The price of cooking gas in Nigeria has soared to N1,500/kg, significantly impacting consumers. Managing Director of NIPCO Plc, Suresh Kumar, highlighted the need for increased local production and urged the government to encourage companies to convert propane to butane. Domestic refineries may help stabilize prices in the future.
The price of cooking gas in Nigeria has surged to N1,500 per kilogram, causing significant concern among consumers who heavily rely on Liquefied Petroleum Gas (LPG) for their daily cooking needs. As of October 14, retail prices in Ogun and Lagos states have reached this new high, with the cost to refill a 12.5 kg cylinder in Abuja increasing by 41.6% to approximately N17,000.
Suresh Kumar, the Managing Director of NIPCO Plc, addressed this issue during the recent National Conference of the Nigerian Association of Liquefied Petroleum Gas Marketers held in Lagos. He noted that over 60% of Nigeria's cooking gas is imported and emphasized that local production is insufficient to meet demand. Kumar urged the Federal Government to incentivize companies like Chevron to convert more of their propane output into butane for domestic use, as less than 40% of the 1.5 million metric tonnes of LPG consumed in the country is produced locally.
Looking ahead, Kumar expressed optimism that the emergence of domestic refineries, particularly the Dangote refinery, could stabilize prices by increasing local LPG production. He asserted that reducing dependence on imports would help shield consumers from foreign exchange fluctuations and international pricing dynamics, ultimately making cooking gas more affordable for Nigerians.
