Tougher Times for Nigerians as Kerosene Price Rises by 163%, Petrol by 54%

Emmanuel Addeh in Abuja

There appears to be no respite for Nigeria’s poor and vulnerable whose main source of cooking fuel is kerosene, with the price of the product rising by a whopping 163 per cent year-on-year to N1,153.40 per litre in January this year.

But on a month-on-month basis, Latest data from the National Bureau of Statistics (NBS) obtained by THISDAY showed that the average retail price per litre of the product paid by consumers in January 2023 compared to the previous month increased by 4.42 per cent.

Many Nigerians, especially those living in the rural and semi-urban areas who hitherto depended on kerosene-powered cooking stoves have now resorted to firewood for cooking, since the rise in prices of the fuel regarded as the cheapest fuel before now.

The federal government estimates that firewood smoke kills at least 90,000 Nigerians, mainly women and children, annually. The government’s clean cooking policy to help Nigerians reduce its greenhouse gas emissions has largely failed.

For instance, over two years after its declaration of the ‘Decade of Gas’, which in part seeks to encourage greater penetration of cleaner fuels like liquefied petroleum gas or cooking gas, government authorities say its success remains at a paltry 5 per cent to date.

“On a year-on-year basis, the average retail price per litre of the product (kerosene) rose by 163.87 per cent from N437.11 in January 2022,” the NBS report stated.

On state profile analysis, the highest average price per litre recorded in January 2023, the statistics body said, was recorded in Abuja with N1,566.67, followed by Lagos with N1,411.11 and Plateau with N1,383.33.

On the other hand, the lowest price was recorded in Jigawa with N891.67, followed by Edo with N925.93 and Katsina with N935.19.

In addition, analysis by zone showed that the South-west recorded the highest average retail price per litre of kerosene with N1,232.15, followed by the South-east with N1,223.95, while the North-west recorded the lowest with N1,003.54.

The report stated that the average retail price per gallon of kerosene paid by consumers in January 2023 was N3,886.11, showing an increase of 3.54 per cent from N3,753.38 in December 2022 while on a year-on-year basis, this increased by 154.20 per cent from N1,528.74 in January 2022.

For other fuels, the NBS report explained that the average retail price of diesel paid by consumers in January 2023 was N828.82 per litre, an increase of 187.69 per cent from N288.09 per litre recorded in the corresponding month of the previous year.

On a month-on-month basis, this increased by 1.34 per cent from N817.86 per litre reported in December 2022.

When the states are considered,  the highest average price of the product in January 2023 was recorded in Bauchi with N900.00, followed by Benue with N885.71, and Adamawa with N866.67.

On the other hand, the lowest price was recorded in Bayelsa with N768.75, followed by Edo with N788.00 and Akwa Ibom with N788.75. Furthermore, analysis by zone showed that the South-west had the highest price of diesel with N845.59, while the South-south recorded the lowest price with N800.49.

For the very controversial petrol prices, despite the huge subsidy on the product, the NBS noted that the average retail price paid by consumers for petrol also known Premium Motor Spirit (PMS) for January 2023 was N257.12, indicating a 54.52 per cent increase relative to the value recorded in January 2022, which was N166.40.

Penultimate week, the Nigerian National Petroleum Company Limited (NNPC) announced that the country was spending over N400 billion monthly on petrol subsidy, with about N202 paid by the government on every litre of the fuel.

“Our customers are here, we are transferring to each of them at N113 per litre. That means there is a difference of close to N202 for every litre of petrol we import into this country.

“In computation, N202 multiplied by 66.5 million litres, multiplied by 30 will give you over N 400 billion of subsidy every month,” stated NNPC Managing Director Male Kyari.

In comparing the average price value with the previous month, that is, December 2022, the NBS noted that the average retail price increased by 24.70 per cent from N206.19.

“On state profile analysis, Imo state had the highest average retail price for petrol, with N332.14, followed by Rivers with N327.14 and Akwa Ibom with N319.00.
“On the other hand, Sokoto recorded the lowest average retail price for petrol with N191.43, followed by Plateau with N192.14 and Borno with N193.91, ”NBS stated.

In addition, analysis by zone showed that the South-east recorded the highest average retail price in January 2023 with N307.85, while the North-central had the lowest with N217.15.

Also, the average retail price of diesel paid by consumers in January 2023 was N828.82 per litre, an increase of 187.69 per cent from N288.09 per litre recorded in the corresponding month of the previous year.

On a month-on-month basis, this increased by 1.34 per cent from N817.86 per litre reported in December 2022. The highest average price of the product in January 2023 was recorded in Bauchi with N900.00, followed by Benue with N885.71, and Adamawa with N866.67.

But the lowest price was recorded in Bayelsa with N768.75, followed by Edo with N788.00 and Akwa Ibom with N788.75. Furthermore, analysis by zone showed that the South-west had the highest price with N845.59, while the South-south recorded the lowest price with N800.49.

The price for refilling a 5kg cylinder of Liquefied Petroleum Gas (cooking gas), the NBS stated, increased by 0.51 per cent on a month-on-month basis from N4,565.56 recorded in December 2022 to N4,588.75 in January 2023.

On a year-on-year basis, this rose by 25.46 per cent from N3,657.57 in January 2022.  Kwara recorded the highest average price for refilling a 5kg cylinder of cooking gas with N4,962.50, followed by Plateau with N4,945.50, and Adamawa with N4,936.67.

 Enugu recorded the lowest price of cooking gas, with N4,119.23, followed by Anambra and Rivers with N4,183.14 and N4,210.00 respectively.

In addition, analysis by zone showed that the North-central recorded the highest average retail price, with N4,859.60, followed by the North-west with N4,616.66, while the South-east recorded the lowest with N4,408.99.

Also, the average retail price for refilling a 12.5kg tube increased by 0.28 per cent on a month-on-month basis from N10,248.97 in December 2022 to N10,277.17 in January 2023.

According to the NBS report, on a year-on-year basis, this rose by 38.63 per cent from N7,413.25 in January 2022. On state profile analysis, Benue recorded the highest average retail price for the refilling of a 12.5kg tube with N11,260.67, followed by Cross River with N10,833.33 and Ebonyi with N10,763.57.

On the other hand, the lowest average price was recorded in Yobe with N9,550.00, followed by Taraba and Gombe with N9,845.00 and N9,850.00 respectively, the NBS document indicated.