The Nigerian Federal Government has banned the exportation of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, to reduce its price and support domestic users. Minister of State (Gas Resources), Ekperikpe Ekpo, announced a series of measures aimed at improving domestic gas supply to address the increasing price of cooking gas.
The National Bureau of Statistics (NBS) reported a rise in the headline inflation rate, mainly driven by food inflation, which increased to 35.4 per cent in January from 33.9 per cent in December 2023. This has led to concerns about the rising cost of living, including the price of cooking gas, which has surged by about 57 per cent in nearly four months.
Nigeria, with proven gas reserves of 208 trillion cubic feet, has seen a rise in natural gas demand to 12.12 billion standard cubic meters in 2022. Ekpo emphasized the need to prioritize domestic gas usage by halting the export of cooking gas to boost domestic supply and reduce prices.
The government is engaging with major stakeholders in the gas sector to ensure the domestication of LPG production and prioritize domestic gas usage. These efforts are part of the government's broader strategy to leverage Nigeria's abundant gas resources for economic development, in line with President Bola Tinubu's Renewed Hope Agenda.
