LAGOS, Nigeria (FN), The price of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, may rise sharply across Nigeria as depot stocks dwindle amid surging domestic demand, industry operators warned Tuesday.
Market checks showed that only Dangote Petroleum Refinery, Ardova Plc and Navgas currently have commercial volumes of LPG available for sale. Depot pricing monitored Tuesday indicated Dangote sold at N1,060 per kilogram, Ardova at N1,065/kg, and Navgas at N1,085/kg.
Retail prices, which now average about N1,300/kg nationwide, could climb to N1,500/kg if the supply squeeze persists, according to operators.
“The likelihood is high that the price of cooking gas will rise in the coming days because of strong demand. Many homes and businesses have shifted to LPG,” said Olatide Jeremiah, Chief Executive Officer of Petroleumprice.ng.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority reported that domestic gas utilisation increased in March 2026, reinforcing the government’s push to deepen local consumption of natural gas for power generation, industries and households.
Data from the Nigerian Upstream Petroleum Regulatory Commission showed domestic gas sales rose to 55,903.72 million standard cubic feet (MMSCF) in March from 52,300.45 MMSCF in February. Nigeria produced 240,510.62 MMSCF in March, of which 224,935.06 MMSCF was utilised, representing a 93.5 percent utilisation rate.
The figures highlight growing reliance on gas-fired power plants and industrial consumption at a time the country continues to battle electricity shortages and seeks cleaner alternatives to diesel and fuel oil.
Nigeria is Africa’s largest oil producer but has struggled to stabilise its domestic LPG market. Despite abundant natural gas reserves, infrastructure bottlenecks, foreign exchange constraints and supply chain disruptions have often led to price volatility.
The government has promoted LPG adoption as part of its “Decade of Gas” initiative launched in 2021, aimed at reducing reliance on kerosene and firewood, cutting carbon emissions, and expanding cleaner energy access. However, inconsistent supply and rising costs remain major challenges for households and small businesses.
Industry analysts say the current supply pressure underscores the need for expanded storage, distribution infrastructure and investment in local refining capacity to meet Nigeria’s growing energy demand.
