“For Aisha, a single mother in Maiduguri, the soaring price of cooking gas means choosing between feeding her children or keeping the stove lit. This is the harsh reality for millions of Nigerian families as the cost of a 5kg cylinder reaches ₦6,915—an all-time high.”
The cost of cooking gas in Nigeria has reached a record high, with the price of a 5kg cylinder averaging ₦6,915 in October 2024, according to the latest report by the National Bureau of Statistics (NBS). This steep increase is particularly hard on households in the North-East region, which recorded the highest prices. As Nigerians grapple with economic pressures, the soaring cost of cooking gas threatens household energy choices, health, and overall living standards.
What’s Driving the Price Hike?
Several factors contribute to the surge in cooking gas prices:
• Exchange Rate Volatility: The weakening of the Naira against the US Dollar has driven up the cost of imported Liquefied Petroleum Gas (LPG), which makes up the bulk of Nigeria’s domestic supply.
• Global Market Trends: Rising international crude oil prices have directly impacted LPG prices, as it is a byproduct of oil refining.
• Supply Chain Disruptions: Limited infrastructure for storage, distribution, and bottling has led to inefficiencies, driving prices higher in underserved regions.
• Regulatory Challenges: Taxes and levies on gas imports have further inflated costs. Despite calls for reform, these regulatory barriers remain a significant burden.
Impact on Nigerian Households
The spike in cooking gas prices has far-reaching consequences, particularly for low-income households that already struggle with inflation and high living costs.
• Shift to Alternative Fuels: Many families are turning to firewood, charcoal, and kerosene—cheaper but harmful alternatives.
• Health Risks: Biomass fuels contribute to indoor air pollution, a leading cause of respiratory illnesses, particularly among women and children.
• Rising Cost of Living: Cooking gas is a necessity for urban households. As prices soar, families face tough choices between energy needs and other essentials like food and education.
• Regional Inequality: Households in the North-East, where prices are highest, bear a disproportionate burden, exacerbating existing disparities in energy affordability.
Regional Price Comparison
Nigeria Cooking Gas Prices (October 2024):
• National Average: ₦6,915 (5kg cylinder)
• North-East: ₦7,200
• South-West: ₦6,500
The North-East consistently records higher prices due to supply chain constraints and limited infrastructure.
Policy and Industry Solutions
Addressing this affordability crisis requires immediate and long-term measures. Key recommendations include:
1. Subsidies and Tax Reforms
• Temporarily reducing or eliminating taxes on LPG imports can help stabilize prices in the short term.
2. Boosting Domestic Production
• Investing in local gas processing plants and improving storage and distribution infrastructure can reduce dependence on imports and shield prices from currency fluctuations.
3. Incentivizing Renewable Energy
• Expanding access to biogas and solar cookers can provide sustainable, affordable alternatives to LPG.
4. Public Awareness Campaigns
• Educating households on efficient cooking practices and the health risks of biomass fuels can mitigate some of the crisis’s impact.
Learning from Other Countries
Nigeria can draw lessons from countries like India, which tackled similar challenges by incentivizing domestic LPG production and offering subsidies to low-income households. These measures reduced dependency on imports and made cooking gas more affordable for millions.
A Call for Immediate Action
The rising cost of cooking gas underscores the urgent need for a comprehensive energy policy that balances affordability, accessibility, and sustainability. Without swift intervention, more households risk falling into energy poverty, further widening the gap in social and economic equality.
Conclusion
Cooking gas, once a cleaner and more efficient alternative for Nigerian households, is increasingly becoming a luxury. Policymakers and industry leaders must act decisively to address the root causes of this crisis and provide relief to struggling families. By fostering local production, reforming taxation, and promoting alternative energy solutions, Nigeria can build a more equitable and sustainable energy future.
“If decisive action isn’t taken, more Nigerian families may find themselves cooking in the shadows of an energy crisis.”
