Cooking gas prices in Nigeria have surged dramatically, rising from about N1,000 per kilogramme earlier this year to as high as N2,400 per kilogramme in several regions. This sharp increase is attributed to supply shortages, prompting marketers and depot owners to plan large-scale imports of Liquefied Petroleum Gas (LPG) to boost availability and lower costs for consumers.
Market Response to Price Surge
Recent market checks reveal that the price of cooking gas has more than doubled since the start of the year, placing additional financial strain on households already grappling with high living costs. In response, industry stakeholders are moving to import significant volumes of LPG to address the supply deficit.
The federal government has stated that it is collaborating with industry players to resolve supply challenges while maintaining restrictions on exports to prioritize local consumption. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is working closely with the Nigerian National Petroleum Company Limited (NNPC) and other partners to improve LPG availability.
Local Supply Challenges
Contrary to claims that local producers are favoring exports, insiders indicate that the recent drop in supply from the Dangote Petroleum Refinery is due to increased internal consumption. As the refinery ramps up operations to process about 700,000 barrels per day, it is utilizing more LPG internally, reducing the volume available for the domestic market.
This reduced availability has contributed to the nationwide scarcity. Authorities have reportedly granted approvals for marketers to import additional LPG to stabilize the market.
Government and Marketer Interventions
Louis Ibah, spokesman for the Minister of State for Petroleum Resources (Gas), confirmed that marketers have committed to importing larger quantities of LPG. He stated, “Marketers are stepping up their efforts and have committed to importing larger volumes of LPG, ensuring that supply meets demand in the weeks ahead for domestic consumers.”
Ibah added that the gas minister has directed the NMDPRA to intensify efforts to resolve supply bottlenecks and guarantee uninterrupted cooking gas supply across the country. The Dangote refinery has also been encouraged to prioritize LPG supply to the domestic market.
Consumer Impact and Relief Efforts
Edu Inyang, National President of the Nigerian Association of Liquefied Petroleum Gas Marketers, confirmed plans by depot owners to import substantial LPG volumes. He said, “The depot owners have confirmed to us that they are planning to import enough LPG.”
Despite these efforts, many Nigerians continue to face high prices and limited availability of cooking gas. In some communities, consumers have reverted to using firewood and charcoal due to the soaring cost of LPG. The federal government has reiterated that restrictions on LPG exports remain in force and are being enforced by the NMDPRA.
