FG, Security Agencies Launch Crackdown on LPG Hoarding and Market Manipulation

The Federal Government has initiated urgent measures to address rising cooking gas prices, convening a high-level stakeholders’ meeting focused on tackling the hoarding and diversion of Liquefied Petroleum Gas (LPG) across the country.

The emergency session brought together key security and regulatory agencies, including the Economic and Financial Crimes Commission (EFCC), the Department of State Services (DSS), and the Nigeria Police Force, alongside industry operators and government officials.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) said the meeting was prompted by the recent increase in LPG prices and aimed at identifying solutions to improve supply, affordability, and market stability.

Stakeholders from across the gas value chain—including producers, marketers, terminal operators, regulators, and industry associations—examined the challenges contributing to price volatility and explored strategies to strengthen the sector.

Permanent Secretary of the Ministry of Petroleum Resources, Patience Oyekunle, described cooking gas as a critical energy source for Nigerian households and an important component of the country’s energy transition agenda. She warned that rising prices are placing additional strain on consumers and increasing the cost of living.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, said President Bola Tinubu has expressed concern over the impact of escalating LPG costs and has directed relevant agencies to take decisive action.

According to Ekpo, boosting supply alone will not resolve the challenge, stressing the need for improved logistics, stronger infrastructure, and greater pricing transparency to ensure consumers benefit from ongoing interventions.

NMDPRA Chief Executive, Mallam Rabiu Umar, acknowledged that high import and landing costs remain a major factor behind current LPG prices. However, he expressed confidence that ongoing efforts across the industry would help ease market pressures in the near future.

He noted that the authority is working closely with producers and other stakeholders to expand domestic supply, strengthen oversight, and improve product availability nationwide.

During a presentation delivered on behalf of the authority, Executive Director of Distribution Systems, Storage and Retailing Infrastructure, Ogbugo Ukoha, identified infrastructure gaps, supply limitations, logistics bottlenecks, market inefficiencies, and global supply disruptions as key drivers of price increases.

Ukoha disclosed that recent engagements with industry players have already yielded positive results, with national LPG supply sufficiency rising from 11 days to 22 days. He also revealed that average daily supply increased from 4,262 metric tonnes in May 2026 to 5,040 metric tonnes in June 2026.

At the end of the meeting, stakeholders pledged support for measures aimed at strengthening storage capacity, improving transportation networks, enhancing distribution systems, and increasing overall market efficiency.

Agreed resolutions included stricter market surveillance, stronger enforcement against unethical practices, expansion of storage and distribution infrastructure, increased domestic production, improved product-tracking mechanisms, enhanced access to market information, and deeper collaboration among industry players.

Closing the meeting, Ekpo directed stakeholders to immediately implement measures designed to improve supply, eliminate inefficiencies, and ease price pressures, stating that success would be measured by greater LPG availability, improved distribution, and more affordable cooking gas for Nigerians.

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