Cooking gas: Marketers plan massive imports after 140% price surge

The price of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, has skyrocketed in Nigeria, with prices increasing by about 140% in many areas. Consumers are now paying as much as N2,400 per kilogram, a stark contrast to the average of N1,000 per kilogram observed in January and February.

In response to the crisis, marketers are preparing for substantial imports of cooking gas to alleviate the scarcity and bring prices down. Industry sources indicate that the regulatory authority is issuing import licenses, a move necessitated by the inability of local producers to meet the growing domestic demand.

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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.

One factor contributing to the supply shortage is a reported decline in LPG supply from the Dangote Petroleum Refinery. Contrary to speculation about exports, sources familiar with the refinery's operations state that the reduced supply is due to the refinery's internal utilization to enhance its petroleum production capacity, especially amid higher global fuel demand.

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Nigerians should rest assured that the Minister of State Petroleum Resources (Gas), Dr Ekperikpe Ekpo, is actively addressing all issues affecting the production, distribution and supply of LPG in the country.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is actively collaborating with the Nigerian National Petroleum Company Limited and other stakeholders to boost LPG availability. Louis Ibah, spokesperson for the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, confirmed that marketers have committed to importing larger volumes.

Minister Ekpo has mandated the NMDPRA to address supply challenges and ensure uninterrupted gas availability for domestic use. He has also urged the Dangote refinery to prioritize supplying the local market. Nigerians have been assured that the minister is actively working on all issues affecting the production, distribution, and supply of LPG.

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The minister has mandated the NMDPRA to work with stakeholders to resolve supply challenges and ensure uninterrupted availability of gas for domestic use.