The Federal Government has directed security agencies and regulatory authorities to clamp down on the hoarding, illegal diversion and speculative storage of liquefied petroleum gas (LPG), popularly known as cooking gas, following a sharp increase in prices across the country.
Speaking at an emergency stakeholders’ meeting in Abuja, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, said the Department of State Services (DSS), the Economic and Financial Crimes Commission (EFCC) and the Nigeria Police Force would be mobilised to address activities contributing to the surge in LPG prices.
Ekpo instructed the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to strengthen market surveillance and collaborate with security agencies to eliminate artificial scarcity, discourage hoarding and improve transparency in the distribution and pricing of the product.
The minister noted that marketers had expressed readiness to increase imports where necessary, while additional domestic supplies, including output from the Seplat gas facility, are expected to boost availability in the coming weeks.
He also disclosed that the government is considering a local LPG blending initiative involving Nigeria LNG Limited (NLNG), local producers and the Port Harcourt plant operator. According to him, the initiative is aimed at bringing locally produced LPG closer to consumers, reducing import dependence and logistics costs, improving supply reliability and helping to stabilise prices.
Ekpo urged marketers and importers to bring in additional volumes when needed, disclose shipment schedules, adopt responsible pricing practices and refrain from withholding products for speculative gains. He also called on transporters and logistics operators to increase truck availability, remove delivery bottlenecks, maintain transparent haulage costs and ensure faster distribution to areas with high demand.
He further advised retailers to display prices clearly, avoid arbitrary price hikes and promptly report any supply disruptions.
Meanwhile, Rabiu Umar, Chief Executive Officer of the NMDPRA, said wholesalers and retailers were charging prices that do not reflect actual costs, pushing cooking gas prices as high as N2,100 per kilogramme despite lower indicative prices set by the regulator.
According to the NMDPRA, consumers are paying significantly above the authority’s benchmark prices due to excessive profiteering and distribution challenges.
The agency stated that LPG currently sells for between N1,600 and N2,100 per kilogramme in the South-West, compared to its indicative price range of N1,018 to N1,177 per kilogramme. In the North-Central region, prices range from N1,550 to N1,950 per kilogramme against a benchmark of N1,066 to N1,224, while consumers in the South-South pay between N1,400 and N2,000 per kilogramme, despite an official guide of N1,021 to N1,179.
The regulator attributed the wide price gap to non-cost-reflective pricing and persistent distribution bottlenecks, warning that domestic LPG availability is also being affected by exports.
It revealed that Chevron Nigeria Limited produced 148,222 metric tonnes of LPG between January and May 2026 and exported the entire volume, representing 22.93 per cent of national production during the period.
The NMDPRA said it would engage the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Ministry of Petroleum Resources to secure more LPG supplies for the domestic market.
Data presented by the authority showed that NLNG was the largest LPG producer during the period, accounting for 187,559 metric tonnes or 29.01 per cent of total output, while the Dangote Petroleum Refinery followed with 105,127 metric tonnes, representing 16.26 per cent of national production.
