FG Explains Surging Cooking Gas Prices, Warns Against Hoarding

•Says Dangote Refinery has now resumed loading 

•Projects domestic market  to stabilise by next week

Emmanuel Addeh in Abuja

The federal government yesterday intervened in the skyrocketing Liquefied Petroleum Gas (LPG) prices, warning middlemen against taking advantage of the stay, including hoarding products.

Minister of State Petroleum Resources (Gas), Ekperikpe Ekpo, in a statement in Abuja, expressed concern over the recent increase in the price of LPG, popularly known as cooking gas, which he said has risen from between N1,000–N1,100 per kilogramme to as high as N1,500–N1,700 per kilogramme in some parts of the country.

The minister, according to a statement in Abuja by his spokesman, Louis Ibah, appealed for calm and understanding from Nigerians, assuring that the situation is temporary and will normalise very soon.

“The recent price surge was primarily caused by two factors: The industrial action by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) at the Dangote Refinery, which temporarily halted LPG loading.

“The ongoing maintenance activities at the Nigeria LNG Train 4 facility, which reduced the volume of LPG available in the domestic market. These disruptions led to a shortfall in supply and a consequent increase in prices due to demand–supply imbalance,” Ekpo said.

The minister, however, noted that operations at the Dangote Refinery have now resumed, with loading of LPG to the domestic market already underway.

Similarly, he stated that the Bonny River Terminal operated by Seplat Energy has commenced loading, while the Nigeria LNG is gradually restoring normal operations as maintenance nears completion.

“With these developments, supply to the domestic market is expected to stabilise by next week, leading to a gradual reduction in prices,” the minister said.

Ekpo reiterated that the LPG market is deregulated and appealed to marketers, distributors, and all stakeholders along the LPG value chain to be patriotic in their dealings, desist from hoarding, and refrain from exploiting consumers for profit.

To ensure compliance, the minister has mandated the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to intensify monitoring of LPG depots across the country to prevent product hoarding and other sharp practices capable of worsening the current situation.

He reassures Nigerians that the federal government remains committed to ensuring sufficient and affordable gas supply to all households across the country.