African Reserves

Nigeria exports gas as citizens cannot buy due to soaring prices – Economist

The former director general of the Lagos Chamber of Commerce and Industry said Nigerians face a “double risk” of expensive food and expensive cooking gas.

Muda Yusuf, economist and former director general of the Lagos Chamber of Commerce and Industry, described the recent rise in liquefied petroleum gas (LPG) prices as contrary to the desire to promote the use of clean energy and to protect the environment.

Mr Yusuf said this in an interview with the Nigerian News Agency (NAN) in Abuja on Thursday, while reacting to the continued increase in the price of LPG (cooking gas).

NAN reports that the rise started in April 2021 when gas per kilogram was sold between N280 and N300, but the price then rose to N750 by.

Currently, 20 tons of LPG are sold for more than 9.5 million naira against 4 million naira before the increase. A 12.5 kg gas cylinder is sold at 9300 N against 8500 N two weeks ago.

Mr. Yusuf, director general of the Center for the Promotion of Private Enterprises, warned that there could be a relapse in accelerated deforestation if the peak is not controlled.

He said it was noted that significant progress has been made in getting a good percentage of the population to switch from using firewood and kerosene to using LPG.

He said that although the campaign won many converts, even in many villages, the surge in the price of LPG could reverse the gains and would not bode well for the preservation of the environment.

“We could see a relapse of accelerated deforestation if the peak is not controlled. The sharp rise in the price of LPG also has implications for poverty. This makes access to food more difficult,” he said. -he declares.

“It’s bad enough that food has become very expensive. Now the cost of cooking food has become prohibitive. This is a case of double jeopardy for the average citizen.

“Gas pricing must reflect the reality that we are a gas producing country.

“We should take advantage of the enormous gas resources to make gas more accessible to common people. The enormous gas reserves should normally also provide us with an opportunity to take a leap forward in our effort to industrialize and protect the environment. the environment.

“We cannot export gas when there is an acute shortage in the country. There should be a certain balance in this regard,” he said.

NAN found that oil and gas stakeholders recently met with government officials and regulatory agencies to come up with an appropriate option to adopt in order to bring down gas prices.

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