Nigeria may soon experience a sharp increase in the price of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, as supply tightens across major depots amid rising domestic demand.
Market data shows that only a few suppliers, including Dangote Petroleum Refinery, Ardova Plc, and Navgas, currently have commercial LPG volumes available in the domestic market.
Depot prices have already climbed, with Dangote selling at about N1,060 per kilogram, Ardova at N1,065/kg, and Navgas at N1,085/kg. Industry players warn that retail prices could rise significantly if the supply shortage continues, potentially pushing cooking gas to as high as N1,500 per kilogram from the current average of around N1,300/kg.
Energy experts attribute the pressure to increased household and commercial demand, as more Nigerians continue switching from traditional fuels to LPG for cooking due to convenience and environmental benefits.
According to industry analysts, the imbalance between supply and demand is tightening availability, especially in Lagos and other high-consumption areas.
Meanwhile, recent data from petroleum regulatory agencies shows that domestic gas usage in Nigeria increased in March 2026, reflecting stronger consumption from power plants, industries, and other commercial users.
The Nigerian gas sector also recorded a high utilisation rate of about 93.5 percent, as more of the country’s total gas output was consumed locally rather than exported.
Analysts say the trend highlights Nigeria’s growing dependence on natural gas for electricity generation and industrial energy needs, even as infrastructure and supply challenges continue to put pressure on pricing.
