Cooking gas price jumps 114% in 16 months
By Jeph Ajobaju, Chief Copy Editor
Cooking gas price has risen 114 per cent in 16 months under President Bola Tinubu, from N700 per kilogram in June 2023 to N1,500/kg in October 2024, as the commodity also called liquefied petroleum gas (LPG) – which is produced locally – is priced in United States dollars.
The figures are contained in the latest release from the National Bureau of Statistics (NBS).
Naira devaluation/floating by the Tinubu administration leaves the currency in free fall, currently trading at between N1,700 and N1,800 per dollar, down from less than N700/$ when he came to power on 29 May 2023.
More than 60 per cent of cooking gas consumed in Nigeria is imported, Suresh Kumar, Nigerian Independent Petroleum Company (NIPCO) Managing Director/Chief Executive Officer, disclosed at the recent National Conference of the Nigerian Association of Liquefied Petroleum Gas Marketers 2024 held in Lagos.
Kumar said local production of gas remains inadequate, urging Abuja to encourage Chevron to convert more of its propane output into butane.
“Currently,” he explained, less than 40 per cent of the 1.5 million metric tonnes consumed domestically is produced locally. This is why the government must encourage companies like Chevron to convert more of their propane output into butane, which is more suitable for domestic use.”
The price of cooking gas may continue to rise because of the volatile nature of the naira/dollar exchange rate.
The NBS report shows the average retail price for refilling a 5kg cylinder of cooking gas rose 4.19 per cent MoM from N6,430.02 in August 2024 to N6,699.63 in September 2024, and 59.90 per cent from N4,189.96 in September 2023.
According to the NBS, Rivers reported the highest average price for 5kg cylinder refill at N7,285.71, followed by Gombe (N7,271.88), and Borno (N7,089.72).
Kebbi had the lowest price at N5,950, trailed by Kano (N6,133), and Benue (N6,143).
“The North East recorded the highest average retail price for refilling a 5kg cylinder of Liquefied Petroleum Gas with N6,929.02, followed by the South East with N6,893.47 while the North West recorded the lowest with N6,382.30,” the report said.
Price of 12.5kg cylinder refill
The NBS disclosed that the average price for a 12.5kg cylinder cooking gas refill hiked 4.89 per cent MoM from N15,552 in August 2024 to N16,313 in September.
“On a year-on-year basis, this rose by 76.41 per cent from N9,247.40 in September 2023 ….
“Rivers recorded the highest average retail price for the refilling of a 12.5kg cylinder of Liquefied Petroleum Gas with N17,993 followed by Gombe with N17,943 and Zamfara with N17,475.
“The lowest average price was recorded in Adamawa with N13,983, followed by Nassarawa and Bauchi with N14,938 and N15,000 respectively ….
“The South-East recorded the highest average retail price for refilling a 12.5kg cylinder of Liquefied Petroleum Gas with N16,957, followed by the South-West with N16,665 while the North-East recorded the lowest price with N15,770.75.”
The price of cooking gas has increased from N300/kg in 2017 to N1,500 in October 2024.
The rise in the price of the commodity has forced Nigerians to resort to traditional ways of cooking with firewood and there are concerns that the high cost price of cooking gas may hinder efforts to achieve clean cooking and reduce tree felling.
The International Energy Agency (IEA) found that some 500,000 African women die prematurely each year from cooking with firewood, charcoal, or stove.
“Women and children are being disproportionately impacted by the lack of energy access, particularly to clean cooking,” it said.
“It is estimated that 500,000 women die prematurely every year in Africa due to the lack of access to clean cooking.
“Women can spend up to four hours a day, just collecting the firewood, robbing them of their time and preventing their educational and professional aspirations.”
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