Cooking Gas Crisis Worsens as Nigeria Exports 62% of Production

By

Nigeria is facing a severe shortage of cooking gas despite holding Africa’s largest proven gas reserves. A new report shows that 62% of the country’s gas output in the first two months of 2026 was exported, leaving only 38% for local use.

Demand Outpaces Supply

Demand for Liquefied Petroleum Gas (LPG) has risen to 1.8 million metric tonnes in 2026, up 20% from 1.5 million metric tonnes in 2023. But domestic supply is stuck between 1.55 million and 1.65 million metric tonnes, creating a supply gap. Industry experts say the export-driven model that worked when LPG usage was low is no longer sustainable.

Prices Jump 335% in a Decade

The shortage has pushed prices through the roof. Data from the National Bureau of Statistics shows the average price of cooking gas rose from N400 per kilogramme in 2016 to N2,000 per kilogramme in 2026. That is a 335% increase. The price climbed steadily: N500 in 2017, N600 in 2018, N680 in 2019, N800 in 2020, N950 in 2021, N900 in 2022, N1,000 in 2023, N1,450 in 2024, N1,630 in 2025, and N2,000 in 2026.

Production Boost Not Enough

Major producers including NLNG, Dangote Refinery, Kwale Hydrocarbon, NPDC Ologbo, Pan Ocean, Seplat, PNG Gas and Greenville have increased output. But stakeholders say more investment is needed in gas-processing plants, storage tanks, and distribution networks. They insist Nigeria can achieve near self-sufficiency if policies encourage domestic supply.

Analysts warn that without faster investment in gas infrastructure and stronger incentives for local supply, millions of Nigerians will continue to face shortages and high prices despite the nation’s vast gas wealth.

Forex News

SEC admits 7 more crypto firms into regulatory sandbox, total now 9
ABOKI FOREX
Petrol Price War: Marketers Slash PMS Costs by Up to N43 as Dangote Refinery Cuts Again
ABOKI FOREX
Why petrol landing cost is falling below Dangote refinery price
ABOKI FOREX
Beta Glass Plc Posts ₦37.5bn Revenue, Elects New Board at 52nd AGM
ABOKI FOREX
Why petrol is still above N1,000: Dangote, importers battle for market control
ABOKI FOREX
Cooking gas prices drop by over N1,000 per kg as depots cut rates
ABOKI FOREX
Naira Mixed Against US Dollar: Gains in Official Market, Falls in Black Market
ABOKI FOREX
NNPC Slashes Petrol Pump Prices Again, Lagos Drops to N1,170 and Abuja to N1,210
ABOKI FOREX
Dangote Cement chairman blames energy costs, forex for high cement prices
ABOKI FOREX
Sycamore assures customers after CBN revokes acquired microfinance bank licence
ABOKI FOREX