Share On:

WEEKLY LPG INSIDER REPORT


Prices have shown a downward trend in the international and domestic markets for LPG in the immediately preceding week till the middle of the week when the price was constant thereof to the end of the week
 

  • International(Mont Belvieu) prices of LPG started a downward trend till the middle of the week when the price was constant thereof to the end of the week compared to the same day in the previous week.

  • Prices of LPG at the depot level showed a slightly different trend compared to the previous week. No price was recorded at the depot level on the 10/1/2020 due to public holiday, however retail price for the day remains the same as in previous days: the price difference between the Mont Belvieu and depot prices are slightly narrower compared to the previous week under review through the week under review.

  • The difference between prices per kg of LPG at the depots and retail prices in Nigeria has not changed much compared to the previous week. Like the depot prices, retail prices fell through the week.

  • Regional disparities in the retail prices of LPG within the country continue to persist.




Regional disparity in the prices of LPG across the country has been a regular feature of the Nigerian LPG market. Though the South-south geopolitical zone hosts the great majority of depots in the country due to its proximity to the ocean, prices have been highest in the region.

 

 

 

  • The exchange value of the naira to the US$ has remained at the pegged price of N380 to US.$1 throughout the week (Figure D) though disparities continue to widen in the parallel market.

  • Nigeria's foreign reserve is continuing to experience a rise as in the previous week. The continuous rise has been the trend since the devaluation and pegging of the naira at N380 to US$1.

  • For the gas market, the Purchasing Managers Index(PMI) of the CBN report declining Business Activities, and New Orders, and employment & inventory for the month of September 2020 compared to August. The declining trend in new orders and employment are faster than those in business activities and inventory.

  • Inflation remains high. The persistent rise in inflation in the past more than 11 months (in August 13.2%, July 12.8%, June at 12.6% from the 12.4% recorded in May 2020) has implications for the price of LPG across the country. More importantly, the composite food index rose by 15.48% in July 2020 compared to 15.18% in June 2020.

  • Prices of crude oil in the international market in the week under review showed a falling trend, towards the end of the week (Figure E).

     

     

     

     

  • We expect LPG prices to continue to fluctuate considering the coming U.S Elections.

  • We also expect a more than proportionate rise in LPG prices at the retail level (as the cost of transportation rises due to the hike in fuel prices coupled with inflation) compared to the depot/international prices in the coming weeks.

    Kindly book for a free session with our team of experts to help you http://www.kiakiagas.com/book-session or write us an email at advisory@kiakiagas.com or Whatsapp: +2348085269328

 

Related Posts

Social Impact

How LPG is contributing to the growth of SMEs in Africas: Your One Stop LPG Provider

A crucial component of human life is energy. Reliable access to modern, reasonably priced energy is essential for a country's social and economic development. Traditional dirty-burning fuels used for cooking, such as coal, wood, and kerosene, produce large amounts of pollutants and carbon monoxide, which are the main contributors to indoor air pollution and its negative health impacts. Continual use of unclean fuels may result in early deaths, an increase in childhood and adult illnesses, associated environmental problems, and stress on the healthcare system, according to experts. Liquefied petroleum gas (LPG) was found in the search for cooking energy that would protect our environment from pollution. LPG is a type of energy that is used in cooking. It is produced by refining raw natural gas or crude oil that comes only from fossil fuel sources. It is kept and moved in LPG cylinders at a reasonable amount of pressure as a liquid. Propane and butane make up the majority of the gases created during the LPG production process. The first online energy company in Nigeria, Kiakiagas, provides excellent, prompt, and safe delivery of liquefied petroleum gas (LPG) and related products to Nigerian households and businesses. The company has developed into an energy solutions provider, paving the way for a future in which gas will drive the switchover of the African energy sector from fossil fuels to renewable sources, bringing electricity to consumers in the last mile from urban to off-grid areas.
Social Impact

HOW YOU CAN CONSERVE YOUR COOKING GAS AND MAKE IT LAST LONGER

Liquefied Petroleum Gas (LPG) is widely used for cooking around the world, but to a lesser level in most underdeveloped countries. LPG is a nonrenewable source of energy. However, when compared to cooking with hardwood or charcoal, it is commonly known that using LPG has few recorded negative health impacts. One of the main drivers of deforestation in Sub-Saharan Africa is the demand for firewood and charcoal as a source of cooking energy. Increasing the usage of LPG is one of the options for reducing the strain on forest resources. Cooking with biomass produces both greenhouse gas emissions and indoor pollution from black carbon. Kiakiagas has endeavor to reach different classes of people and orientate them on the benefit of LPG to their health. We also give information about how LPG is a more cost-effective, faster, and environmentally friendly cooking method than conventional methods. Following the increase in gas prices, many individuals were seeking for strategies to extend the life of their cooking gas. It's possible and easy to extend the life of your gas. Utilizing these suggestions will help you save a lot of money. Here, we come with a list on how you can conserve your cooking gas and make it last longer:
Social Impact

EFFECTIVE TIPS ON HOW TO SAVE YOUR COOKING GAS

It is well known that the cost of food has climbed significantly in recent months along with the price of cooking gas, making life difficult for a large number of people. For the typical Nigerian household, cooking gas has turned into a luxury good. Bravo if you still have the means to fill yours to the brim! You don't come across people who can easily and comfortably fill up their gas cylinders every day. Every residence is frantically looking for ways to adapt to this change and extend the gas supply. On a more positive side, we have developed useful advice that will lessen how frequently you visit the petrol station. We have heard the word "savings" so frequently that we are accustomed to it. Many things can be saved, but we have no idea how to do it with LPG. Everyone encounters this question on a daily basis. Is there a way to conserve LPG for cooking? There is, and it's not particularly complicated. Your cooking style only needs a few little tweaks here and there to work. To learn some crucial advice on how to conserve household LPG, scroll down.