Experts attribute rising cooking gas prices to Middle East tensions, forex volatility

By Okeoghene Akubuike

Experts say rising global energy prices, exchange rate volatility, and supply distribution challenges are driving up the cost of Liquefied Petroleum Gas (LPG), popularly known as cooking gas in Nigeria.

The experts said this in an interview with the News Agency of Nigeria(NAN) in Abuja on Sunday.

They attributed the current persistent increase in the price of LPG to geo-political tensions in the Middle East, high transportation costs, and infrastructure gaps within the domestic supply chain.

NAN reports that cooking gas is currently being sold for between N1,350 and N1,500 per kg in the Federal Capital Territory (FCT), with some roadside retailers charging as high as N1,600 per kg.

With the development, consumers now spend between N6,750 and N7,500 to refill a 5kg cylinder, while refilling a 12.5kg cylinder costs between N16,875 and N18,750.

An economist, Mr Opeyemi Alabi, said the ongoing U.S.-Iran conflict had triggered increases in global Brent crude oil and LPG prices, with direct implications for Nigeria’s domestic market.

“The LPG is a globally traded commodity often priced in U.S. dollars. Significant fluctuations or devaluation of the naira can immediately increase the landing cost of imported gas, which still accounts for a large share of Nigeria’s supply.”

Alabi explained that increases in global Brent crude oil prices and international LPG benchmarks were usually reflected in local retail prices, including products supplied domestically by Nigeria LNG (NLNG).

“These factors have contributed to a steady upward trend in national energy expenses,” he added.

Also speaking, an energy expert, Mr Chris Mordi, said the LPG market in Nigeria remained heavily influenced by international energy costs and foreign exchange fluctuations.

According to him, temporary shortages at depots, inadequate storage infrastructure and high logistics costs continue to affect product availability and retail prices in spite of improvements in local production.

“The April 2026 report by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) revealed that Nigeria achieved 100 per cent domestic LPG supply for the month.

“A major highlight of the report was the total elimination of LPG imports in April 2026.

“However, supply gaps are still being recorded in some parts of the country due to inadequate storage facilities, transportation constraints, distribution bottlenecks and inconsistent product evacuation from depots.”

Mordi added that the U.S.-Iran conflict had also affected the importation of LPG, with global LPG benchmarks increasing and affecting domestic prices.

NAN gathered that cooking gas marketers have raised alarm over worsening LPG shortages in Nigeria.

They say the suspension of the naira-for-crude deal with Dangote Refinery in September 2025 forced transactions back to the dollar, driving up depot prices.

Marketers also report worsening supply of cooking gas nationwide, with several gas plants in the South-East shutting down due to scarcity.

Meanwhile, residents of the FCT have continued to express concern over the increasing cost of cooking gas, describing it as an additional burden on household finances.

Mr Henry Azubuike, an environmentalist, urged the Federal Government to make cooking gas more affordable if serious about promoting cleaner cooking alternatives.

“If the government is sincere about ensuring cleaner energy for Nigerians, then cooking gas should be affordable and readily available,” he said.

Another resident, Mrs Nimi Eka, a businesswoman, said the rising cost of cooking gas had forced many households to cut down on its usage.

“Cooking gas is selling for N1,500 per kg in my area in Gudu. So, I bought only 7kg and redirected the money I saved from refilling my cylinder to other household expenses.”

Eka called for sustainable government policies to improve cooking gas supply and stabilise prices.

Mr Haruna Mustapha, a civil servant, said the increasing prices of gas cylinders and refilling costs would discourage Nigerians from embracing LPG usage.

“A 12.5kg new gas cylinder now sells for as much as N60,000. If both the cylinder and gas prices continue to rise, many Nigerians will abandon cooking gas and seek alternatives.

Mustapha, however, said the alternatives such as kerosene and charcoal were also becoming expensive for the average Nigerian, as he urged the government to take urgent steps to ensure cooking gas becomes cheaper and more accessible.

Beatrice Ali, a trader, said the rising cooking gas prices had forced low-income families to ration usage and buy smaller quantities.

Ali noted that some households were returning to firewood and charcoal as gas had become unaffordable.

“Before now, I could conveniently refill my gas cylinder every month, but now I buy in smaller quantities just to manage.

“The price keeps increasing almost every week and it is affecting family feeding and other household expenses, this has made some families return to charcoal and firewood, ” she said.

Mrs Ohunene Shehu, a food vendor said the rising cost of cooking gas was affecting small businesses that rely on it for daily operations.

“Refilling gas cylinders is becoming too expensive and it is reducing our profits.
“Some food vendors are already going back to charcoal and firewood because they can no longer cope with the constant increase in prices,” she said.

Shehu urged the government to introduce measures that would stabilise LPG prices and support small businesses struggling with rising operating costs.

The Federal Government is supporting LPG supply efforts by Dangote Refinery and NLNG, while also urging stakeholders in the supply chain to ensure that cooking gas reaches consumers at fair prices rather than being heavily marked up by independent marketers.