Relief as New Cooking Price Emerges, Supply Improves Nationwide
- Cooking gas prices have dropped to between N1,100 and N1,650/kg due to improved supply
- Lower depot prices and increased competition ease market pressure on consumers
- The price decline comes after cooking gas surged to as high as N2,400/kg between May and June
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The price of cooking gas, otherwise known as Liquefied Petroleum Gas (LPG), has finally started to reduce in various parts of the country due to better supply and reduced prices in depots.
Findings show that cooking gas is now sold at between N1,100 and N1,350/kg in Lagos, Ibadan, and Abeokuta.
Source: UGC
Consumers in Port Harcourt, Warri, and Benin City pay between N1,150 and N1,400/kg. While in Onitsha and Enugu, retailers charge between N1,200 and N1,450/kg, while consumers in Abuja pay between N1,250 and N1,500/kg depending on location and retailer.
Cooking gas price changes
Punch reports that in places like Kano and Kaduna, the price is between N1,300 and N1,550/kg, while Maiduguri and other parts of the North-East remain the highest with a price range of N1,350 to N1,650/kg.
The National President of the Nigerian Association of Liquefied Petroleum Gas Marketers, Edu Inyang, confirmed the price now averages between N1,100 and N1,650 per kilogramme.
The decrease in prices is the first major drop after months of high cooking gas prices, during which the product had risen sharply between May and June due to supply constraints and higher depot prices, reaching an all-time high.
With the current market price, it now costs between N5,500 and N8,250 to refill a 5kg gas cylinder, and N6,600 to N9,900 for a 6kg cylinder. A standard 12.5kg gas cylinder refill will range from N13,750 to N20,625.
In addition, a gas retailer in Abuja said the increase in product availability has brought about better competition.
The inflow of the product has increased, and retailers are now competing for sales, which has pushed down the price,” the retailer stated.
Source: Getty Images
Price falls from N2,400/kg to N1,000/kg
Before the reduction, the price of cooking gas had risen from about N1,000/kg at the beginning of the year to over N2,400/kg between May and June due to a supply shortage and higher depot prices.
Leadership reports that the federal government then intervened, warning against hoarding and illicit activities as regulators increased the import of gas.
FG orders arrest of market manipulators
Legit.ng had earlier reported that the Federal Government ordered security agencies to crack down on persons and businesses suspected of engaging in activities that are driving up the cost of LPG.
The government warned that it would not tolerate practices that create artificial shortages or push prices higher, stressing the need to ensure cooking gas remains accessible and affordable for Nigerians.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) had been instructed to strengthen monitoring of the LPG market to curb unfair practices.
Source: Legit.ng
