Politics
FG Takes Action: Bans Cooking Gas Exports Due To Escalating Costs

FG Takes Action: Bans Cooking Gas Exports Due To Escalating CostsThe Federal Government has announced a ban on the export of locally produced Liquefied Petroleum Gas (LPG), commonly known as cooking gas, to prioritize domestic supply. This measure, effective November 1, 2024, aims to address the rising gas prices in Nigeria.....KINDLY READ THE FULL STORY HERE▶
The announcement was made by the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, during a high-level meeting with stakeholders in Abuja. According to the minister’s spokesman, Louis Ibah, the decision comes in response to the significant increase in cooking gas prices, which surged from N700 per kilogram in June 2023 to N1,500 per kilogram by October 2024—a 114% rise over 16 months.
In November 2023, the minister established a committee led by NMDPRA Chief Executive Farouk Ahmed to tackle the soaring prices. However, despite these efforts, costs have continued to fluctuate, recently hitting N1,500 from an average of N1,100 to N1,250 per kilogram.
To further combat this issue, the minister outlined both short-term and long-term targets. Starting November 1, LPG producers and NNPCL are required to cease all exports of domestically produced LPG or to import equivalent volumes at cost-reflective prices.
The minister also instructed the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to collaborate with stakeholders to develop a domestic LPG pricing framework within 90 days, which will be based on local production costs rather than international market rates.
As a long-term solution, the government plans to enhance facilities for blending, storage, and delivery of LPG, effectively halting exports until the market stabilizes and sufficiency is achieved. The minister expressed his deep concern over the ongoing price increases and emphasized that these directives aim to ensure that Nigerians have access to affordable cooking gas.
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