Marketers Kick Against Dangote's Cooking Gas Price Reduction

The President of the Dangote Group, Alhaji Aliko Dangote, has announced plans to reduce the price of cooking gas. He also promised to start direct sales of the product to consumers if existing distributors fail to allow the price crash.

Operators in the sector have disagreed with the plan, saying Dangote is planning to monopolize the LPG sector. They expressed fear of a possible monopoly.

Dangote stressed that the current price of cooking gas is expensive and not affordable for the common people who depend on firewood for cooking. He disclosed that the refinery now produces 22,000 tonnes of LPG daily.

Dangote warned that if distributors are not trying to bring down the price, he will go directly and sell to consumers. This is to ensure people transit from firewood or kerosene to LPG for cooking.

The price of cooking gas currently hovers around N1,000 and N1,300 per kilogramme. Dangote plans to bring it down to ensure affordability.

Operators in the LPG market are not pleased with Dangote's plan. The former Chairman of the LPG and Natural Gas Downstream Group of the Lagos Chamber of Commerce and Industry, Godwin Okoduwa, described the plan as monopolistic.

Okoduwa expressed concern that Dangote should recognize the fact that some investors grew the market from 70,000 metric tonnes in 2007 to over 1 million metric tonnes in 2022. He said collaboration is the way to go.

The gas expert recommended that Dangote should embrace collaboration rather than competition. He said the Nigerian LPG market can be 5 million tonnes, and everybody can benefit from collaboration.

The Executive Secretary/Chief Executive Officer, Nigerian Association of Liquefied Petroleum Gas Marketers, Bassey Essien, doubted the possibility of Dangote selling gas directly to consumers or crashing the price.

[7/16, 7:03 PM] Meta AI: Here's the edited version of the news in plain text:

Dangote Plans to Reduce Cooking Gas Price

The President of the Dangote Group, Alhaji Aliko Dangote, has announced plans to reduce the price of cooking gas. He also promised to start direct sales of the product to consumers if existing distributors fail to allow the price crash.

Operators in the sector have disagreed with the plan, saying Dangote is planning to monopolize the LPG sector. They expressed fear of a possible monopoly.

Dangote stressed that the current price of cooking gas is expensive and not affordable for the common people who depend on firewood for cooking. He disclosed that the refinery now produces 22,000 tonnes of LPG daily.

Dangote warned that if distributors are not trying to bring down the price, he will go directly and sell to consumers. This is to ensure people transit from firewood or kerosene to LPG for cooking.

The price of cooking gas currently hovers around N1,000 and N1,300 per kilogramme. Dangote plans to bring it down to ensure affordability.

Operators in the LPG market are not pleased with Dangote's plan. The former Chairman of the LPG and Natural Gas Downstream Group of the Lagos Chamber of Commerce and Industry, Godwin Okoduwa, described the plan as monopolistic.

Okoduwa expressed concern that Dangote should recognize the fact that some investors grew the market from 70,000 metric tonnes in 2007 to over 1 million metric tonnes in 2022. He said collaboration is the way to go.

The gas expert recommended that Dangote should embrace collaboration rather than competition. He said the Nigerian LPG market can be 5 million tonnes, and everybody can benefit from collaboration.

The Executive Secretary/Chief Executive Officer, Nigerian Association of Liquefied Petroleum Gas Marketers, Bassey Essien, doubted the possibility of Dangote selling gas directly to consumers or crashing the price.