Nigerians grapple with soaring cooking gas prices

As Nigerians marked their 63rd Independence Anniversary, they were greeted with an unwelcome gift – a sudden surge in the price of Liquefied Natural Gas (LNG), commonly known as cooking gas. This increase came as a shock to many, adding to the myriad of socio-economic problems that have plagued the nation. Even those who were eager to celebrate the event found their spirits dampened.

Over the past few months, the price of this essential commodity has been fluctuating, further exacerbating the hardships faced by Nigerians. It’s particularly distressing for the average person, who has come to appreciate the safety, convenience, and speed of cooking with LPG (liquefied petroleum gas) compared to traditional firewood or charcoal.

Towards the end of September, a 12.5kg cooking gas cylinder, which had been selling for prices between N9,000 and N10,000 across Lagos, suddenly surged to a staggering N12,500 as October began.

This significant price hike has caused widespread concern, especially when you consider an earlier warning by the President of the Nigerian Association of Liquefied Petroleum Gas Marketers, Olatunbosun Oladapo. He had cautioned that if the Federal Government did not curb the activities of terminal owners, the price of a 12.5kg cooking gas cylinder could reach as high as N18,000 by December.

Despite these warnings, the government has yet to intervene. Oladapo revealed that gas retailers still purchase a 20-metric-ton truck of gas for N14 million at the depot.

Despite the substantial increase in the price of diesel, which significantly contributes to transportation costs, terminal owners have used the guise of high foreign exchange rates to raise the price of cooking gas. They attribute this to the increased cost of moving gas from Lagos to other parts of the country.

In response to this crisis, Nigerians have voiced their concerns. Many argue that if the government doesn’t act promptly, the situation could worsen the plight of ordinary people and pose an environmental threat. They fear that if people can no longer afford cooking gas, they will revert to using firewood, resulting in more trees being cut down.

Furthermore, the displacement of wildlife is a concern, as some animals dependent on dense forests for habitat may become vulnerable to hunting when these forests are cleared for firewood.

This situation is partly attributed to the removal of fuel subsidies, which has led to higher prices for almost everything, including cooking gas.

Chika Umudu, the former national chairman of the Liquefied Petroleum Gas Retailers Association of Nigeria, explained that the recent surge in LPG prices can be attributed to three major factors. One of these is fundamental, while the other two are contemporary.

Umudu identified the fundamental factor as the government’s inability to develop a sustainable policy for the country’s gas system, particularly LPG. He criticized the government for announcing gas for all Nigerians in 2021 without concrete measures in place to ensure that LPG is readily available and affordable for the common man.

The two contemporary factors contributing to the price increase are the devaluation of the naira and the inability of suppliers, such as the Nigeria Liquefied Natural Gas (NLNG) in Bonny, Rivers State, to meet local demand. Importers have also struggled to keep up with the increased demand.

The current crisis has presented two major challenges: the availability and affordability of cooking gas. These issues, coupled with environmental concerns, highlight the urgency of addressing the cooking gas price surge, which has left many Nigerians struggling to afford this essential household energy source.

Credit: NAN