Oil And Gas Experts Advises FG To Invest In The Sector

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Some Oil and Gas experts have advised the Federal Government to invest massively in the sector or provide intervention funds for private investors to stop hike in price of Liquefied Petroleum Gas (LPG).

The experts also advised the Nigeria Liquefied Natural Gas (NLNG) company to allocate enough gas to meet local consumption demand, up to 1.2 metric tonnes, to eliminate impact of foreign exchange.

The experts made these known in separate interviews while reacting to the continuous increase in the price of LPG, otherwise known as cooking gas.

Many LPG consumers and retailers had complained bitterly in view of LPG constant price increase and perceived reduction in quality which effect had been unbearable on households and businesses due to its general use.

Dr Olanrewaju Aladeitan, an Oil and Gas Expert, expressed surprise that 60 per cent of our LPG came from imports, whereas Nigeria is more of a gas producing nation than oil.

In view of this, Aladeitan tasked government to invest in the sector or, better still, the Central Bank of Nigeria (CBN) to provide some intervention funds for private investors to cushion the effect.

Also, speaking with NAN, Dr Chijioke Ekechukwu, an Economist, highlighted different reasons the price of LPG had been rising and unstable in the country.

According to him, LPG annual local consumption is about 1.2 million metric tonnes, but NLNG allocates only 350 metric tonnes for local consumption, while the rest is imported.

Mr Promise Ajujumbu, an LPG retailer, said that 80 per cent of gas consumed locally was being imported.

He said that gas importers and marketers had complained about the imposed VAT and difficulty in accessing foreign exchange.

Mr John Abuchi, another retailer, urged government to resolve the issues responsible for the high cost of gas.

Worried that the price had been increasing on weekly basis, Abuchi said there was no gain in the market ever since then, adding that he had incurred losses.

Mrs Shade Akpan, a gas consumer, described the continuous price hike as preposterous.

She said it would be commendable if the government found lasting solution to the looming gas crisis in the country.

Another consumer, Mrs Catherine Onyeka, disclosed that in spite of the price hike, there was depreciation in its quality.

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