The Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), Bayo Ojulari, has attributed the recent increase in cooking gas prices to a temporary disruption in supply caused by the strike action of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
Ojulari made this known on Sunday while addressing State House correspondents after a meeting with President Bola Tinubu in Abuja.
He explained that the industrial action, which lasted several days, disrupted gas loading and distribution, leading to what he described as an “artificial” spike in prices.
“The increase you saw was relatively artificial because, during the strike, loading and movement were delayed for about two to three days,” Ojulari said. “As operations return to normal, it will take a short while before supply and distribution fully stabilise.”
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The PENGASSAN strike had been triggered by the dismissal of Nigerian workers at the Dangote Refinery, but was later suspended on October 1 following the intervention of the federal government.
Ojulari further noted that some retailers exploited the brief shortage by inflating prices.
“As you know, in Nigeria, people take advantage of situations. During the delay, those who had reserves raised their prices,” he said. “Now that operations have resumed, we expect the prices to gradually return to pre-strike levels.”
He assured Nigerians that with supply chains recovering and distribution resuming, the cost of liquefied petroleum gas (LPG) would ease in the coming weeks.
Ojulari also revealed that the Dangote Group’s agreement to reinstate affected refinery staff and resume operations had helped to ease supply bottlenecks across the country.
Image Credit: Radio Now
