The Nigeria Liquefied Natural Gas Limited (NLNG) has announced that it supplied a cumulative total of 3 million metric tonnes of Liquefied Petroleum Gas (LPG) to the domestic market between the launch of its Domestic LPG Scheme (DLPG) in 2007 and 2024.
Dr Philip Mshelbila, NLNG’s Managing Director, disclosed this during the 2024 annual conference of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) in Lagos, themed “Sustainable Energy Growth in Nigeria – LPG and the Future.” His remarks were delivered by Mr Ahmed Joda, the company’s Manager of Marketing and Business Development.
Mshelbila noted that the company has remained steadfast in its commitment to ensuring that LPG meets the needs of Nigerian consumers. The liquefaction company, which operates the six-trained Bonny Island plant, has grown its domestic LPG supply from over 50,000 metric tonnes in 2007 to nearly 450,000 metric tonnes in 2024.
He said: “NLNG is fully committed to ensuring that LPG serves the needs of Nigerian consumers. To that end, we established the DLPG scheme in 2007 with the goal of enhancing the quality of life for the average Nigerian.
“Since then, NLNG has consistently met its domestic supply targets, growing from just over 50,000 metric tonnes in the first year to just under 450,000 metric tonnes in 2023. We are also pleased to see the growth in the market, with consumption rising from that early period to approximately 1.5 million metric tonnes annually.”
Between 2007 and 2023, NLNG has cumulatively supplied over 3 million tonnes of LPG to the domestic market, fuelling steady growth in annual consumption. Despite this success, Mshelbila highlighted ongoing challenges that impede more robust growth, including supply reliability, infrastructure deficits, and pricing issues.
He emphasised that NLNG remains committed to working with industry stakeholders to address these barriers.
Meanwhile, the federal government has reaffirmed its target of increasing Nigeria’s LPG consumption to 5 million metric tonnes annually by 2030, a goal that will be supported through policy reforms and infrastructure development. This was stated by the Minister of State for Petroleum (Gas), Ekperikpe Ekpo, who was represented by his Senior Technical Adviser, Abel Nsa, at the NALPGAM conference.
Ekpo stressed the government’s dedication to fostering investment, infrastructure growth, and supportive policies to ensure the affordability, stability, and widespread adoption of LPG as a critical component of Nigeria’s energy transition.
The minister pointed out that expanding LPG usage could significantly reduce Nigeria’s reliance on biomass for cooking, improve public health outcomes, especially in rural areas, and stimulate economic growth.
He said: “The government’s goal is to increase LPG consumption to 5 million metric tonnes per annum by 2030. This is achievable through infrastructure development, market stability, and policies that incentivise investment in the LPG value chain. The demand for LPG is growing, and it offers both immediate and long-term benefits for Nigeria’s energy transition and security.”
Ekpo also highlighted that increased LPG consumption would ease pressure on other energy sources and help shield the country from global market volatility.
Additionally, he revealed that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has been tasked with developing a pricing framework that reflects local production, to ensure market stability and affordability.
PAt the conference, Techno Gas Limited, a subsidiary of Techno Oil Limited, confirmed that it had received its first LPG supply from NLNG at its 5,000-metric-tonne storage facility in Kirikiri, Lagos, after four years of unveiling the facility. However, the company did not disclose the volume of LPG supplied by NLNG.
