Gas Dealers Slash Cooking Gas Price to N1,100 Per Kg Amid Stronger Naira and Lower Costs

Gas prices are dropping as the Nigerian currency, the naira, strengthens. Sellers have reduced cooking gas prices from N1,500 per kg to around N1,100.

This comes after concerns raised by Nigerians and gas dealers in the Federal Capital Territory (FCT) about the increasing cost of cooking gas in March 2024. Dealers have responded to these concerns by lowering prices.

At Gasland in the Iju-Ishaga area of Lagos, the retail price of gas dropped to N1,100 per kg from N1,500 in March. A 12.5kg cylinder, which sold for N14,400 two weeks ago, now goes for N13,300. A Gasland plant manager attributes the price drop to the availability of foreign exchange for imports, stating that the appreciation of the naira has contributed to the reduction.

If the Central Bank of Nigeria (CBN) continues its forex interventions, prices may further decrease. The naira has strengthened to N1,100 per dollar in the parallel market and N1,148 per dollar in the official market, up from N1,600 in February and early March 2024.

LPG was also included among items eligible for tax waivers by the Nigerian government to alleviate the product’s cost.