The Federal Government has halted the export of domestically produced cooking gas, in order to prioritise supply for local consumption, with effect from November 1, 2024.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, made an announcement on Tuesday regarding a measure aimed at easing the escalating costs of gas. This initiative is set to be implemented starting November 1, 2024.
This information was shared in a statement from the Minister’s spokesperson, Louis Ibah, in Abuja.
Ibah emphasized that the decision was made following a crucial high-level meeting in Abuja, where the minister gathered key stakeholders to discuss the soaring prices and the resulting difficulties faced by Nigerians.
He said, “With effect from November 1, 2024, NNPCL and LPG producers are to stop exporting LPG produced in the country or import equivalent volumes of LPG exported at cost-reflective prices.”
In terms of the pricing framework, he directed the Nigerian Midstream and Downstream Petroleum Regulatory Authority 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 the cost of in-country production, rather than the current practice of indexing against external markets, such as those in the Americas and Far East Asia, whereas the commodity is produced in-country and the Nigerian people are required to pay a much higher price for an essential commodity with which the country is naturally endowed.”
