Nigeria Grapples with 136% Increase in Kerosene Prices, Threatening Standard of Living

New data released by the National Bureau of Statistics (NBS) has revealed a sharp increase in the average retail price per litre of household kerosene in Nigeria.

The report titled ‘National Household Kerosene Price Watch- December 2022’ indicated that the average price per litre rose by 136% to N1,105 in December 2022 from N468 in the same period of the previous year.

The data also revealed that consumers paid an average of N1,105 in December 2022, an increase of almost 2% compared to N1,084 recorded in November 2022. However, the average price per litre rose by 136% from N468 in December 2021.

On state profile analysis, Abuja recorded the highest average price per litre with N1,383, followed by Akwa Ibom with N1,342 and Cross River with N1,300. Conversely, Bayelsa recorded the lowest price with N865, followed by Jigawa with N905 and Rivers with N917.

Moreover, analysis by zone showed that the South-East recorded the highest average retail price per litre with N1,204, followed by the South-West with N1,178, while the North-West recorded the lowest with N1,011.

The average retail price per gallon paid by consumers in December 2022 was N3,753, showing an increase of 4% from N3,594 in November 2022. On a year-on-year basis, it increased by 137% from N1,583 in December 2021. As of November, the average retail price per litre rose by about 146% from N441 in November 2021.

The report by NBS also showed an increase in petrol prices by 55% in January, which affected diesel and cooking gas prices as well.

The situation is likely to put a strain on households’ finances, especially those in low-income areas, who rely heavily on kerosene for cooking and lighting. The government must take steps to alleviate the burden on the citizens by providing alternative sources of energy and subsidizing the cost of kerosene.