Between April 2024 and May 2024, the average retail price of 5 kg of liquefied petroleum gas (cooking gas) increased by 13.75% to N6,521.58.
The retail price of 5kg cooking gas grew by 70.12% from N4,360.69 in May 2023 to the current amount as compared to the price for the same month in 2023.
The National Bureau of Statistics (NBS) LPG price watch for May 2023 states as much.
The research states that Benue had the highest average cost of N8,012.03 for refilling a 5 kg cooking gas cylinder, followed by Enugu at N7,926.21 and Ondo at N7,857.53.
On the other hand, Yobe was the most affordable, at N5,842.31, followed by Jigawa and Katsina, at N6,521.81 and N6,567.95, respectively.
The South-East had the highest average retail price of N7,680.87 for refilling a 5-kilogram cylinder of liquefied petroleum gas, followed by the South-West at N6,593.93, according to a zone-by-zone analysis.
The Northeast reported the lowest at N7,071.84 at the same time.
Cost reduction for 12.5 kg of cooking gas
The average retail cost of refueling a 12.5-kilogram cooking gas (liquefied petroleum gas) cylinder dropped from N15,637.74 in April 2024 to N15,627.40 in May 2024, a monthly decrease of 0.07%.
But from N9,537.89 in May 2023 to present pricing, which climbed by 63.85% year over year.
According to a state profile study, Zamfara had the highest average retail price of N18,369.33 for refueling a 12.5 kg cooking gas cylinder, followed by N17,772.21 in Bayelsa and N17,538.02 in Abia.
Additionally, Taraba at N13,860.31 and Ebonyi at N13,788.09 had the lowest average prices, with Bauchi having the lowest at N13,076.43.
The average retail price for refueling a 12.5-kilogram cooking gas cylinder was N16,310.02 in the South-South, N15,991.13 in the North-West, and N15,010.62 in the North-East, according to zone-by-zone analysis.
Potential causes and solutions for the hike
According to a 2023 TNC analysis of cooking gas costs, lower investment in natural gas exploration and lower associated gas production were the main causes of the price increase.
The amount of gas delivered by Nigeria Liquefied Natural Gas (NLNG) under the Domestic Liquefied Petroleum Gas (DLPG) plan has decreased recently, according to a field expert.
An additional analyst ascribed the present price increase to the Federal Government’s disregard for the 1980s Butanization strategy.
The Implications
Cooking gas prices would continue to rise, which will put more strain on home expenses and exacerbate Nigerians’ inflationary problems as retail food firms may raise their pricing.
Additionally, vulnerable segments of society may be forced to switch from gas to firewood or other “dirty” energy sources for cooking and other home chores as a result of the increase in cooking gas prices.
This will lengthen the period needed for Nigeria to completely phase out coal-based or firewood cooking.
