Nigerian govt unveils measures to boost LPG supply, ease rising cooking gas prices

Nigeria's federal government is implementing a series of measures to combat the recent sharp increase in Liquefied Petroleum Gas (LPG) prices and to improve its availability across the country. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) announced these steps following an emergency meeting with industry stakeholders.

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The Federal Ministry of Petroleum Resources has convened an emergency stakeholders’ engagement to address the recent increase in Liquefied Petroleum Gas (LPG) prices and develop coordinated measures to improve supply, affordability and market stability across the country.

The meeting brought together key figures from government, regulatory bodies, producers, marketers, and industry associations. Their objective was to identify the root causes behind the escalating LPG prices and to devise practical solutions for strengthening the entire gas supply chain. This initiative comes at a time when cooking gas prices have surged dramatically, with LPG costing around N2,000 per kilogram in Lagos and over N1,600 per kilogram in Abuja, a significant jump from previous weeks.

This price hike has intensified concerns among marketers regarding worsening supply shortages and rising operational expenses, further straining household budgets amid the country's cost-of-living crisis. Patience Oyekunle, the Permanent Secretary of the Ministry of Petroleum Resources, emphasized LPG's critical role as an energy source for households and its importance in Nigeria's energy transition agenda. She highlighted the added pressure on family finances and the cost of essential goods, stressing the need for collective action to ensure access to affordable cooking gas.

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The rise in LPG prices is placing additional pressure on household budgets and increasing the cost of essential goods and services, underscoring the need for coordinated action to improve access to affordable cooking gas.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, conveyed President Bola Tinubu's concern over the impact of rising LPG prices on Nigerians. He stated that the President has directed relevant agencies to take proactive steps to resolve the situation. Ekpo underscored that efforts to boost supply must be complemented by efficient logistics, robust infrastructure, and transparent pricing mechanisms to ensure that consumers benefit from these interventions. Rabiu Umar, the Chief Executive of the NMDPRA, acknowledged that high landing costs remain a significant factor influencing LPG prices but expressed optimism that ongoing efforts would alleviate market pressures soon. The authority is actively collaborating with producers and stakeholders to increase domestic supply, enhance market oversight, and improve product availability.

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President Bola Tinubu is concerned about the impact of rising LPG prices on Nigerians and has directed relevant agencies to take proactive measures to address the situation.