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Why Cooking Gas Prices Are Going Up – Marketers Reveal

GoldenNewsNG by GoldenNewsNG
October 8, 2025
in business, Headline, News
Reading Time: 2 mins read
Why Cooking Gas Prices Are Going Up
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Nigerians are increasingly concerned over the recent hike in cooking gas prices, with a kilogram now selling for as high as ₦2,000 in some parts of the country.

According to the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), the increase is not due to any official price adjustment. The surge is largely attributed to temporary supply disruptions and market exploitation by some operators.

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The situation arose from a combination of factors. Dangote Refinery, which had previously improved domestic LPG supply by eliminating middlemen, slowed down operations for maintenance and renovations. This affected truck loading schedules, delaying distribution to the South-West and other parts of the country. Normally, Dangote dispatches about 50 trucks per day, serving key regions efficiently, but the maintenance period slowed the process considerably.

Simultaneously, the strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) disrupted vessel discharges and inspections at Apapa depots. As a result, stocks ran low across major depots. Even when vessels berthed, inspections could not be completed due to the strike, causing about five days of backlog in supply.

Marketers turned to Apapa depots to mitigate shortages, but the combination of refinery maintenance and strike-related delays created a temporary scarcity, especially in the South-West, which consumes the largest share of LPG in Nigeria.

The scarcity has been exacerbated by the rapid increase in national LPG consumption, which has grown from about 1.2 million metric tonnes three years ago to nearly 2 million metric tonnes today. This surge in demand strains supply during any disruption.

As a result, some operators have exploited the situation, inflating prices artificially. LPG that previously sold for ₦1,200–₦1,300 per kilogram has risen to between ₦1,700 and ₦2,000, and in certain areas, prices have reached ₦3,000. The hike is not reflective of official pricing but rather opportunistic behavior by some marketers taking advantage of shortages.

Consumers are advised to purchase directly from registered gas plants, where prices remain between ₦1,000 and ₦1,300 per kilogram depending on location and overhead costs. Buying from third-party or middlemen sources often results in inflated prices. Prior to the artificial scarcity, some plants sold LPG at ₦950–₦1,050 per kilogram.

Authorities and marketers are working to restore normal supply and stabilize prices in the coming days. Once the refinery maintenance and backlog from the strike are fully addressed, LPG availability is expected to return to normal levels.

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