The federal government has directed security agencies and industry regulators to take action against the hoarding, diversion and speculative storage of liquefied petroleum gas (LPG), commonly known as cooking gas, amid rising prices across the country.
Speaking at an emergency stakeholders’ meeting in Abuja, Ekperikpe Ekpo said agencies including the Department of State Services (DSS), the Economic and Financial Crimes Commission (EFCC) and the Nigeria Police Force would work to address practices contributing to price increases.
The minister instructed the Nigerian Midstream and Downstream Petroleum Regulatory Authority to strengthen market monitoring and collaborate with security agencies to eliminate artificial scarcity, improve transparency and discourage market manipulation.
Ekpo said marketers had indicated their readiness to increase imports where necessary, while additional domestic supply sources, including the Seplat gas facility, are expected to improve product availability in the coming weeks.
He also disclosed that the government is considering a local LPG blending initiative involving Nigeria LNG Limited, local producers and operators of the Port Harcourt gas plant to reduce import dependence, lower logistics costs and stabilise prices.
According to the minister, marketers and importers must bring in additional supplies when needed, provide timely information on cargo arrivals and avoid withholding products for speculative gains.
He added that transport and logistics operators should improve product distribution, increase truck availability and ensure transparent haulage costs, while retailers must display prices clearly and avoid arbitrary price hikes.
Meanwhile, the Chief Executive Officer of the NMDPRA, Rabiu Umar, said wholesalers and retailers were charging prices far above regulatory estimates, pushing the cost of cooking gas to as much as N2,100 per kilogramme in some parts of the country.
The regulator said consumers are paying significantly higher prices than its indicative benchmarks due to profiteering and distribution challenges.
According to NMDPRA data, cooking gas currently sells between N1,600 and N2,100 per kilogramme in the South-West, compared with the regulator’s benchmark 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 an indicative price of N1,066 to N1,224, while consumers in the South-South pay between N1,400 and N2,000 per kilogramme despite a benchmark of N1,021 to N1,179.
The authority attributed the disparity to non-cost-reflective pricing, distribution bottlenecks and the diversion of domestic supplies to export markets.
NMDPRA disclosed that Chevron Nigeria Limited produced 148,222 metric tonnes of LPG between January and May 2026 and exported its entire output, representing 22.93 percent of national production during the period.
The regulator said it would engage the Nigerian Upstream Petroleum Regulatory Commission and the Ministry of Petroleum Resources to secure more LPG volumes for the domestic market.
Data presented at the meeting showed that NLNG remained the largest LPG producer during the period, accounting for 187,559 metric tonnes or 29.01 percent of total output, followed by the Dangote Petroleum Refinery with 105,127 metric tonnes, representing 16.26 percent of production.
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