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Nigerians will no longer own cooking gas cylinders – FG

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The Federal Government is set to stop the ownership of gas cylinders by consumers.

The FG and two original cylinder manufacturers have come to an agreement to deliver 600,000 cylinders to LPG distributors on credit. This will be accompanied by a pre-payment period of 18 months. The move would help intensify the use of LPG, popularly known as cooking gas.

Brenda Ataga , the Senior Technical Assistant to the Minister of State for Petroleum Resources on Downstream and Infrastructure, while speaking at a forum on LPG penetration on Tuesday said that the planned policy on gas cylinders would ensure that the ownership of the facility “rests strictly on the dealers and distributors.”

“The MDCs will essentially create and introduce into the market what we call the cylinder exchange programme, whereby the cylinders are owned by the distributors,” Ataga said. She told operators, “There is no need for you to decant for anybody that comes in, and that eliminates illegal risks as well. You would fill them at the refill plants that would be tied to you and exchange it with your customers because you know your customers already. “Your customers pay for only the content, while you own the cylinders and control the management of those cylinders.”
On why this policy is to take place, Ataga said;“It is for us to be able to, at any point in time, discern and discover cylinders that are bad, cylinders that need recertification and cylinders that need to be removed from circulation.

“We put that onus on distributors going forward, to support the safe and standard method of selling LPG. I tell you today that Nigeria is the only country in West Africa that does not practice the re-circulation model. Everyone has moved away from this because again, most of the population cannot afford cylinders; so, you have to remove that cost from them.”

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