The Liquefied Petroleum Gas Retailers Association of Nigeria has disassociated its members from the ongoing hike and scarcity of cooking gas nationwide, maintaining that retailers are not to blame for the price surge.

Speaking in Lagos on Saturday, LPGAR Chairman, Mr. Ayobami Olarinoye, said that the rising prices stem from supply constraints, not manipulation by retailers, according to NAN.

“The recent scarcity and spike in LPG prices have brought untold hardship to millions of Nigerian households and businesses. We understand this pain and feel compelled to clarify the role of retailers in this crisis,” Olarinoye said.

He was responding to recent allegations by the President of the Nigerian Association of Liquefied Petroleum Gas Marketers, who reportedly blamed retailers for the price hike.

Olarinoye dismissed the claims as “unfair and misleading,” stressing that retailers neither operate at depot level nor function as importers or major off-takers.

“Our operations are limited to buying gas from plant owners and selling to end-users. Many of us travel to neighbouring states to purchase LPG at high costs due to supply shortages, which naturally affects retail prices,” he noted.

Olarinoye explained that while Dangote Refinery has kept its gas prices stable, irregular supply has led to a demand-supply imbalance, driving prices upward.

“Some retailers have had to shut their outlets for days or weeks because they couldn’t access supply, resulting in huge business losses,” he added.

“If plant owners increase prices, we have no choice but to adjust ours. We cannot sell at a loss.”

Olarinoye added that although Dangote Refinery has emerged as a major player in the domestic LPG market, it still lacks the capacity to meet the nation’s growing demand, which has risen from less than one million metric tonnes to over 2.3 million metric tonnes annually.

He noted that several off-takers who were expected to bridge the gap through imports or supply from the Nigeria Liquefied Natural Gas (NLNG) have scaled down operations due to wide pricing disparities.

According to him, Dangote currently sells a 20-metric-tonne truckload of LPG for about ₦15.8 million to ₦16 million, while off-takers offer the same quantity at around ₦18.5 million to ₦18.6 million. The price gap, he said, has pushed buyers toward the cheaper option, reducing importation and worsening the scarcity.

The retailers’ decision to refute claims of their involvement comes amid widespread complaints from consumers who said they purchased cooking gas at exorbitant rates in various parts of the country.

Many households reported paying nearly double the usual cost for refills, fueling speculation that retailers were taking advantage of the situation.

However, data from the National Bureau of Statistics showed that the average retail price for refilling a 5kg cylinder of Liquefied Petroleum Gas (cooking gas) actually dropped by 22.32% month-on-month—from ₦8,243.79 in July 2025 to ₦6,404.02 in August 2025.