by PETROAN President Billy Harry, National Secretary Adedibu Aderibigbe, and National PRO Joseph Obele, the association highlighted the financial strain on its members following the removal of the fuel subsidy.

According to the group, high interest rates of 38–40% on bank loans have made it nearly impossible for members to purchase petroleum products, threatening their businesses and the stability of fuel supply chains.

“To make petroleum products affordable, borrowing costs must be reduced,” the statement read. “These high costs eventually reflect in the pump price of fuel, burdening consumers.”

PETROAN proposed that the Federal Government deposit N100 billion as operational capital in the Africa Energy Bank (AEB) to provide downstream sector players with access to loans at a single-digit interest rate of no more than 9%.

“This is not free money but a structured support system to help us stay in business while contributing to economic growth,” PETROAN explained. “Accessing funds at 9% interest will directly reduce pump prices and ease the financial burden on Nigerians.”

The association further urged the government to domesticate the AEB in Nigeria, enabling downstream operators to secure affordable financing and stabilize operations in the sector.

PETROAN emphasized that without immediate intervention, the survival of numerous retail outlets and the broader fuel distribution network is at risk, potentially worsening the economic challenges facing the nation.