Households across Nigeria are finally experiencing a significant respite as retail prices for Liquefied Petroleum Gas (LPG), commonly known as cooking gas, have begun to decline. This welcome development follows marked improvements in product supply and a softening of depot prices, according to recent market updates from gas marketers.
After weeks of elevated costs that strained household budgets, major cities are now seeing a gradual reduction in LPG prices. However, these decreases are not uniform across the country, largely due to variations in transportation expenses, proximity to supply depots, and individual retailer margins.
Regional Price Breakdown
Checks by marketers reveal the current retail price per kilogramme of cooking gas:
- South-West: Consumers in Lagos, Ibadan, and Abeokuta are paying between N1,100 and N1,350/kg.
- South-South: In Benin City, Port Harcourt, and Warri, prices range from N1,150 to N1,400/kg.
- South-East: Onitsha and Enugu see prices between N1,200 and N1,450/kg.
- North Central: Abuja residents are purchasing LPG for N1,250 to N1,500/kg.
- Northern Cities: Kano and Kaduna record prices of N1,300 to N1,550/kg.
- North-East: Maiduguri and surrounding North-East areas face the highest prices, from N1,350 to N1,650/kg, a reflection of increased logistics costs.
Overall, the national retail price range for cooking gas now stands at approximately N1,100 to N1,650 per kilogramme, though some neighbourhood retailers may still charge slightly higher where distribution costs remain elevated.
Factors Driving Down LPG Costs
Edu Inyang, National President of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), attributed the price ease to several critical factors. “The recent easing reflects lower depot prices as supply improved, increased product availability from domestic sources and imports, reduced panic buying and hoarding after government market interventions, and more competition among marketers in major cities,” Inyang explained.
This marks a significant reversal from the sharp increases observed from May this year, when supply tightness and surging depot prices pushed cooking gas costs up by as much as 140 percent in many locations, from an average of N1,000/kg in early 2024 to N2,400/kg between May and June.
Impact on Cylinder Refill Prices
For consumers, these new retail prices translate into more affordable cylinder refills:
- A 5kg cylinder refill now costs between N5,500 and N8,250.
- A 6kg refill ranges from N6,600 to N9,900.
- Refilling a standard 12.5kg cylinder is expected to cost between N13,750 and N20,625, varying by location and retailer.
Retailers’ Perspective and Future Outlook
Ayobami Olarinoye, National Chairman of the Liquefied Petroleum Gas Retailers Branch of the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), confirmed that normalcy is gradually returning to the sector. His members, who operate neighbourhood shops, are currently selling to consumers at N1,600 to N1,800/kg, having purchased from plant operators at N1,300 to N1,500/kg.
Despite the current improvements, marketers caution that retail prices are yet to fully stabilise nationwide. Communities situated farther from major LPG depots are likely to continue experiencing higher prices due to the inevitable transportation overheads. The earlier price surge prompted the PUNCH to report on marketers’ plans for large-scale importation and led to regulators issuing import licenses to address the inability of local producers to meet domestic demand. Furthermore, the Minister of Petroleum Resources (Gas), Ekperikpe Ekpo, intervened, issuing stern warnings against hoarding and profiteering.
Industry operators remain optimistic that consistent product availability from local sources, coupled with steady imports, will further moderate prices in the coming weeks, assuming no major disruptions to supply or logistics chains.