The Federal Government has taken steps to lower the cost of Liquefied Petroleum Gas (LPG), commonly known as Cooking Gas, by addressing challenges related to its Supply and Pricing.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, disclosed in response to a significant increase in the Price of LPG Per Kilogram, rising from approximately N700 to over N1,100 in Regions across the Country.
During a Meeting convened by the Minister at the NNPC Towers in Abuja, attended by key Officials from Chevron Nigeria Limited, the Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA), and the Nigerian National Petroleum Corporation Limited, challenges such as Forex sourcing for Imports and inadequate Supply to the Domestic Market by Producers were identified as factors contributing to the rise in LPG Prices.
Ekpo conveyed President Bola Tinubu’s concerns about the sharp increase in Prices of Cooking Gas and its impact on Citizens. Emphasising Nigeria’s abundant Gas Reserves, he criticised Multinational Firms for prioritising Gas Exports over supplying substantial Volumes to the Domestic Market. He assured of Federal Government’s intervention to address the soaring LPG Prices and challenges associated with Importation and Exportation.
The Minister also established a Committee tasked with delivering the Recommendations reached at the Meeting within a week to enhance Supplies and reduce LPG Prices.
Marketers of Cooking Gas under the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) had last month, accused LPG Terminal Operators of contributing to the high cost of Cooking Gas in the Country. NALPGAM’s President, Oladapo Olatubosun, asserted that the Product’s Price could have remained low, as Terminal Operators obtained it at lower costs from the Nigeria LPG Plant.
He revealed that Terminal Owners acquired the Product at N9m for 20 metric tons and sold it to Marketers at N16.8m per 20 metric tons.
