Federal Government has directed security agencies and industry regulators to clamp down on 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.
Gatekeepers News reports that the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, while speaking at an emergency stakeholders’ meeting in Abuja, said the Department of State Services (DSS), the Economic and Financial Crimes Commission (EFCC) and the Nigeria Police Force would be mobilised to address practices fueling the price surge.
Ekpo also 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 LPG distribution and pricing.
The minister disclosed that marketers had indicated their readiness to increase imports where necessary, while additional domestic supplies, including output from the Seplat gas facility, are expected to improve availability in the coming weeks.
“We are also exploring a local blending initiative with Nigeria LNG Limited, local producers, and the Port Harcourt plant operator to move locally produced LPG closer to the market, reduce import pressure and logistics costs, improve reliability, and support more stable pricing,” Ekpo said.
He urged industry players to ensure adequate supply and avoid actions that could worsen market conditions.
“Marketers and importers (must) bring in additional volumes where required, share arrival and discharge timelines, price responsibly, and avoid withholding product for speculative gain, while transporters and logistics operators (must) increase truck availability, clear delivery bottlenecks, keep haulage costs transparent, and move product quickly to areas of high demand,” he said.
Ekpo further directed retailers to display prices openly, avoid arbitrary increases and promptly report any supply disruptions.
In a presentation at the meeting, the Chief Executive Officer of NMDPRA, Rabiu Umar, accused some wholesalers and retailers of charging prices that do not reflect actual costs, pushing cooking gas prices to as high as N2,100 per kilogram despite significantly lower indicative prices issued by the regulator.
According to the authority, consumers in several parts of the country are paying far above official pricing benchmarks due to profiteering by marketers and persistent distribution challenges.
The regulator noted that LPG currently sells between N1,600/kg and N2,100/kg in the South-West, compared with its indicative price range of N1,018/kg to N1,177/kg.
In the North-Central region, prices range from N1,550/kg to N1,950/kg against a benchmark of N1,066/kg to N1,224/kg, while consumers in the South-South pay between N1,400/kg and N2,000/kg compared to the regulator’s guide of N1,021/kg to N1,179/kg.
NMDPRA attributed the disparity to non-cost-reflective pricing and distribution bottlenecks, warning that domestic LPG supply is also being affected by exports.
According to the regulator, 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 total national production during the period.
The authority said it would engage the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Ministry of Petroleum Resources to secure more LPG volumes for domestic consumption.
Data presented at the meeting showed that Nigeria LNG Limited (NLNG) was the largest LPG producer during the review period, accounting for 187,559 metric tonnes or 29.01 per cent of total output, followed by the Dangote Petroleum Refinery with 105,127 metric tonnes, representing 16.26 per cent.
