The Federal Government has set-up a committee to find a lasting solution to the fluctuating price of Liquefied Petroleum Gas (LPG) also known as cooking gas.
This followed the rise in the price of LPG from about N700 per kilogramme to above N900 in some parts of the country.
The committee, which was mandated to recommend the best ways to boost supplies and crash the prices, are expected to submit their findings within one week.
This was the outcome of the deliberation at a stakeholders meeting between the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo; top officials of Chevron Nigeria Limited led by Sansay Narasimha; members of Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA) and Nigerian National Petroleum Company Limited (NNPC Ltd).
The committee is headed by the Chief Executive Officer of NMDPRA, Engr Farouk Ahmed.
Ibah quoted the minister as saying that with the exponential increase in the price of LPG, there is the need for the Federal Government to intervene and he is the representative of the Federal Government.
The minister disclosed that the key challenges identified as responsible for the price increase included scarcity of foreign exchange for imports, as well as insufficient supply of gas to the domestic market by producers.
He said that President Bola Tinubu is worried over the astronomical increase in the price of cooking gas and the attendant hardship on the majority of citizens.
The minister informed that the increase manifested as some of the multinational oil and gas firms were more concerned with gas exports without dedicating huge volumes for the domestic market.
This, he said was unacceptable and should be discouraged since the country boasts of abundant gas reserves.
“We acknowledge that some producers are exporting while we are faced with the challenges of importation.
“Public interest is the overriding interest all over the world for the government and the demand for LPG will increase as we approach December.
“You have a public service obligation to collaborate with the government to ensure security of gas supply,” the minister said.
Ekpo suggested the need to find workable solution to the price hike so that there would be sufficient supply and stability of the product in the country.
These were contained in a statement by the Minister’s spokesperson, Louis Ibah on Monday in Abuja.
News Flash