Nigeria Targets Commercial Gas Pricing System by 2028 Amid Cooking Gas Price Hikes

Nigerian households are facing increased pressure from rising cooking gas prices, which have reached as high as ₦1,600 per kilogram in some parts of Lagos.

The Federal Government has announced plans to transition the domestic gas market to a willing-buyer, willing-seller framework by September 2028, subject to certain conditions.

According to the Petroleum Industry Act, commercial contracts and negotiations between buyers and sellers will determine gas prices rather than regulated pricing under this new system.

The government aims to increase domestic use of liquefied petroleum gas (LPG), compressed natural gas, and liquefied natural gas while expanding gas-to-power projects.