Example of Skid Plant; dispensing (LPG) cooking gas
In view of what industry experts finger as acute supply shortages, import issues, depot price hikes, and foreign exchange pressures, the retail price of cooking gas (LPG) in Nigeria has crossed N2,000 and still jumping in parts of the country including Lagos.
Nationwide, prices average between N2,250 and ₦2,500 per kilogramme. The total cost to refill standard cylinders varies considerably depending on the specific location and the retailer:
Cooking Gas Breakdown by Cylinder Size
1kg Refill: ₦1,500 – ₦2,500
3kg Refill: ₦4,500 – ₦7,500
5kg Refill: ₦7,500 – ₦12,500
6kg Refill: ₦9,000 – ₦15,000
12.5kg Refill: ₦18,750 – ₦31,250 [1, 2, 3, 4, 5]
Key Driving Factors Behind the High Costs
Depot Supply Squeeze: Retailers face severe supply constraints as 20 metric tonnes of LPG at the depots trade between ₦21.8 million and ₦26.2 million.
Logistical Challenges: High distribution and transport costs across Lagos continue to strain retailers’ margins.
Location Disparities: Prices are typically higher in high-demand residential areas and on the Island compared to parts of the Lagos Mainland.
Wharf Landing Tax charged by Lagos State government.
No official comment has been put out by the government as being the cause of the hike.
