Economy

Nigerians to Spend More this Xmas as Price of Cooking Gas Rises

Nigerian households to spend more celebrating Christmas this year as the price of cooking gas jumped up with other consumer goods.

Data from the National Bureau of Statistics (NBS), revealed that some Nigerians paid as much as N10,000 for a 12.5kg LPG as of September 2022.

The average price of 5kg cooking gas increased from N4,397.68 in July to N4,456.56 in August. The price in August indicated a 1.34 percent increase on a month-on-month basis from what was obtained in July.

In its liquefied petroleum gas (LPG) price watch report for September 2022, the National Bureau of Statistics  (NBS) disclosed that the average retail price for refilling a 5kg cylinder of LPG increased by 0.40% to N4,474.48 in September from N4,456.56 in August. On a year-on-year basis, the price rose by 86.62% from N2,397.60 for the same volume in September 2021. 

On a state-by-state basis, Kwara recorded the highest average price of N4,950 for 5kg of cooking gas, followed closely by Niger at N4,941.67, and Adamawa at N4,928.29kg.

Meanwhile, Abia recorded the lowest price at N4,044.44, followed by Anambra and Kano State at N4,100.00 and N4,109.67, respectively.

Geo-political analyses revealed that the North-Central recorded the highest average retail price of N4,715.74 for 5kg of cooking gas, followed by the Northeast at N4,539.41. The South-South recorded the lowest retail price at N4,317.92.

Due to the incessant rise in the price of gas in the country, many Nigerians are now turning to charcoal despite its danger to the environment.

The president of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), Oladapo Olatunbosun, has blamed ‘portfolio investors’ for the high cost of cooking gas. He said the government through the NLNG has been injecting sufficient gas into the market, but middlemen who are aiming to maximize profits are responsible for the surge in price.

Nigeria’s persistent increase in prices of goods and services despite the weak earnings and lower job creation is the reason for the recent jump in the number of Nigerians living below the poverty line, Investors King understands.

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