Gas retailers have issued a warning, stating that the cost of a 12.5kg cooking gas cylinder may surge to N18,000 by December if the Federal Government does not take action to control the actions of terminal owners.
The President of the Nigerian Association of Liquefied Petroleum Gas Marketers, Olatunbosun Oladapo, expressed concerns over the significant increase in the price of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, at terminals.
This increase has been abrupt, rising from around N9-N10 million per 20 metric tons to N14 million per 20 metric tons.
He raised the alarm that if the government doesn’t intervene to regulate terminal owners, gas prices could skyrocket to N18 million per metric ton by December, potentially causing a 12.5kg cylinder to cost as much as N18,000.
Olatunbosun attributed this unjustifiable price hike to terminal owners exploiting high foreign exchange rates, ultimately adding to the hardships faced by the general population.
He emphasized that there is no valid justification for these price hikes since the Nigerian Liquefied Natural Gas Limited still supplies the market with gas.
Olatunbosun pointed out that the blame for these price increases lies with NLNG, terminal owners, and even NNPCL, who have taken advantage of NLNG’s price hike.
Furthermore, he noted that the ordinary citizens are being hit hard by these escalating prices, making it increasingly difficult for minimum wage earners to afford gas. Many are resorting to alternatives like firewood and charcoal.
Olatunbosun also expressed disappointment that promises made by gas industry representatives to collaborate with the government to improve living conditions have not been fulfilled.
Instead, prices have continued to rise, causing hardships for consumers.
This price surge began in August, and the cost of a 12.5kg cylinder of cooking gas has already reached as high as N10,000.
Spokespersons for gas companies attributed these price hikes to foreign exchange challenges and increases in crude oil prices on the international market.
