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Gas marketers have raised concerns about the scarcity of Liquefied Petroleum Gas (LPG), otherwise known as cooking gas, and rising prices, which have risen to as high as ₦1,500 per kg from about ₦1,300 per kg, depending on the area.
A press statement by the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) on Sunday drew the attention of the Federal Government, government agencies, industry regulators, importers, LPG producers, depot owners, LPG consumers, and the general public to what they described as “the erratic supply and hike in price” of cooking gas across the country.
According to them, while prices have gone as high as N1,500/kg, they are forced to pay as much as N25,200,000, or N26,200,000 for 20MT of cooking gas, depending on location.
“It is sad and rather very pathetic to inform the general public that the citizens of Nigeria have woken up to buy cooking gas, which should be a social item at a prohibitive cost of over N1,500per kg, while the Marketers are made to pay as much as N25,200,000, or, depending on location, N26,200,000 for 20MT of cooking gas.
“We feel that if the situation is not immediately checked, the citizens may rise against the owners of gas filling stations.
“This sad situation has brought untold hardship to millions of Nigerian households, small businesses, food vendors, and low-income families who rely on LPG for daily cooking and livelihood.
“It is rather worrisome to state that this situation is seriously eroding the substantial progress made by the Government on the usage of Clean Energy in the country”.
Residents carry cooking gas cylinders along the Airport Road in Abuja on April 18, 2020. Sodiq Adelakun/Channels TV
NALPGAM noted that its members face challenges in sourcing LPG due to persistent supply shortages, high depot prices, logistics bottlenecks, and uncontrollable rising operational costs.
“We observe that where product is available, it is sold at rates far beyond the reach of average Nigerians.
“NALPGAM hereby observes that the current crisis is undermining years of progress achieved through Federal Government policies, public-private investments, and awareness campaigns aimed at deepening LPG penetration and promoting clean cooking energy as a safer alternative to kerosene, charcoal, and firewood in Nigeria.
“While millions of Nigerians have embraced cooking gas as a result of the national clean energy transition agenda, it is sad to state that those gains are at risk as households are struggling to refill cylinders, small businesses are folding under rising energy costs, while many families are reverting to firewood and charcoal despite the serious implications for public health, environmental degradation, and deforestation”.
On the wider socio-economic implications, the Association warned that if urgent and coordinated actions are not taken immediately, the current crisis could trigger broader consequences, including accelerated food inflation, the collapse of small-scale LPG retail businesses, job losses, reduced investor confidence, and a significant setback to Nigeria’s clean energy and climate commitments.
Call To Action
The Association is calling on the Federal Government, the Ministry of Petroleum Resources, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Nigerian National Petroleum Company (NNPC) Ltd, domestic producers, terminal operators, international suppliers, and all critical stakeholders in the LPG value chain to take urgent, coordinated steps to stabilise the market before it degenerates further.
It called for immediate measures to improve the availability and accessibility of LPG nationwide, increased domestic LPG allocation to the Nigerian market, ensuring transparent and equitable distribution of available supply across regions, reduction of bottlenecks in product importation, storage, and distribution, implementation of strategic interventions to stabilise retail prices, and protection of consumers.
The marketers also called for other measures, such as investment in critical infrastructure, including storage and distribution facilities, and adoption of policies that support affordability, sustainability, and long-term growth of the sector.
NALPGAM reaffirmed its commitment to constructive engagement and collaboration with government agencies, regulators, producers, and other stakeholders to develop sustainable solutions that will guarantee an affordable, stable supply and continued growth of the LPG sector.
“In conclusion, it is apposite to state that “We cannot stand by and watch millions of Nigerian families suffer in silence while access to clean cooking energy becomes increasingly difficult and unaffordable. For years, Government and industry operators have worked to move Nigerians away from unsafe fuels. Those gains are now under serious threat”, the statement added.
