The federal government has expressed concern regarding the high cost of cooking gas and has established a committee with a one-week deadline to reduce prices and tackle supply issues. Ekperikpe Ekpo, the Minister of State Petroleum Resources (Gas), has stepped in to address the challenges surrounding the supply and pricing of Liquefied Petroleum Gas (LPG), commonly referred to as cooking gas, in the local market.
This intervention follows the recent spike in the price of LPG per kilogram, escalating from approximately N700 to over N900 in certain regions and surpassing N1200 per kilogram in specific states.
The primary obstacles contributing to the surge in LPG prices include difficulties in securing foreign exchange for imports and insufficient supply to the domestic market by producers.
During a gathering at the NNPC Towers in Abuja, attended by senior officials from Chevron Nigeria Limited, the Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA), and the NNPCL, the minister expressed dissatisfaction with multinational companies prioritizing gas exports over allocating substantial volumes to the local market, despite Nigeria’s ample gas reserves.
In response, the minister overseeing gas affairs established a committee chaired by the CEO of NMDPRA, tasked with providing recommendations to bolster supplies and decrease LPG prices within a week.