As Nigeria marked its 63rd Independence Day, the price of a 12.5kg cylinder of Liquefied Natural Gas (LNG), commonly used for cooking, surged to N12,500.
This significant price increase was noted in a market survey conducted by The PUNCH.
Just a few weeks ago, towards the end of the previous month, the same 12.5kg gas cylinder was reported to cost around N10,000 in Lagos.
However, recent developments have seen gas retailers adjust their prices, resulting in a substantial increase.
Olatunbosun Oladapo, the President of the Nigerian Association of Liquefied Petroleum Gas Marketers, had previously issued a warning that if the Federal Government did not intervene to regulate the activities of terminal owners, the price of the 12.5kg cooking gas could potentially reach as high as N18,000 by December.
Despite these concerns and warnings, the government has yet to take decisive action to address the crisis in the cooking gas market.
Olatunbosun Oladapo noted that even though the price had risen to N1,000 per kilogram, the government had not intervened, despite discussions held with the NMDPRA (Nigerian Midstream and Downstream Petroleum Regulatory Authority).
He further explained that gas retailers continued to purchase 20 metric tons of gas for N14 million at the depots.
Additionally, the escalating cost of diesel had led to an increase in transportation costs, making it more expensive to transport gas from Lagos to the Northern regions.
Olatunbosun expressed the hope that gas prices would eventually decrease, aligning with the Federal Government’s decade of gas policy aimed at making gas accessible and affordable for ordinary citizens.
The recent surge in gas prices has sparked concerns among Nigerians, especially given the challenges of inflation and rising living costs.
News About Nigeria reports that terminal owners have been criticised for exploiting high foreign exchange rates as a pretext for increasing prices and causing further hardship for the populace.