FG reveals why cooking gas now sells above N2,000 per kg
By Aboki Forex —
The Federal Government has announced new steps to bring down the high cost of cooking gas after retail prices crossed N2,000 per kilogram in many cities. This has worsened the burden on millions of households across Nigeria.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) said its investigations show that many LPG wholesalers and retailers are charging prices far above what is cost-reflective. This is despite lower indicative prices issued by the regulator.
The disclosure came during an emergency meeting called by the Ministry of Petroleum Resources to tackle the steady rise in LPG prices.
According to the NMDPRA, cooking gas sells for between N1,600 and N2,100 per kg in the South-West. The regulator's indicative price for the region is N1,018 to N1,177 per kg. In the North-Central, consumers pay N1,550 to N1,950 per kg against a benchmark of N1,066 to N1,224. In the South-South, prices range from N1,400 to N2,000 per kg, while the official guide is N1,021 to N1,179.
The regulator blamed the gap on what it called non-cost reflective pricing by wholesalers and retailers. It also pointed to distribution bottlenecks and poor infrastructure.
The NMDPRA raised concerns about domestic supply shortages. It revealed that a large share of locally produced LPG is exported instead of sold in Nigeria. For example, Chevron Nigeria produced 148,222 metric tonnes of LPG between January and May 2026, which is 22.93 per cent of total domestic production. The entire volume was exported.
The regulator said it will hold talks with the Nigerian Upstream Petroleum Regulatory Commission and the Ministry of Petroleum Resources to push for more local supply.