The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has blamed wholesalers, retailers and middlemen for the sharp increase in cooking gas prices across the country.
Speaking at an emergency stakeholders’ meeting convened by the Ministry of Petroleum Resources, NMDPRA Chief Executive, Rabiu Umar, said marketers were charging prices far above the regulator’s indicative benchmarks.
According to the authority, consumers in the South-West currently pay between ₦1,600 and ₦2,100 per kilogram of liquefied petroleum gas (LPG), despite an indicative price range of ₦1,018 to ₦1,177 per kilogram. Similar disparities were recorded in other regions.
The regulator attributed the price gap to non-cost reflective pricing, profiteering by wholesalers and retailers, and distribution challenges.
NMDPRA also expressed concern that a significant portion of locally produced LPG is being exported instead of supplied to the domestic market. It disclosed that Chevron Nigeria produced 148,222 metric tonnes of LPG between January and May 2026 but exported the entire volume.
The authority reported a domestic LPG supply deficit of 91,966 metric tonnes between January and June 18, with total supply falling short of benchmark demand.
It further noted that marketers allocated import quotas of 390,000 metric tonnes for the second quarter utilised only 4.2 per cent of the approved volume, raising concerns about a possible supply gap of 165,000 metric tonnes in the third quarter.
To stabilise the market, NMDPRA said it has begun audits and enforcement measures to enable more terminal operators to purchase directly from producers, reducing reliance on intermediaries. It also plans to improve foreign exchange access for imports, expand gas infrastructure and increase domestic supply through the Anoh Gas Processing Plant, expected to commence contributions from July 2026.
