The Federal Government has expressed outrage over the sharp increase in cooking gas prices, despite recent efforts by the Dangote Refinery to make the product more affordable.
Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, has directed the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to intensify monitoring of gas depots nationwide. The move aims to curb hoarding and price manipulation by marketers amid widespread complaints from consumers.
The development follows public outcry after the price of Liquefied Petroleum Gas (LPG) — commonly known as cooking gas — surged from around ₦1,000 per kilogram to nearly ₦2,000 in some states, even after the suspension of the recent strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
According to Ekpo, the temporary price spike was caused by two major disruptions: the PENGASSAN strike, which halted LPG loading at the Dangote Refinery, and ongoing maintenance work at Nigeria LNG’s Train 4 plant, which reduced domestic supply.
“The combination of these factors created a shortfall in supply, pushing prices up. However, with operations resuming at the Dangote Refinery and maintenance at NLNG almost completed, we expect the market to stabilise and prices to drop soon,” the minister assured in a statement signed by his spokesperson, Louis Ibah.
Ekpo also revealed that Seplat Energy’s Bonny River Terminal had started loading gas to boost supply. He urged marketers to act responsibly and desist from exploiting consumers, warning that the government would not tolerate hoarding or other sharp practices.
However, retailers have dismissed claims that they are responsible for the rising prices. The Chairman of the Liquefied Petroleum Gas Retailers under the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), Ayobami Olarinoye, argued that the real issue lies in inadequate supply rather than hoarding.
He explained that while the Dangote Refinery sells LPG to major distributors at about ₦715,000 per metric tonne, some off-takers resell it at ₦18.5 million per 20,000 metric tonnes, far above the refinery’s price.
“No retailer can hoard gas; our storage capacity is limited. The problem is supply, not greed,” Olarinoye said, urging the government to investigate why some major marketers are no longer sourcing gas from Nigeria LNG.
He also called on the Tinubu administration to resolve the lingering issues between the Dangote Refinery and labour unions to ensure a consistent flow of products to the market.
Meanwhile, the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) has blamed the price surge on “unscrupulous operators” taking advantage of temporary shortages. Its president, Oladapo Olatunbosun, said there has been no official increase in the price of cooking gas but condemned marketers exploiting supply gaps for profit.
As of Monday, cooking gas prices remained high in parts of Lagos and Ogun, forcing some households to turn to firewood and charcoal as cheaper alternatives.
The government, however, has assured Nigerians that supply will normalise within days as operations at key facilities return to full capacity.
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