Households across the country are facing tough times as the price of Liquefied Petroleum Gas (LPG), popularly known as cooking gas, has surged to ₦25,000 for a 12.5kg cylinder up from ₦17,500 just last week.
Market checks by Vanguard revealed that the retail price of 1kg of cooking gas now ranges between ₦1,500 and ₦2,000, depending on the area.
According to the Executive Secretary of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), Mr. Bassey Essien, the ongoing supply crisis was triggered by recent industrial action by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
He explained that the strike action disrupted distribution nationwide, particularly affecting supply from the Dangote Petroleum Refinery, which currently serves as the country’s largest domestic producer of LPG.
“The distribution crisis caused by PENGASSAN’s strike affected dealers’ ability to restock,” Essien told Vanguard. “What we are witnessing now is purely a demand and supply issue. Demand for LPG is higher than the available supply, though we expect stability soon following the resolution of the labour dispute.”
Investigations also showed that several gas plants in Lagos and neighbouring states were forced to shut down due to lack of product, leaving consumers to move from one location to another in search of gas.
Aliko Dangote, President of the Dangote Group, had earlier revealed that the refinery currently produces around 2,000 tonnes of LPG daily, with plans to expand output to meet domestic demand.
Expressing concern over Nigeria’s worsening energy poverty, Dangote said:
“If distributors continue to inflate prices, we may have to sell directly to consumers to encourage the switch from firewood or kerosene to LPG for cooking.”
Before the Dangote Refinery’s entry into the market, the Nigeria LNG Limited (NLNG) had been the primary domestic supplier of LPG. The company reaffirmed its commitment to boosting supply in a recent statement obtained by Vanguard.
“At NLNG, we remain dedicated to providing clean and reliable energy for Nigerian homes. Since 2007, under our Domestic LPG (DLPG) programme, we have been supplying Butane commonly known as cooking gas across the country,” the company said.
NLNG further disclosed that in 2022, it committed 100% of its Butane production to the domestic market.
“We supply our off-takers through approved coastal LPG terminals in Lagos and Rivers States, with additional terminals under review in Delta and plans to expand further. We’ve also chartered a dedicated vessel to ensure consistent and efficient distribution,” the company added.
The company said these measures are aimed at making cooking gas more available, accessible, affordable, and acceptable nationwide.
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