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Association Asks Tinubu To Reform Gas Sector

by Jerry Emmanson
2 years ago
in News
Gas Sector
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An association under the auspices of Cooking Gas Consumers Association of Nigeria (CGCAN), has commended President Bola Ahmed Tinubu over his people-oriented reforms, especially in the oil and gas sector urging him to include gas plant owners in off-takers’ participation.

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In a press statement signed by the association’s president, Dr Hakeem Olajide, the group said with the various reforms currently ongoing in the country, “it seems there will be a light at the end of the tunnel.”

He noted that though President Tinubu has so far done well in his approach to governance aimed at making the country a better place, “there are still some areas that need his urgent intervention in order to achieve the purpose of coming to power.”

Olajide said areas calling for attention, “are basically in the gas sector where a lot of things are happening that undermine the collective interest of Nigerians, and the pivotal agenda of the new administration.

 “Issue of cooking gas supply which affects an average Nigerian homes, has continued to be a lingering decimal sour that undermines the current price reduction gain in cooking gas being witnessed across the country, as the prices have insignificantly dropped. It is not yet uhuru for average homes in the country, which still see the essential commodity as a preserve of the rich, because the cartel in the sector has not open it up for more competent industry players to partake, which will help to crash the cost of the cooking gas and make it more affordable to Nigerians.”

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It would be recall that due to the recent fuel subsidy removal announced by President Tinubu during his inaugural speech on May 29, 2023, and the recent elimination of multiple foreign exchange (FX) rates, the price of a 12.5 kg cylinder which used to be sold before at N10,000 or N9,200, now sells for between N7,000 and N8,500 depending on the location, while a 6kg gas cylinder presently goes for N3,792 on average while a kilogram sells for N632 as against N736 to N740.

The consumer body maintained that the price, though a bit down, is still on the high side for poor and average citizens to afford, adding that the high cost as presently obtainable, is made possible by some cabals manipulating the market.

The association called on President Tinubu to open up the space for more participation of industry players to enable the prices of cooking gas reduce significantly to as low as N4,000 for 12kg cylinder, while that of 6kg gas cylinder could go as low as N1,500.

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