October 22, (THEWILL) – The Federal Government has banned the exportation of Liquefied Petroleum Gas (LPG), also known as cooking gas, in order to crash the prices across the country.
Ekperikpe Ekpo, minister of state for petroleum resources (gas), made this known during a stakeholders meeting to address the skyrocketing price and its attendant hardship on Nigerians.
A statement by Louis Iba, the spokesperson of the Minister, said the short term solution takes effect from November 1, 2024.
“Effect from November 1, 2024, NNPCL and LPG producers are to stop exporting LPG produced in-country, or import equivalent volumes of LPG exported at cost reflective prices”, he directed.
Expressing concern over the continuous increase in the price of cooking gas in the country, Ekpo directed the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to meet with stakeholders to derive the pricing framework within 90 days.
“Pricing Framework: NMDPRA will engage stakeholders to create a domestic LPG pricing framework within 90 days, indexing price to cost of in-country production, rather than the current practice of indexing against external markets, such as the Americas and Far East Asia, whereas the commodity is produced in-country and the Nigerian people are required to pay much higher price for an essential commodity the country is naturally endowed with.
“Wthin 12 months, facilities will be developed to blend, store and deliver LPG, ending exports until the market achieves sufficiency and price stability”, he said.
