Why price of cooking gas dey increase for Nigeria?
Wia dis foto come from, BSIP
Di recent increase in di price of cooking gas don give serious concern to many Nigerians as dem dey hala for social media.
From N4800 to N5200 wey some pipo buy a few months ago, di new price dey range from N6500 to N7000 for 12.5kg of cooking gas.
One local gas retailer for Port Harcourt tell BBC Pidgin say dem dey sell according to di way dem buy from gas depots and recently di price dey increase as di exchange rate of di Naira to dollar price dey increase.
Innocent Okparogu wey be di Chairman Liquefied Petroleum Gas Retailers for Rivers State tell BBC Pidgin say wen dem begin notice di gradual increase in di price, dem go ask why for di gas plants, wey dey buy from depots and tell dem say di price increase na because of di increase in dollar price and so dem sell according to how dem buy.
"Di 20metric tonnes of gas we dey normally buy for N3.8, 3.9 million naira before, now dem dey sell am for N8.9million presently now for di depots. So wen you calculate am, 20metric tonnes get about 1500 gas cylinders inside of 12.5kg so wen you check di price, e dey cost us about N5000 plus, den wen you add di cost of oda logistics, e go reach, N6000 to N6500 so na so e be.
Wetin dem tell us na say dollar don increase price so make Goment do somtin about am." Im tok.
Wia dis foto come from, NurPhoto
But di Chairman of Petroleum Products Retail Outlet Owners Association of Nigeria PETROOAN for Rivers State, Francis Chilam Dimkpa identify two major reasons for di increase in di price of cooking gas:
- Di international market pressure due to exchange rate
- Presence of middlemen for di transaction of LPG distribution before e get to di end user because na dem dey buy directly from NLNG wit dia license. Some of dem no get depots or dispensing point but dem be middlemen because dem get off-taking license. So wen dem buy, dem go add dia profit sell to di marketer, wey go also add im own costs and profits before dem send to di end-user and wit dat di price don high.
"Wetin we dey use about N6million dey buy before now we need about N10million to buy am and di cost don increase even though we don reduce di profit margin because if we allow di whole effect for di end-user, dem go shout pass as dem dey shout now so dat na di sacrifice we di retailers make."
End of Di one wey oda users dey read well well
Wetin be di solution?
Dimkpa say di solution to dis palava na for di exchange rate to drop, and if dem go allow pipo wey get DPR license to procure products directly from NLNG and dem consider and approve pipo wey don apply for off-takers license so more pipo go get access to buy directly from NLNG, e go reduce di price.
Im add say if dem fit get bank facilities wit single digit interest rate, e go help dem to reduce di price of LPG too.
Dimkpa di PETROOAN State Chairman come advise pipo not to stockpile gas ,thinking say e go increase as dat one dey dangerous. E say make dem dey patient now and buy wetin dem need as e dey affect evri bodi but dem get hope say di exchange rate fit change wit di economic activity wey dey go on and di price go moderate itsef.
