Key points
- Trade and energy experts stated that rising global energy prices, exchange rate volatility, and distribution bottlenecks are driving up the cost of cooking gas.
- In the Federal Capital Territory, Liquefied Petroleum Gas retail prices have surged to between N1,350 and N1,500 per kg, with some roadside retailers charging N1,600.
- Despite achieving 100 per cent domestic LPG supply and eliminating imports in April 2026, inadequate storage facilities continue to cause local supply gaps.
- Marketers noted that the suspension of the naira-for-crude deal with Dangote Refinery in September 2025 forced transactions back to dollars, elevating depot prices.
- Rising refilling costs have forced low-income households and food vendors to ration gas usage or return to cheaper alternatives like charcoal and firewood.
Main Story
Experts have stated that rising global energy prices, exchange rate volatility, and supply distribution challenges are driving up the cost of Liquefied Petroleum Gas, popularly known as cooking gas in Nigeria.
The experts disclosed this in an interview with the News Agency of Nigeria in Abuja on Sunday.
They attributed the current persistent increase in the price of LPG to geo-political tensions in the Middle East, high transportation costs, and infrastructure gaps within the domestic supply chain.
In the Federal Capital Territory, cooking gas is currently being sold for between N1,350 and N1,500 per kg, with some roadside retailers charging as high as N1,600 per kg.
The report indicated that under the current price regime, consumers spend between N6,750 and N7,500 to refill a 5kg cylinder, while a 12.5kg cylinder costs between N16,875 and N18,750.
Economist Opeyemi Alabi explained that the ongoing U.S.-Iran conflict has triggered increases in global Brent crude oil prices and international LPG benchmarks, directly impacting local retail rates.
Energy expert Chris Mordi added that while the Nigerian Midstream and Downstream Petroleum Regulatory Authority reported 100 per cent domestic LPG supply and zero imports for April 2026, persistent distribution bottlenecks and inconsistent product evacuation from depots continue to trigger localized scarcities.
The Issues
- Regional distribution networks remain weak, causing severe cooking gas shortages and forcing several gas plants in the South-East to shut down operations.
- The suspension of the currency concession policy for crude sales pushes depot transactions back to foreign exchange, immediately elevating costs for independent marketers.
- High inflation in the price of auxiliary equipment, with a new 12.5kg cylinder costing N60,000, creates a high financial barrier that discourages new consumers from adopting clean energy.
What’s Being Said
- “The LPG is a globally traded commodity often priced in U.S. dollars. Significant fluctuations or devaluation of the naira can immediately increase the landing cost of imported gas, which still accounts for a large share of Nigeria’s supply,” economist Mr Opeyemi Alabi said.
- Alabi added that “these factors have contributed to a steady upward trend in national energy expenses.”
- “The April 2026 report by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) revealed that Nigeria achieved 100 per cent domestic LPG supply for the month,” energy expert Mr Chris Mordi stated.
- Mordi noted that “supply gaps are still being recorded in some parts of the country due to inadequate storage facilities, transportation constraints, distribution bottlenecks and inconsistent product evacuation from depots.”
- “If the government is sincere about ensuring cleaner energy for Nigerians, then cooking gas should be affordable and readily available,” environmentalist Mr Henry Azubuike urged.
What’s Next
- The Federal Government will continue its administrative support for the domestic LPG supply efforts executed by the Dangote Refinery and Nigeria LNG.
- Midstream regulatory authorities are expected to increase surveillance on independent marketers to check excessive profit-margin markups along the retail chain.
- Gas commercialization firms will need to invest in localized storage infrastructure and specialized transport fleets to stabilize product evacuation from urban depots to remote regions.
Bottom Line
Geopolitical realities and the return to dollar-denominated depot pricing have pushed cooking gas prices above N1,350 per kg, overshadowing recent domestic supply milestones and forcing vulnerable households back to firewood and charcoal.
