The Federal Government has ordered immediate action to stop the illegal diversion, hoarding, and unauthorized export of cooking gas, also known as Liquefied Petroleum Gas (LPG), following a sharp rise in prices across the country.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, gave the directive during an emergency stakeholders’ meeting in Abuja. He instructed security agencies, including the Department of State Services (DSS), the Economic and Financial Crimes Commission (EFCC), and the Nigeria Police Force, to crack down on illegal storage, product diversion, and market manipulation.
Ekpo stressed the need for all stakeholders in the gas sector to move beyond discussions and take immediate action that will improve gas availability and reduce prices for consumers.
According to him, Nigerians should begin to see tangible results such as increased LPG supply, faster distribution to retail outlets, fewer artificial shortages, stronger enforcement measures, and lower prices.
Recent increases in cooking gas prices prompted the government’s intervention. In some parts of the country, LPG prices have reportedly climbed to as high as N2,400 per kilogramme, a situation regulators believe is being driven by hoarding, diversion, and speculative trading.
The minister called for coordinated efforts among producers, regulators, marketers, and distributors. He urged them to prioritize domestic supply, make stock levels and loading schedules public, improve distribution efficiency, and ensure products reach consumers without unnecessary delays.
Retailers and plant operators were also directed to display prices clearly, avoid arbitrary price increases, maintain safety standards, and promptly report supply disruptions.
The Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Rabiu Abdullahi Umar, said the agency is developing a new gas tariff regulation and pricing framework aimed at stabilizing the market.
Umar explained that the Petroleum Industry Act empowers the NMDPRA to promote fair and cost-reflective pricing. He said the authority is proposing measures that could return LPG prices to levels recorded about 18 months ago.
According to him, the target is to bring prices back to between N800,000 and N900,000 per metric tonne, which would significantly ease the burden on consumers.
He also announced stronger market monitoring, regular publication of market updates, and investigations into operators involved in hoarding or manipulating prices.
The regulator disclosed that LPG supply levels have improved following recent engagements with industry stakeholders. National LPG sufficiency has reportedly increased from about 11 days to 22 days.
Average daily supply in June rose to about 5.04 million metric tonnes, compared to 4.26 million metric tonnes recorded in May.
Umar added that the government is working to increase production capacity and address logistical challenges affecting supply. He noted that issues related to vessel operations and turnaround times at the Nigeria LNG (NLNG) facilities are being tackled through ongoing discussions.
Despite Nigeria’s large gas reserves, Umar acknowledged that the country still faces a supply gap due to inadequate infrastructure and limited domestic utilization of locally produced gas.
To address the shortfall, Nigeria plans to import about 165,000 metric tonnes of LPG in the third quarter of 2026.
He also noted that global market disruptions and tensions in the Middle East have contributed to price volatility in the domestic gas market.
The NMDPRA boss further identified regulatory and shipping challenges affecting domestic supply and said additional discussions would be held with relevant government agencies and industry operators to resolve them.
At the meeting, government officials assigned specific responsibilities to various stakeholders. Producers were directed to prioritize supplies for the local market, depot operators were asked to improve loading and evacuation processes, marketers and importers were encouraged to bring in additional volumes when necessary, while transporters were tasked with reducing delivery bottlenecks.
The Federal Government reiterated its commitment to protecting consumers, improving LPG availability, and supporting investments that will strengthen Nigeria’s gas-powered economy.
Officials expressed confidence that the new measures would help lower cooking gas prices and improve access to the product nationwide.