- Cooking gas prices in Nigeria have surged to ₦1,000 per kilogramme following a price increase by the Dangote Refinery and rising global crude oil costs.
- The hike reflects growing pressure from logistics, imports, and supply chain constraints, worsening the burden on households.
Pressure is mounting on household energy costs as cooking gas prices continue to rise across Nigeria. Marketers have warned that prices may increase further following a new adjustment by the Dangote Petroleum Refinery and rising global crude oil prices.
Retail prices have already climbed to about ₦1,000 per kilogramme. Marketers attribute the increase to higher ex-depot prices, rising logistics costs, and broader supply chain pressures.
The Dangote refinery recently raised its LPG ex-gantry price. It moved prices from between ₦760 and ₦800 last week to ₦825 per kilogramme on Monday, March 23.
Industry players say this adjustment has triggered price increases across the downstream market. As a result, consumers now face higher costs at retail outlets nationwide.
The Publicity Secretary of the Nigerian Association of Liquefied Petroleum Gas Marketers, Damilola Owolabi-Osinusi, confirmed the trend. She said consumers should expect further increases.
She said, “Yes, definitely. The price of cooking gas will rise. The prices have already increased to ₦1,000 per kg at retail stations. This is because of the cost of logistics. It has increased too, haulage and other loading costs, particularly haulage. Even the Dangote refinery has increased its price. It’s ₦825 from Dangote as of today.”
Her comments highlight the widening gap between ex-depot and retail prices. They also show how supply chain costs continue to push up final consumer prices. Operators say rising transportation costs are worsening the situation. Higher diesel prices and operational bottlenecks have further increased distribution expenses.
In addition, global crude oil prices continue to rise. This trend directly affects LPG pricing because both products come from hydrocarbon processing.
As crude prices increase, the cost of propane and butane also rises. Import parity prices increase and put pressure on domestic supply. Nigeria still relies partly on LPG imports despite its gas reserves. Therefore, global energy shocks continue to influence local pricing.
The rising costs are expected to strain households further. Many Nigerians already face high food and energy expenses, while LPG remains a key cooking fuel in urban areas.
The Federal Government has promoted LPG adoption as part of its clean energy transition. However, repeated price increases continue to affect affordability and slow adoption. Marketers say the upward trend may persist. They note that prices will likely remain high unless crude prices fall or authorities address logistics and distribution costs.
Stakeholders also point to foreign exchange volatility, high vessel charges, and infrastructure gaps. These factors continue to affect the domestic gas market. With the Dangote refinery playing a larger role in LPG supply, its pricing decisions now shape market trends. Despite concerns, marketers insist the adjustments remain market-driven.
Meanwhile, Ukraine is exploring new energy supply options. President Volodymyr Zelenskyy said the country is considering importing liquefied natural gas (LNG) from Mozambique.
Ukraine has faced severe energy shortages due to Russian attacks on its infrastructure. These strikes have reduced domestic gas production significantly. Before the war, Ukraine met most of its gas needs locally. However, it has now lost about half of its production capacity.
Russia intensified attacks on gas facilities last autumn. Many of these facilities are located in frontline regions.
Zelenskyy discussed potential cooperation with Mozambique’s President, Daniel Chapo. He suggested both countries could benefit from energy and security collaboration. He said, “Ukraine is interested in additional energy supplies. Mozambique is interested in Ukraine’s experience and technologies to strengthen its internal security and protect people from terror.”
Mozambique remains a major gas producer in Africa. In January, it and TotalEnergies agreed to relaunch a major LNG project. The project has the capacity to produce 13 million metric tonnes of LNG annually. It is expected to position Mozambique as a major exporter.
Ukraine has not imported Russian gas since 2015. Instead, it has expanded LNG imports from the United States through European terminals. The country also imports LNG through pipeline networks linked to Greece. Recently, Ukraine began storing gas ahead of the next heating season.
Energy Minister Denys Shmyhal said the country aims to store at least 13 billion cubic metres of gas. This target matches levels from the previous season. Since the war began, Ukraine has limited disclosure of its gas imports.