Dangote Refinery Slashes Cooking Gas Price by N165/kg in 24 Hours, Depots Cut Rates
- Dangote Refinery has cut LPG prices from N950 to N935 per kilogram, marking a N15 decrease
- The price reductions triggered a response from private depots, intensifying competition in the market
- Households are hoping for relief as cooking gas prices remain high amidst elevated living costs
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Dangote Refinery has reduced the price of liquefied petroleum gas (LPG), commonly known as cooking gas, from N950 to N935 per kilogram, marking another price cut within 24 hours.
The latest reduction represents a N15 decrease and brings the refinery’s total LPG price reduction this month to N165 per kilogram.
Source: Getty Images
The development comes as the Lekki-based refinery expands its activities in the downstream petroleum market, including the commencement of petrol deliveries to authorised dealers.
The refinery has also expanded its free logistics programme to four additional states, a move expected to support the distribution of petroleum products and reduce transportation-related costs for some dealers.
Depots respond with lower prices
The latest adjustment has triggered fresh price movements among major private depots, with some operators reducing their rates as competition intensifies across the downstream market.
Data from PetroleumPriceNG showed that NIPCO Lagos was selling LPG at about N960 per kilogram, while Matrix was quoted at N1,030 per kilogram.
PPMC was also listed at about N955 per litre, highlighting the varying prices across different supply points.
The gap between depot and refinery prices could put further pressure on distributors and retailers to review their rates, particularly in areas where transportation costs are relatively low.
Households await relief
The latest cuts come at a time when Nigerian households continue to contend with elevated living costs and the rising expense of essential cooking fuels.
Cooking gas prices have remained a major concern for households that have increasingly shifted away from other cooking fuels. Any sustained reduction in wholesale prices could therefore provide some relief if retailers pass the savings through to consumers.
However, the final pump price paid by households will continue to depend on factors including transportation costs, distribution margins, location and prevailing depot prices.
Source: Getty Images
The latest LPG reduction also underscores the growing competition in Nigeria’s downstream petroleum sector, where refiners, depots and marketers are increasingly adjusting prices in response to changing market conditions.
For consumers, the key question is whether the latest refinery and depot cuts will translate into cheaper cooking gas at retail outlets nationwide, or whether distribution costs will absorb much of the reduction.
Dealers release new cooking gas prices
Legit.ng earlier reported that the price of liquefied petroleum gas (LPG), popularly known as cooking gas, has recorded fresh reductions at some major Nigerian depots, with Dangote Refinery and 11 Plc leading the latest downward movement.
The latest PetroleumPriceNG data shows that Dangote is currently selling LPG at ₦950 per kilogramme, representing a ₦10 reduction, or 1.04 per cent, from its previous rate.
The development places Dangote among the lowest-priced major depots captured in the latest market update and could provide some relief for households and businesses that depend on cooking gas.
Source: Legit.ng
