The Federal Government has ordered security agencies to take actions against hoarders and entities illegally diverting cooking gas in Nigeria causing prices to skyrocket.
Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo revealed that the Department of State Services (DSS), Economic and Financial Crimes Commission (EFCC), and the Nigeria Police Force would be involved in the clampdown, according to TheCable.
The Minister stated that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) will intensify market surveillance. The agency will also work alongside security operatives to eliminate artificial scarcity and promote transparency to curb price manipulation.
We are also exploring a local blending initiative with Nigeria LNG Limited, local producers, and the Port Harcourt plant operator to move locally produced LPG closer to the market, reduce import pressure and logistics costs, improve reliability, and support more stable pricing,” the minister said.
According to the NMDPRA, the surge in cooking gas prices may be linked to several factors. These include hoarding and illegal diversion for export by certain entities. These factors have caused artificial scarcity despite the absence of any major decline in production output by major players.
The government’s action is expected to curb the ongoing surge in gas prices across the country. Currently, cooking gas is sold at over N2,000; ranging from N2,200 to more than N2,400 nationwide.
