Barely a month to Christmas, the price of Liquefied Petroleum Gas popularly known as cooking gas has risen by over seven per cent in most parts of the country following supply hitches being experienced by marketers.Our correspondent gathered that to fill the 12.5-kilogramme cylinder, consumers now have to part with between N3,000 and N3,200 at most LPG plants in Lagos and Ogun States, and between N3,500 and N3,700 at retailers outlets.The same measurement had sold for N2,800 at the plant and between N3,000 and N3,200 at retailers outlets two weeks ago.The marketers told our correspondent that supplies had reduced over the past one week and had led to consumers scrambling for the available quantities, leading to the price hike.A visit by our correspondent to some retailers outlets in Ogba and Berger area of Lagos, revealed that the price of the 12.5kg measurement had risen to between N3,500 and N3,700. A sales person told our correspondent that it had been difficult to get the product at N2,800 from the LPG plants since last week.When our correspondent visited a major LPG plant in Arepo, Ogun State, the 12.5kg cylinder was being filled for N3,200.At another plant in Magodo, consumers were seen in long queues, while the attendants confirmed that the 12.5kg cylinder was now being filled for N3,000 instead of the previous N2,800.The President, Nigeria LPG Association, Alhaji Auwalu Ilu, who confirmed the development in a telephone interview with our correspondent, said there were supply issues as far as the product was concerned.Like it was the case last year, he said the major source of supply of the product was currently being starved and that this had affected the depot price.There is very little gas in the system. This is because most supply contracts have expired. These contracts expire mostly at the end of the year, he said.Ilu said the marketers were, however, working to renew the contracts, adding that when this was done, the supply situation would improve and normalise in due course.It is not that the product is scarce, it is just that people are trying to ration. As soon as new consignments come in by next week, the price will become normal again, he said.The NLPGA boss had recently said the country had the infrastructural and economic capacity to consume between five million and 10 million metric tonnes of liquefied petroleum gas by 2015.To achieve that, Ilu said the government had a strategic role to play, especially in the pricing of the product, noting that the country had the potential to cross the million mark because of its over 150 million human population.He said the cost of LPG per litre at the moment was between N110 and N120, which is higher than the price of a litre of petrol and kerosene.With the huge price differentials, the NLPGA boss said it would be very difficult to make the consumption levels of the alternative fuel to stand at par with kerosene, not to talk of a higher LPG consumption level.
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