BusinessDay

Cooking gas, kerosene prices skyrocket amid cost of living crisis

…prices to rise further on flooding

The average retail price paid by consumers to purchase Liquefied Petroleum Gas (LPG) also known as cooking gas and Household Kerosene (HHK) has continued to skyrocket.

Data obtained from the National Bureau of Statistics (NBS) show that the average retail price for refilling 12.5kg of cooking gas rose by 61 percent to N9,906 in September, from the same period last year.

On a month-on-month basis, it increased by 0.07 percent from N9,899 in August.

In addition, experts suggest that the price of cooking gas will surge if the force majeure by NLNG, due to flood persists.

Jide Pratt, chief operating officer, Aiona and country manager, Trade Grid said the cost of purchasing cooking prices will surge.

He said, “Do not forget LPG had already suffered from short supply and NLNG was ramping up local supply. So, the gap increases and imports with high dollar exchange will definitely lead to higher LPG prices.”

For kerosene, the average retail price paid by consumers rose by 118 percent to N947 in September this year, from the same period last year. On a month-on-month basis, the price increased by 17 percent from N809 in August.

Akigbade Olanike, a caterer who lives in Owode Ibeshe, Ikorodu told BusinessDay that the price rose from N300 per kg to N750 per kg. “I used to fill by cylinder for N4000 before, however, I now refill it for N9000,” she said.

Olanike further said the cooking gas does not last for long and her profit from the business has declined. “We just have to stick to using cooking gas. We have no other option because we cannot use firewood for cooking. It will slow down our work,” she lamented.

On the other hand, Taiwo Folake, a widow, who lives in Mowe Ibafo Ogun State and runs a pastry business said she refills her 12.5kg for N11,000. “isn’t that madness?”

According to her, it has been tough to put up with the cost of living in Nigeria. Things are getting really difficult for me and my job.

In addition, Adeleye Bose, a fashion designer, who lives in Fadeyi, Lagos said she used to fill her 6kg cylinder for N800. However, she currently refills it for N1000 per kg.

Read also: Cooking gas: NALPGAM cautions Nigerians against panic buying

She said, “This surge in price by N200 is really affecting me. For now, I do not have any alternative, but I have plans on getting an electric cooker.”

During a discussion with some women selling roasted corn, yam, and plantain, at Doyin bus stop, Lagos, they stressed that the cost of kerosene keeps increasing.

Oluwakemi Balogun, who sells roasted yam and plantain said she buys a litre of kerosene for N800 and uses it for at least two days.

She said, “Apart from just using it for roasting my yam and plantain, I also use it to power my lantern during the evening, in other for me to make some sales.”

For Nwankwo Ngozi, who sells roasted corn and plantain, the high cost of kerosene limits her daily profit. “We usually buy a litre of kerosene for N800, sometimes, N850.”

“Due to the high cost of living, I have started selling recharge cards, to balance my profit,” she said.

Moturayo Tijani, a moimoi seller, who lives in Rabaka, Ikorodu –Lagos, said that the cost of kerosene she buys from the market rose from N300 to N500 per litre.

She further said she buys a bag of charcoal for N3000. “I sell moimoi for N100, N150 and N200. For me to manage, I reduced the quality and sold it at the same price.”

According to NBS, Cross River recorded the highest average retail price for the refilling of a 12.5kg cylinder of cooking gas with N10,938, followed by Kogi with N10,760 and Oyo with N10,724.

The lowest average price was recorded in Yobe with N8,350, followed by Katsina and Taraba with N8,546 and N9,026 respectively.

Analysis by zone showed that the South-West recorded the highest average retail price for refilling a 12.5kg cylinder of cooking gas at N10,320 followed by the South-South with N10,202 while the North-East recorded the lowest price at N9,300.

Meanwhile, the highest average price per litre of Kerosene in September was recorded in Enugu with N1,273 followed by Ebonyi with N1,264 and Cross River with N1,188.

On the other hand, the lowest price was recorded in Rivers with N686 followed by Bayelsa with N715 and Nasarawa with N735.

In addition, analysis by zone showed that the South-East recorded the highest average retail price per litre of Household Kerosene with N1,128 followed by the South-West with N1,068 while the North-West recorded the lowest with N869.