By Seun Ibiyemi
In a bid to stabilise cooking gas prices across the country, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has announced plans to issue and closely monitor import permits to bridge a projected 165,000-metric-tonne Liquefied Petroleum Gas (LPG) supply gap in the third quarter of 2026
The Authority Chief Executive of NMDPRA, Mr. Rabiu Umar, disclosed this on Monday during an emergency stakeholders’ meeting on rising LPG prices convened in Abuja by the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo.
Umar described imports as the most immediate solution to the anticipated supply shortfall, noting that the measure forms part of the regulator’s short- and medium-term strategies aimed at boosting LPG availability and ensuring price stability.
According to him, engagements with terminal operators, domestic producers and other stakeholders have already improved LPG supply sufficiency from 11 days to 22 days, while additional measures are being implemented to curb profiteering and enhance market efficiency.
“The projected third-quarter supply gap is 165,000 metric tonnes. NMDPRA will issue import permits and closely monitor performance. There will also be injection of LPG export volumes into the domestic market,” Umar said.
He disclosed that the Anoh Gas project is expected to commence the supply of about 50 metric tonnes of LPG daily from July 2026, while efforts are ongoing to redirect more locally produced LPG volumes currently earmarked for export into the domestic market.
Umar further revealed that the authority would conduct an audit of off-takers lifting LPG from the Nigerian Liquefied Natural Gas (NLNG) and the Nigerian National Petroleum Company Limited (NNPC Ltd.) to improve distribution efficiency and support fair pricing.
He added that intensified monitoring and enforcement activities have already commenced across the LPG value chain to address product diversion, hoarding and other market abuses.
As part of broader interventions, the regulator plans to support the expansion of LPG storage facilities, terminals and distribution infrastructure, while accelerating domestic gas processing projects to boost local production.
“NMDPRA will deploy technology to track product movement, develop a tariff regulatory framework that promotes fair pricing and leverage increased private sector investments in LPG storage and cylinder manufacturing to strengthen nationwide supply,” he said.
The authority also pledged to work towards returning LPG prices to levels recorded about a year ago while ensuring that locally produced cooking gas remains more affordable than imported volumes.
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Umar noted that support would be provided through the Midstream and Downstream Gas Infrastructure Fund (MDGIF), while discussions with Chevron and other industry stakeholders would focus on increasing domestic LPG supply.
Earlier, Executive Director, Distribution Systems, Storage and Retail Infrastructure at NMDPRA, Mr. Ogbugo Ukoha, attributed the recent rise in cooking gas prices to inadequate domestic supply, low import volumes, profiteering and distribution bottlenecks.
He noted that despite regulatory directives requiring domestic producers to prioritise local supply, some LPG volumes continued to be exported, thereby limiting availability in the domestic market.
Ukoha disclosed that regulatory interventions had increased average daily LPG supply from 4,262 metric tonnes in May to 5,040 metric tonnes as of June 19, following the arrival of four import cargoes totaling about 16,000 metric tonnes.
He warned marketers against exploiting consumers through excessive pricing, stressing that the authority would intensify enforcement actions as supply conditions improve.
According to him, NMDPRA will accelerate the licensing of LPG storage and blending facilities, expand distribution networks and fast-track domestic gas processing projects to ensure sustainable supply growth.
Ukoha expressed optimism that the combined interventions would significantly improve LPG availability and drive down cooking gas prices beginning from July.
