Gas retailers have issued a warning: the price of a 12.5kg cooking gas cylinder may skyrocket to N18,000 by December. This will happen if the Federal Government doesn’t intervene in the activities of terminal owners.
Olatunbosun Oladapo, President of the Nigerian Association of Liquefied Petroleum Gas Marketers, disclosed that prices have risen sharply. The price per 20 metric tons has surged from N9-N10 million to N14 million.
Oladapo blames terminal owners for exploiting high foreign exchange rates to hike prices. He argues that there’s no justification for the increase.
The Nigerian Liquefied Natural Gas Limited (NLNG) continues to supply the market. NLNG has also raised its price from N6 million to N8 million, prompting terminal owners to follow suit.
The price hike is not the fault of retailers, according to Oladapo. He points fingers at NLNG and terminal owners for the increase.
As of last week, the price for 1kg of gas was N800 at the terminal. Now, it has risen to N1,200 and could reach N1,500 by December.
The looming crisis in cooking gas prices is a ticking time bomb that could have far-reaching consequences for Nigerian households. The sharp price increase, potentially reaching N18,000 for a 12.5kg cylinder by December, is alarming.
It impacts the cost of living and raises questions about the government’s role in regulating essential commodities.
The Federal Government must step in to curb the arbitrary price hikes by terminal owners. These increases are not justifiable, especially when the Nigerian Liquefied Natural Gas Limited continues to supply the market.
The government should consider implementing price controls or subsidies to make cooking gas affordable for the average Nigerian.
The situation is dire and requires immediate intervention. If left unchecked, the high cost of cooking gas could force many to resort to less eco-friendly alternatives like firewood and charcoal.
This would have a detrimental impact on the environment and public health. The government must act now to prevent a full-blown crisis.
Did You Know?
- Nigeria is the largest producer of natural gas in Africa.
- The Nigerian Liquefied Natural Gas Limited is one of the world’s largest exporters of liquefied natural gas.
- The average price of cooking gas in Nigeria was around N2,000 for a 12.5kg cylinder in 2015.
- Nigeria has over 198 million people, making it the most populous country in Africa.
- Using cooking gas is considered more eco-friendly than using firewood or charcoal.