Cooking Gas Price Rose By 101% In One Year – NBS

A file photo of a cooking gas jar


The National Bureau of Statistics says the price of Liquefied Petroleum Gas popularly known as cooking gas increased by 101.17% in the last one year.

In its Price Watch for August 2022, the Bureau said Taraba State recorded the highest average price for refilling a cylinder of cooking gas with Katsina State being the lowest price.

The NBS said, “The average retail price for refilling a 5kg Cylinder of Liquefied Petroleum Gas (Cooking Gas) increased by 1.34% on a month-on-month basis from N4,397.68 recorded in July 2022 to N4,456.56 in August 2022.

“On a year-on-year basis, this rose by 101.17% from N2,215.33 in August 2021.

“On state profile analysis, Taraba recorded the highest average price for refilling a 5kg Cylinder of Liquefied Petroleum Gas (Cooking Gas) with N4,925.44, followed by Adamawa with N4,920.00, and Lagos with N4,782.50.

“On the other hand, Katsina recorded the lowest price with N4,020.00, followed by Ogun and Yobe with N4,057.14 and N4,078.46 respectively.”

The Bureau further said the average retail price for refilling a 12.5kg cylinder of LPG increased by 0.77% on a month-on-month basis from N9,824.07 in July 2022 to N9,899.34 in August 2022.

“On a year-on-year basis, this rose by 119.26% from N4,514.82 in August 2021,” it stated, adding that Ebonyi State recorded the highest average retail price for the refilling of a 12.5kg cylinder of LPG with N11,225.00 whilst Katsina State recorded the lowest average price with N8,150.00.

Nigeria Is Closer To Self-Sufficiency In Liquefied Petroleum Gas Production – Buhari


President Muhammadu Buhari has said that Nigeria is getting closer to self-sufficiency in Liquefied Petroleum Gas production (LPG).

The President stated this on Tuesday while commissioning the Integrated Gas Handling Facility and LPG Processing and Dispensing Plants built and operated by the Nigerian Petroleum Development Company, an Upstream Subsidiary of NNPC in Oredo, Edo State.

He said that the Oredo Integrated Gas Handling Facility and its associated NGLs depot will be delivering 240,000 metric tons of commercial-grade Liquefied Petroleum Gas and Propane. “It will also deliver about 205 million standard cubic feet per day of lean gas to the domestic market.

“In addition to its import substitution benefits that brings us a step closer to self-sufficiency in LPG production and also supporting the growth of small and medium enterprises in the host communities, this project will create hundreds of direct and indirect employment opportunities for our teeming youths (both skilled and unskilled).”

The President explained that apart from being the largest onshore LPG plant in Nigeria with the potential of supplying about 20% of Nigeria’s LPG demand, the Oredo Integrated Gas Handling Facility was carefully situated at a corridor proximate to over 80% of Nigeria’s LPG demand source.

He noted that the project was a follow-up to the commitment of the administration towards making the Year 2020 as Nigeria’s Year of the Gas:

“At the turn of the Year 2020, this Administration made solemn declarations to the Nigerian public over its plans to expand the gas sector footprints by scaling-up the development and utilisation of Nigeria’s abundant Natural Gas Resources to help spur industrialization, provide clean and efficient energy for transportation and household use while increasing our exports into the international market. It is on the backdrop of this commitment that the Year 2020 was dedicated and embodied as Nigeria’s Year of Gas.”

“Since then, we have followed through with actions that have translated those plans into tangible projects with monumental value additions to the Nigerian Economy. We accomplished key gas infrastructure projects like the OB3 and ELPS 2 and flagged-off the Construction Phase of the 614 km AKK Pipeline Project,” President Buhari added.

According to him, “It was indeed not a coincidence that the completion and commissioning of the aforementioned gas infrastructure projects in this Year 2020 followed the wrap-up of the Year 2019 with the Final Investment Decision (FID) for NLNG Train 7…We are exiting the Year 2020 with yet another milestone of commissioning the Oredo Integrated Gas Handling Facility LPG Processing and Dispensing Plants which will also support the on-going drive towards providing alternative auto fuel under the National Gas Expansion Program initiative.”

In his remarks, the Minister of State for Petroleum Resources, Timipre Sylva, noted that the project highlights the commitment of NNPC in eliminating gas flares while increasing Nigeria’s value realisation from gas.

He added that the entire LPG and propane production is “targeted at the Nigerian market, further affirming the conscious efforts of NNPC and the Nigerian government in growing its participation in the LPG value chain to boost domestic supply, lower prices and deepen LPG penetration to safeguard our environment.”

The Group Managing Director of NNPC, Mele Kyari, said the President’s clear directives to the Ministry of Petroleum Resources and the NNPC were that “we must deepen domestic gas utilisation and monetisation and provide a platform where Nigerians can benefit from the enormous gas supplies that we have so that job and prosperity can be created and by implication, bring peace to the country.”

He added the facility was designed, constructed, and delivered with the highest application of Nigerian content and the contractor is a wholly Nigerian company which demonstrated the capacity of Nigerian companies to handle ‘complex’ projects.

DPR Encourages Safe Use Of Liquefied Petroleum Gas

The Department of Petroleum Resources (DPR) says continuous and safe use of Liquefied Petroleum Gas (LPG) can enhance and promote environmental protection and conservation.

The organisation also said it can help to reduce deforestation, air pollution, promote clean energy usage, facilitate healthy population growth as well as reduce any negative impact of climate change.

This was the focus of the discussion at the 2017 Liquefied Petroleum Gas sensitisation workshop which held in Owerri, the Imo State capital south east Nigeria, themed: Promoting the Benefits of Encouraging Safe Use of LPG.

According to DPR officials, the workshop was also organized to stem the growing spate of LPG plants fire incidents reported across the country as well as allay the fears of Nigerians over the use of gas cylinders in homes for domestic activities.

While delivering his key note address, the south east Zonal Operations Controller of the DPR, Morrison Nwokedi, expressed regret that despite the fact that Nigeria has significant natural gas reserves, its utilization in the domestic sector is grossly inadequate.

According to him, Nigeria is yet to fully harness the benefit in its natural endowment even as the nation ranks 9th in the world for proven and probable natural gas reserves, which he says is estimated at 192 trillion cubic ft.

While Fielding questions from newsmen after the workshop, the Operations Director of the DPR, Owerri, Ernest Chukwu further reiterated how safe it is to use the LPG.

While the organisation hopes that the workshop enhances domestic use of LPGs, it has also granted approvals for the construction of new LPG depots in Calabar and Port Harcourt with storage capacity of 3,000 and 9,000 metric tonnes which are expected to be operational by the end of the year 2017.

Support Local Content Policy To Boost Industrialisation, DPR Urges Nigerians

DPRThe Department of Petroleum Resources (DPR) has urged Nigerians to support the local content policy of the Federal Government by patronising locally made products, which it says will enhance domestic industrialisation especially in the gas sector.

The DPR made the demand on Friday during their periodic facility audit and inspection of activities of gas sector stakeholders in Owerri, the capital of Imo State.

The South-east Head of Gas sector of the DPR, Mr Albert Echibe, pointed out that part of the statutory function of the DPR was the promotion of local content policy in the oil and gas industry as well as the re-certification of the integrity of equipment and facilities used in the Liquefied Petroleum Gas industry.

Saving Foreign Exchange

In Imo State, the DPR is currently inspecting the activities of petroleum marketers, with an audit of facilities and equipment used in the gas sector, with the team visiting some steel fabrication workshop where gas vessels are manufactured and also an ongoing gas plant construction site in Owerri.

The Team leader, Mr Echibe, said that the DPR would not fail to sanction any person or company that did not meet the required standard given by the DPR in the production and usage of major facilities and equipment in the gas sector.

He stressed that in the oil and gas industry, there were issues of increased cost of importation of facilities and equipment which in turn had ripple effect on consumers, but gave the assurance that if chances were given to local content production and patronage, all the issues would be resolved, saving foreign exchange.

The Department of Petroleum Resources in the state has emphasised its committed to their statutory functions and responsibility of ensuring compliance to petroleum laws, regulations and guidelines in the Oil and Gas Industry especially as it involves monitoring of operations at drilling sites, production wells and platforms, flow-stations, refineries, storage depots, pump stations, retail outlets and natural gas and petroleum products.

Fashola Commissions Ikorodu Skid Plant

Lagos State Governor, Mr. Babatunde Fashola (SAN), on Tuesday commissioned another Skid Plant in Ikorodu, reiterating the commitment of his administration to ensuring that Lagos residents make the Liquefied Petroleum Gas (LPG) a preferred choice for cooking.

Speaking at the Ewu Elepe Village, Ginti, venue of the commissioning, Governor Fashola, who was represented by his Deputy, Princess Adejoke Orelope-Adefulire, said one of the priorities of his administration in this second term was to revamp and reposition the Energy Sector in the State to enable it play its role in the socio-economic and environmental development of the State.

Expressing dismay that Nigeria is ranked the lowest in the use of LPG in the continent, in spite of its position as the largest producer of the product, the Governor declared, “We also recognize the immense potential of the country’s gas resources. It is only right that we devise a means to apply the existing solution to an existing problem meaning that this gas can be used to provide electricity for our country Nigeria”.

On the reason for introducing the cooking gas to Lagos state residents, Governor Fashola said, “A large percentage of households in Nigeria still use kerosine and firewood for cooking. These two fuels are not only the major sources of emission but on the long run may be more expensive than LPG”.

He said the Lagos State government recognizes the negative impact the current cooking fuel, kerosene and firewood, pose to the environment and people in terms of emission, “The use of LPG has several advantages as fuel because of its simple structure and because it is free from impurities, making it one of the few clean and efficient burning fuels in the world”.

He said the State Government was “working seamlessly” to strengthen the needed infrastructure, to ensure the development of the oil sector and to ensure that Lagos residents could make a shift using liquefied petroleum.

In his remarks earlier, the Managing Director of Banner Gas, one of the companies partnering with the State Government in the venture, Mr. Nuhu Yakubu, said the introduction of LPG, christened EKO Gas, was a demonstration of the State Government’s commitment to “Talk – to –Action”.

He said, “Before the year runs out, we are very sure and convinced that the Lagos State Government will have the course to commission more projects under the Energy programme of the State Ministry of Energy and Mineral Resources”, the Managing Director said adding that his company would be happy to have the Governor commission another Banner Gas- Eko Gas project powered by Banner Gas.

Four months ago, this kind of plant was launched in Surulere by the Lagos State Governor, Mr. Babatunde Fashola (SAN).