LPG Expo: FG Moves to Peg Cooking Gas Prices, Vows to Distribute Free Cylinders
- The Nigerian government is working on a policy to regulate cooking gas pricing in Nigeria to boost adoption
- The minister of State for Petroleum Resources (Gas), Ekperikpo Ekpo, revealed that the NMDPRA on LPG pricing framework
- Ekpo revealed this at the sixth LPG Expo in Lagos, tagged ‘LPG as Clean Fuel For Energy Transition in West Africa
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Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The Nigerian government is working on adopting a new pricing formula for liquified petroleum gas (LPG) also known as cooking gas in Nigeria.
The Minister of State For Petroleum Resources (Gas) Ekperikpe Ekpo, disclosed this at the two-day LPG Expo in Lagos on Monday, March 3, 2025.
Source: Original
FG working on LPG pricing guideline
According to Ekpo, the government is implementing targeted policy interventions to accelerate LPG adoption by removing hassles hindering investment in the industry.
The minister said the Nigerian government has introduced tax relief for LPG imports and equipment and streamlined the import process for cylinders and accessories.
He said:
“To accelerate LPG adoption, we are implementing targeted policy interventions, including removing bottlenecks that hinder investment in the sector.
“The government has also introduced tax waivers on LPG import and LPG equipment and streamlined importation processes for cylinders and accessories.
“The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is working on a pricing framework for LPG in line with provisions of the PIA to ensure price stability and possible price reduction.”
He also revealed that the government is working on the Presidential Compressed Natural Gas (CNG) Initiative in synergy with the LPG sector to provide a broader spectrum of clean energy alternatives.
“By supporting both LPG and CNG adoption, we are strengthening our energy security while reducing dependence on expensive and polluting fuels,” the minister stressed.
FG raises hope for adoption at LPG Expo
The minister revealed this during the LPG Expo in Lagos, attended by Legit.ng, where participants showcased the various LPG products and accessories.
Billed for two days, the Expo aims to highlight the various opportunities in the sector as Nigeria moves for wider adoption.
The organisers revealed that the reason for the Expo was to throw up the immense opportunities in the global LPG market and the ways it could be harnessed to boost adoption.
Currently, LPG adoption remains low in Nigeria, with 30% adoption in urban households nationwide.
The organisers, most of whom are big players in the industry, advocated massive adoption in Nigeria to reduce deforestation and environmental degradation.
LPG prices have remained volatile in Nigeria since the removal of subsidies on various petroleum products.
Experts reveal that the move to implement a pricing framework for the product will usher in an era of relief for consumers and stabilise the sector.
LPG Expo unveils opportunities in sector
Others say the government should end regulating the industry to attract investment in the sector.
The sixth LPG Expo tagged ‘LPG as Clean Fuel For Energy Transition in West Africa will be held Monday and Tuesday, March 3, and 4 2025, to expose participants to the importance and the opportunities in the sector.
Source: Getty Images
Speakers at the event forged a new pathway for the LPG industry in Africa and Nigeria.
Analysts believe the expo will find a lasting solution and boost the adoption process in Nigeria.
Dealers announce new cooking gas price in Lagos
Legit.ng earlier reported that the Nigeria Bureau of Statistics (NBS) said that between December 2023 and December 2024, the average price of Liquefied Petroleum Gas (LPG), also referred to as cooking gas, increased by 44.62%.
Refilling a 5 kg cylinder cost an average of N7,177.27 in December 2024, as opposed to N4,962.87 in December 2023, according to the NBS Liquefied Petroleum Gas Price Watch.
The price increased by 1.26 percent every month from N7,088.16 in November 2024.
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Source: Legit.ng
