Nigeria LP Gas Association has commended the Nigeria LNG Limited for the decision to supply 100 per cent of its LPG production to the Nigerian market.
The President and Executive Council of NLPGA, Mr Nuhu Yakubu, described the move as a major milestone, noting that the NLNG had three months ago supplied its first propane cargo into the domestic market.
He said the company had developed a scheme to sustainably supply propane for usage in cooking gas blending and in agro-allied, autogas, power and petrochemical sectors of the Nigerian economy to further deepen gas utilisation.
He said in a statement that the decision marked a strong commitment of NLNG to the continued growth of the domestic LPG market, which he said had over the years had far-reaching positive multiplier effects on the economy.
Yakubu said, “The association shall continue to work with NLNG as it helps to build a strong economy, through its various domestic gas supply initiatives, in support for Nigeria’s quest for accelerated gas-based industrialisation with the gas resources that it is abundantly endowed with.
“In recent months past, Nigerians have had to pay significantly more to buy cooking gas owing to supply disruptions. This supply intervention move by NLNG is expected to free up more volumes, and have some cushioning effect on the high price of cooking gas, subject, however, to its realistic production output as determined by other factors.”
He recalled that the NLNG commenced its intervention in 2007 with 50,000 metric tonne/annum LPG allocation for domestic market supply.
He said in 2019/2020, the NLNG increased LPG allocation to domestic market from 350,000mt to 450,000mt/annum.
The NLPGA is the umbrella body of all stakeholders in the LPG sector in Nigeria, according to the statement.
