Nigeria: Cooking Gas Price Falls 39% as LPG Supply Rises

Nigeria's cooking gas price has fallen by 39% nationwide to between N1,100 and N1,650 per kilogramme, after Federal Government interventions raised national Liquefied Petroleum Gas (LPG) supply from 11 to 22 days.

Daily LPG supply, commonly known as cooking gas, also rose from 4,262 metric tonnes in May to 5,040 metric tonnes in June, contributing to the price relief. In Lagos and Ibadan, consumers now pay between N1,100 and N1,350 per kilogramme, down from a peak of about N2,300 per kilogramme in June.

NLNG says relief depends on coordinated action

Nigeria Liquefied Natural Gas (NLNG) Managing Director Adeleye Falade said sustaining the price reduction would require coordinated action from the Federal Government, regulators and industry operators. Falade made the comments while leading an NLNG delegation to meet President Bola Tinubu at the State House in Abuja.

According to Falade, expanding domestic LPG supply, improving storage and distribution infrastructure, and removing multiple taxes and levies imposed on the sector would be critical to keeping cooking gas affordable and accessible. "Improving LPG accessibility is important to Nigeria's energy transition and to the wellbeing of millions of Nigerian households," he said.

Falade also urged the government to address ease-of-doing-business challenges, particularly the range of taxes, levies and regulatory charges imposed by different government agencies and levels of government.

He added that these obligations raise operating costs, create uncertainty for investors and could discourage further investment in the LPG sector.

Falade reaffirmed NLNG's commitment to supporting the domestic LPG market and aligning with the government's broader development agenda.