The price of refilling a 12.5kg cylinder of cooking gas has jumped by 34.6% to N17,500, up from N12,750 the previous week.
This significant price hike is attributed to supply disruptions caused by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) strike and delayed Dangote deliveries.
According to market checks, the price of 1kg of LPG now sells between N1,350 and N1,500, depending on the location. Olatunbosun Oladapo, National President of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), attributed the sharp increase to the recent industrial action by PENGASSAN, which disrupted the supply chain, particularly in the South-West.
“Gas is largely a matter of demand and supply. Once supply is limited, demand rises, and prices go up,” Oladapo explained. He disclosed that during the strike, most gas plants were forced to shut down. Dangote, the major supplier known for stable availability and affordable prices, has yet to release loading invoices to many marketers for over three weeks, forcing them to source products from competitors at higher rates.
The price hike has resulted in increased costs for households, with many families struggling to make ends meet. Maryam Sule, a mother of three from Abuja, said, “We are now rationing gas for cooking and sometimes using firewood with it. Refilling at N17,500 is almost impossible.”
Oladapo appealed to Dangote to resume trucking out products to more marketers, expressing optimism that prices would stabilize once supply improves. “We appeal to Dangote to truck out product to more marketers as this will enhance the supply. We are hopeful the price will drop in the coming weeks,” he added.
The Nigerian government has been urged to boost local gas processing and stabilize the value of foreign exchange for LPG importers to mitigate the impact of the price hike on households.
