1 Kg Cooking Gas May Sell For N2,000 By December – Marketers
The Nigerian Association of Liquefied Petroleum Gas Marketers on Monday, warned that a kilogram of cooking gas might be sold for N2,000 by December if some cabals in the industry are left unchecked.
This was as the association, accused some terminal operators of exploiting and limiting gas availability to Nigerians by incessantly increasing its price.
The association also labelled some of the marketers as the cabals who were buying the product cheaply from the source and selling it at a very high price to them.
These were disclosed by the association’s president, Oladapo Olatunbosun, who led other members to the Senate.
Olatunbosun noted that the Nigeria Natural Liquefied Gas has been consistent with its supply but the cabals have disrupted the availability of gas to Nigerians.
The marketer told the Senate that Nigerians have no reason to buy gas at the high rate they are buying it now.
He said, “The cabals are making it difficult for the average Nigerian to have access to gas. As of today, gas is sold by these terminal owners for N16.8 million for 20 metric tonnes whereas NNLG sells to them for a little bit less than N9 million.
“Some of them are NAVGas, NIPCOPLC, Matrix Energy Ltd, Prudent Energy Ltd, Shafa Energy, Techno Gas, StockGap Ltd, Mobil, Pan Ocean Limited, NNPC, OLogbo, NSPC Apapa, SHELL, Dozzy LPG terminal.”
“When people go to fill their gas today, the least they get is N1,200 per kilogramme – imagine the pains of Nigerians. In the Nigeria of today, can a student or menial worker afford to cook a cup of beans with a N1,200 cost of gas?
“If we don’t rise and checkmate the whole thing, the gas would become a luxurious product available to only the rich.
“By December, these cabals might start to sell 20 metric tonnes for N200 million. This would mean that gas will sell for 2,000 per kg and N25,000 for 12.5kg.”
“Even countries like Cote d’Ivoire, Ghana and the rest are no match to Nigerians in terms of gas production but the prices of gas are cheaper in those countries than here where we are the second largest producer of the gas production in Africa after Algeria, yet our people cannot afford to cook with gas.
“We produce gas more than we import. In fact, the proportion imported is so insignificant, but these cabals have refused to allow Nigerians to enjoy the dividends of this production and the efforts put in by the government.”
Responding, the Senate chairman on gas, Jarigbe Jarigbe, while noting that the issue was a very important National issue, assured the marketers that the Senate would not let the issue slide.
Senator Jarigbe said, “I have listened to you on behalf of the committee and the Senate.
“You know that this administration has talked about improving gas supply, LPG and there is a new revolution in terms of Compressed National Gas for vehicles to cushion the effect of the Subsidy removal.
“As it concerns your complaints that NLNG sells to the terminal owners for about 10m for 20 metric tonnes and they sell to you the markets with about N7 million margin; which would have a negative multiplier effect in the value chain of that to the final consumer, this is what the Senate will not agree with. And I know the executive will not agree with it either because that is not the intention of Mr. President.”
He added, “I want to thank you for your courage because it would have been possible for you to compromise at this stage but you decided to speak up for the common man.
“I would do more than what you have done. When the Senate President on a lighter note said Nigerians have to Breathe, it doesn’t mean for the very poor, it’s for Nigerians.
“We must allow ourselves to breathe, there is nobody that is not using gas today except those in the interior villages.
“With the issue of climate change and greenhouse gas emissions, we will do our best as a Senate to support you and support Nigerians because we were voted to represent our people and it is our job to protect them.”
“We promise to match words with action,” he noted.
Kazeem Badmus is a graduate of Mass Communication with years of experience. A professional in journalism and media writing, Kazeem prioritses accuracy and factual reportage of issues. He is also a dexterous finder of the truth with conscious delivery of unbiased and development oriented stories.
