Gas retailers urge FG to encourage investors to boost utilisation

The Liquefied Petroleum Gas Retailers (LPGAR) says to boost liquefied petroleum gas utilisation, the government needs to encourage investors by giving all necessary incentives that can lower its price.
The branch national chairman of LPGAR, Ayobami Olarinoye, made the remark in an interview with journalists in Lagos on Sunday against the backdrop of increase in price of cooking gas.
Mr Olarinoye said Nigeria LNG Ltd. (NLNG) should be further encouraged to sell a substantial percentage of its production to the local market.
He said the gas price should not necessarily be based on an international template.
Mr Olarinoye said this remained the only way the price of liquefied petroleum gas could be affordable, which would consequently encourage rural dwellers to switch to gas.
“I understand that the government has commenced distribution of free cylinders to citizens in Abuja as part of the programme to boost LPG utilisation and mark President Bola Tinubu’s one-year anniversary.
“While I like to commend the initiative, it may not go a long way if the price of LPG (cost of buying gas) on the streets remains high. As LPG retailers with many years of practice, we are the last link to the end users.
“Price is a major determinant for boosting LPG utilisation, and if it is not addressed, the citizens will collect the cylinders, use it for some time and abandon it if they cannot afford the cost of refilling them with liquid,” Mr Olarinoye said.
The LPGAR chairman also said that as the government was promoting cooking gas utilisation, there was a need to also advocate continuous safety campaigns in LPG handling.
“All government agencies, parastatals, federal and states that have business and interest in safety should collaborate with LPGAR for safety campaigns to reduce the incidence of a gas explosion,” he said.
(NAN)
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