The price of Liquefied Petroleum Gas, popularly known as cooking gas, has surged sharply across Nigeria, rising to about N1,400 per kilogramme amid the ongoing crisis in the Middle East.
Findings showed that the ex-depot price of LPG increased by about 13 per cent week-on-week to N18m per 20 metric tonnes, up from N15.95m recorded last week.
The development translates to roughly N1,400 per kilogramme at retail outlets, representing about a 40 per cent increase from the N1,000 per kilogramme price recorded in the previous week.
Industry operators attributed the price hike to disruptions in global oil production and supply caused by the escalating Middle East tensions, which have affected petroleum product prices worldwide.
A visit to several gas retail outlets in Lagos indicated that many stations have already adjusted their pump prices, with cooking gas now selling for as much as N1,400 per kilogramme.
Confirming the development, the National President of the Nigerian Association of Liquefied Petroleum Gas Marketers, Inyang Edu, said depot prices had climbed to about N18m per 20 metric tonnes, while some facilities were selling as high as N19m.
According to him, the spike was triggered by limited supply in the international market linked to the ongoing tensions involving Iraq, Israel and the United States.
Edu noted that although Nigeria produces some LPG locally, including supply from the Dangote Refinery, domestic prices are still influenced by international market trends.
He explained that prices had only recently dropped slightly to N15.95m per 20 metric tonnes from about N16m before the latest crisis triggered another increase to N18m.
He added that while some depots currently sell at N19m, others still offer slightly lower rates, with reports of some outlets selling at about N17.5m.
The marketers’ leader explained that the increase has forced gas plants nationwide to adjust their prices, as dealers who previously purchased LPG at lower depot rates must now review their retail prices to remain in business.
Edu urged consumers and retailers not to blame gas plant operators for the increase, stressing that the price surge was driven largely by global market conditions and prevailing economic realities.
He expressed optimism that prices may ease once the geopolitical crisis subsides but warned that it could take some time before the impact reflects in local markets.
Despite the increase, he noted that LPG supply has remained relatively stable, although some depots are temporarily out of stock while awaiting new shipments.
Edu further said the rise in global crude oil prices to about $84 per barrel had also prompted the Dangote Refinery to review the prices of petroleum products, including petrol, diesel and cooking gas.
According to him, the ex-depot price of Premium Motor Spirit rose to about N875 per litre from N774.
He warned that the development could trigger wider economic effects, including higher transport fares, rising food prices and increased cost of living.
Edu added that with the removal of fuel subsidy in Nigeria, a return to subsidised fuel pricing may not be a viable option, urging the government to closely monitor global oil price trends and adopt appropriate monetary measures to cushion the impact on the economy.