Gas Marketers Set 6 Million-Tonne LPG Supply Target, Forecast Price Drop as Local Production Rises in Nigeria
Nigeria’s Liquefied Petroleum Gas (LPG) marketers have announced plans to boost the nation’s annual gas supply to six million metric tonnes, as part of a broader push to expand clean energy adoption and stabilize prices across the country. The outgoing President of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), Oladapo Olatunbosun, revealed the target at the association’s 38th Annual General Meeting in Abuja, highlighting the sector’s impressive growth and renewed collaboration with the federal government under the Decade of Gas Initiative.
Olatunbosun noted that Nigeria’s domestic LPG consumption has more than doubled in the past four years — rising from around 900,000 metric tonnes to over two million metric tonnes in 2024. He expressed optimism that with stronger private-sector participation and continued policy support, the nation could reach three million tonnes by early 2026 and eventually hit the six-million-tonne goal. He added that achieving this would position Nigeria among Africa’s top gas producers, alongside countries like Morocco and Egypt.
Despite the progress, Olatunbosun acknowledged ongoing challenges such as high cooking gas prices and limited access in rural communities. However, he expressed confidence that prices would soon decline, citing fresh supply from Seplat Energy, increased production from the Dangote Refinery, and several new gas infrastructure projects underway nationwide. “Normalcy is returning, and as local production ramps up, prices will come down,” he assured, emphasizing that affordability and accessibility must remain top priorities.
Industry experts say the country’s vast gas reserves — estimated at over 200 trillion cubic feet — could make Nigeria a major player in Africa’s energy transition if investments continue. Olatunbosun also urged operators to adopt digital and AI-driven safety technologies to prevent leakages, improve monitoring, and curb product theft. He encouraged young innovators to develop solutions that would strengthen the LPG value chain and make the industry safer and more efficient.
Reflecting on his tenure, Olatunbosun thanked NALPGAM members for their unity and resilience, describing his leadership as a “period of transformation.” He called on the incoming executives to build on the association’s progress and push for policies that support affordability, infrastructure expansion, and technological innovation. The AGM concluded with the election of new executives who will lead NALPGAM for the next four years, marking a new chapter in Nigeria’s growing gas sector.
source: Punch