The price of Liquefied Petroleum Gas (LPG), otherwise known as cooking gas, has risen by 17 percent in October 2023 as the 12.5kg now sells at N10,250 from N8,500 recorded in August 2023.
This is even as the price of 1 Kg rose by 11 percent to N900 from N800 while 3kg rose by 18 percent to N2,500 from N2,050.
Meanwhile, operators are projecting a further rise by 43 percent to N1, 500 per kg if adequate measures are not put in place to achieve supply stability in the domestic market.
President, National Association of Liquefied Petroleum Gas Marketers (NALPGAM), Mr. Oladapo Olatunbosun, said that the huge gap in policy clarity among other issues are creating operational challenges.
According to him, “We are appealing to the Federal Government to provide incentives to the LPG investors to make the price affordable. Similarly, our union believes that the incessant rise in LPG price would be contained if more storage facilities are built by the major marketers and off-takers.
“As of today, 20 million metric tons is N14 million, and there is an attempt by the gas tank farm owners and offtakers to increase the price far above what the marketers can afford.
“Some importers were selling 20 million metric tons of cooking gas at N14 million after receiving the product from local producers at less than N8 million. We equally think that both states and federal governments should intervene in the way of building depots and maintaining the existing ones built by the federal government.”
He also appealed to the Nigerian Liquefied Natural Gas (NLNG) to increase its production capacity to meet the rising demand of LPG, adding that we believe that if NLNG transacts with their local LPG marketers in local currency that it would go a long way in reducing and of course stabilize the price.
“Already, the poor are going back to the traditional cooking energies which are detrimental to their health and the ecosystem,” he said.