Key Points

• Cooking gas price rise worsens Nigeria’s cost-of-living crisis.

• Forex shortages push LPG importers into costly dollar markets.

• Groups urge government to boost local gas processing.

Prices for cooking gas in Nigeria have gone up a lot, putting even more pressure on families who are already dealing with rising food and transportation costs. An independent investigation found that the cost of refilling a 12.5-kilogram cylinder of liquefied petroleum gas (LPG) went up by 34.6 percent in September, going from N13,000 in August to N17,500.

The spike comes at a time when there aren’t enough foreign exchange, prices are unstable around the world, and Nigeria relies heavily on imported LPG even though it is Africa’s largest producer of natural gas. Dealers in Lagos, Abuja, and Port Harcourt all confirmed the big rise, saying that it has been made worse by supply problems and a weaker naira.

The rise in the price of cooking gas puts a strain on families

The rise in prices has made it hard for many families to make decisions. Maryam Sule, a mother of three from the Garki district of Abuja, said, “We are now rationing gas for cooking and sometimes using firewood with it.” “Refilling at N17,500 is almost impossible.”

The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) said that the rise was due to higher landing costs. Abideen Olatunbosun, the president of the group, says that about 65% of Nigeria’s LPG is imported, which makes the market weak. He told reporters, “The paradox is clear: Nigeria has the ninth-largest gas reserves in the world but can’t meet its own needs.”

The rise in cooking gas prices is due to problems with foreign exchange

Importers say that the ongoing lack of foreign currency has been a big reason for rising costs. The naira fell below N1,500 per dollar on the parallel market in late September. This has made LPG importers depend on costly unofficial channels. Some depots in Apapa temporarily stopped supplying goods because it was too expensive to get dollars.

According to a report by Vanguard news, Dr. Adeola Adeniran, an energy economist, said that Nigeria’s dependence on imports is not sustainable. “We have a problem with energy security,” she said. “If this keeps up, more families will go back to using charcoal and kerosene, which are bad for the environment and your health.”

Calls for quick action from policymakers

NALPGAM and civil society groups, such as the Nigerian Energy Forum, have asked the federal government to stabilise the value of foreign exchange for LPG importers and speed up investments in local processing. They said that the Bonny plant expansion by Nigeria Liquefied Natural Gas (NLNG) Limited could change the game if domestic supply is given priority.

In the meantime, customers are still being squeezed. According to Lagos resident Chukwuemeka Obi, “Cooking gas is slowly becoming a luxury item.” “Families like mine may have to go back to coal stoves if the government doesn’t do anything.”