Dealers Crash Cooking Gas Prices by 39% Nationwide, Fresh Depot Rates Emerge
- Cooking gas prices are swinging nationwide, with prices fluctuating in several parts of the country despite improved supplies
- While some dealers have reduced cooking gas prices by as much as 39%, depot prices are rising in Lagos and other parts of the country
- Checks show that cooking gas prices fell from a high of N2,000 in April and May to about N1,100 per kilogramme, a huge relief for Nigerian households
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The price of cooking gas has dropped sharply across Nigeria, offering much-needed relief to households struggling with rising food and energy costs.
The price of Liquefied Petroleum Gas (LPG), popularly known as cooking gas, has fallen by about 39 per cent nationwide to between N1,100 and N1,650 per kilogramme, following an increase in supply.
Source: Getty Images
The development comes after Federal Government interventions helped extend national LPG availability from 11 days to 22 days.
Daily domestic supply also increased significantly, rising from 4,262 metric tonnes in May to 5,040MT in June.
Cooking gas prices tumble in Lagos, Ibadan
The increased availability has translated into lower prices for consumers in some major cities.
In Lagos and Ibadan, households can now purchase cooking gas for between N1,100 and N1,350 per kilogramme.
This represents a significant drop from the peak of about N2,300 per kilogramme recorded in June, when soaring LPG prices placed additional pressure on household budgets.
The decline could provide some breathing space for families that had been forced to reduce their gas consumption or switch to alternative cooking fuels because of high prices.
However, industry stakeholders say keeping prices at these lower levels will require sustained investment and coordinated government action.
NLNG seeks more support for LPG sector
Adeleye Falade, Managing Director of Nigeria LNG Limited (NLNG), said maintaining the price reduction would depend on collaboration between the Federal Government, regulators and industry operators.
Falade spoke when he led an NLNG delegation to meet President Bola Tinubu at the State House in Abuja.
He said Nigeria must expand domestic LPG supply while improving storage and distribution infrastructure to make cooking gas more affordable and accessible to households.
“Improving LPG accessibility is important to Nigeria’s energy transition and to the wellbeing of millions of Nigerian households,” Falade said.
The NLNG chief also called for action on the multiple taxes, levies and regulatory charges imposed by different government agencies and levels of government.
According to him, these charges increase operating costs, create uncertainty for businesses and could discourage fresh investment in the LPG industry.
Source: Getty Images
Falade reaffirmed NLNG’s commitment to supporting Nigeria’s domestic LPG market and aligning its activities with the Federal Government’s development agenda.
Lagos LPG depot prices begin rising
Despite the sharp decline in retail prices, pressure is beginning to emerge at the wholesale level.
LPG depot prices in Lagos have reportedly increased in recent days, with some operators adjusting their rates amid concerns over higher international crude oil prices.
Data from PetroleumPriceNG showed that AYM Shafa was selling LPG at about N1,050 per kilogramme, while Ardova Plc was listed at N975.
NIPCO Lagos and 11Plc were both pegged at around N980 per kilogramme.
The development could become important for consumers because changes in depot prices often filter through the supply chain, affecting distributors, retailers and eventually households.
Cooking gas price rises in Abuja, Lagos depots react
Legit.ng earlier reported that Abuja residents are grappling with soaring cooking gas prices, with rates now touching N1,650 per kilogramme as global crude oil prices continue to spike.
As households face this financial strain amid rising living costs, the urgency for government intervention becomes ever more pressing, leaving many to wonder when relief might finally arrive.
Source: Legit.ng
