Cooking Gas Prices Fall 40% From June Peak as NLCGA Pushes for Deeper Relief

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Cooking gas prices in Nigeria have dropped by about 40 per cent from their June peak, following improved supply and closer collaboration among industry operators. The Nigeria Liquefied and Compressed Gases Association (NLCGA) disclosed the development at an industry event in Lagos.

Lanre Baiyewu, Executive Secretary and Chief Executive Officer of the NLCGA, said the decline came after efforts involving government agencies, terminal operators, local producers, off-takers, marketers and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

How prices climbed and then eased

The national average price of liquefied petroleum gas (LPG) stood at about N1,360 per kilogramme in February before climbing above N2,000 per kilogramme in June. Prices reached about N2,300 per kilogramme in some locations, pushing the cost of refilling a 6kg cylinder to around N13,800 and a 12.5kg cylinder to as much as N28,750.

Baiyewu blamed the sharp increase on supply shortages, higher transportation and logistics costs, international energy prices and movements in the foreign exchange market. The surge put extra pressure on households and small businesses that depend on LPG for cooking and other activities.

Some consumers and retailers have welcomed the recent decline but want prices to fall further. Aisha Bala, a resident of Utako in the Federal Capital Territory, said sustained lower prices would help discourage households from switching to charcoal and other alternative fuels. Agnes Idoko also called for faster action, while Silas Igba, an LPG retailer in Zuba, Abuja, said the earlier price increases had hurt sales.

Association pushes for PIA implementation

Baiyewu said more measures were needed to prevent another supply disruption and called for the full implementation of the Petroleum Industry Act (PIA). He noted that Nigeria's LPG market remains exposed to international energy prices and exchange rate movements because global pricing benchmarks continue to influence domestic costs.

NLCGA members are increasing investment in storage, transportation, cylinder manufacturing and distribution infrastructure. The association expects the investments to strengthen the domestic supply chain and reduce the impact of future supply disruptions and price shocks.

The NLCGA is targeting domestic LPG consumption of five million metric tonnes annually by 2030 under the leadership of its new president, Ladi Falola. The association said hitting that target would require sustained investment and cooperation among producers, terminal operators, marketers, regulators and transporters. It is also supporting the government's gas-for-mobility initiative, which seeks to expand the use of gas as fuel for road transportation.

Dangote refinery price move

The relief in the market comes against a recent upward adjustment by Dangote Refinery, which raised its LPG price from N980 to N1,030 per kilogramme. That move raised fresh concerns about the cost of cooking gas for millions of Nigerian households already under financial pressure.

The refinery's price increase came amid wide retail price swings recorded across the country in August 2026, with data covering 18 locations showing consumers paid between N1,200 and N1,500 per kilogramme, depending on where they lived.

For Nigerian households and small food businesses, the 40 per cent drop offers some breathing room, but the market remains tied to forex and global energy benchmarks. Sustained investment in local storage and distribution will decide whether the relief lasts.

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