The Federal Government made a significant announcement on Thursday, February 23, revealing its decision to halt the exportation of Liquefied Petroleum Gas (LPG), commonly known as cooking gas. This strategic move aims to mitigate the ongoing scarcity and reduce the skyrocketing prices of cooking gas within the country.
The announcement was made by the Minister of State for Petroleum Resources, Ekperikpe Ekpo, during the “Internal Stakeholders’ Workshop” held in Abuja, under the theme “Harnessing Nigeria’s Proven Gas Reserves for Economic Growth and Development.”
When questioned about the government’s efforts to curb the rising cost of domestic gas, Ekpo highlighted ongoing discussions with key stakeholders, including the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and major operators like Mobil, Chevron, and Shell, to tackle the issue effectively.
He emphasized that the cessation of LPG exportation would lead to a higher availability of the product in the domestic market, which is expected to result in a substantial decrease in price. “By ensuring that all LPG produced in the country is used domestically, we anticipate a significant increase in supply, which should naturally lead to a reduction in price,” Ekpo explained.
The Minister also mentioned that he is in regular communication with regulatory bodies and producers, indicating a strong likelihood of positive change in the near future. “We are constantly in meetings, almost daily, with the NMDPRA and producers such as Mobil, Chevron, and Shell. We are confident that the situation will improve, and there’s no need to make a fuss about it,” he added.