Onuesoke Urges Governors to Boost LPG Investment

1 month ago 24
ARTICLE AD BOX

Sylvester Idowu in Warri

With the current scarcity and rising prices of Liquified Petroleum Gas (LPG), Chief Sunny Onuesoke, Chairman of DAS Energy Services Limited in Udu near Warri, has urged state governors across Nigeria to invest in the production and distribution of the product. He said such investment would improve energy access, create employment opportunities, and strengthen local economies.

Onuesoke told journalists in Warri yesterday that the growing demand for cleaner and more affordable energy makes LPG a strategic sector that warrants state‑government support through partnerships, infrastructure development and responsible investment.

He cited market data showing LPG prices have surged from about N1,100 per kilogram in early May to over N2,400 in several locations nationwide. This sharp rise has forced many families to abandon cooking gas and return to firewood and charcoal as cheaper alternatives for daily cooking.

Onuesoke noted that the recent increase in cooking gas prices has become a major concern for many households in Nigeria. While cooking gas was previously promoted as a cleaner and safer source of energy for domestic cooking, the continuous rise in its price has made it difficult for low‑income families to afford.

“As a result, many households are returning to the use of firewood, charcoal, and other traditional fuels for cooking. The shift from cooking gas to firewood and charcoal has serious consequences for climate change and environmental sustainability. Increased demand for firewood encourages tree felling and deforestation, which reduces the number of trees available to absorb carbon dioxide from the atmosphere.”

“Furthermore, the burning of wood and charcoal releases greenhouse gases and harmful pollutants that contribute to global warming and poor air quality. If the high cost of cooking gas persists, environmental degradation and climate‑related challenges may worsen, making it necessary for governments and stakeholders to introduce measures that make clean cooking energy more affordable and accessible,” he advised.

On the wider socio‑economic implications, the former Delta State gubernatorial aspirant warned that if urgent and coordinated actions are not taken immediately, the current crisis could trigger broader consequences, including accelerated food inflation, the collapse of small‑scale LPG retail businesses, job losses, reduced investor confidence, and a significant setback to Nigeria’s clean energy and climate commitments.

Consequently, Onuesoke advised that state governments can play a major role by encouraging LPG projects through the construction and provision of storage facilities, bottling plants, and distribution networks while working within the country’s regulatory framework.

“This could be done through leasing or total outright sale to LPG retailers on a higher purchase. If this is done, it will in turn provide employment for our unemployed youths expected to work in these LPG outlets. There will be availability of the product in all nooks and crannies and as well lead to reduction of prices of the products hence the policy of demand and supply will now come to play.”

“State governors investing in LPG will not only help reduce pressure on traditional energy sources, but also create new economic opportunities for our people. Governors should look beyond short‑term projects and support industries that can provide lasting value,” he advised.

He added that developing the LPG sector would encourage entrepreneurship, improve household energy supply, and contribute to Nigeria’s broader energy transition goals.

Read more on this