Economy

Nigerians may pay more for cooking gas —-as DPR advocates for market forces as determinant of prices

Eyewitness reporter

If the Federal government heeds the call of the Department of Petroleum Resources (DPR) to subject the prices of Liquefied Petroleum Gas(LPG), otherwise known as cooking gas, to the vagaries of market forces, then Nigerians may pay more for the product.

Mr Sarki Auwalu, the Chief Executive Officer, (DPR), believed that to achieve uninterrupted supply of gas, government should allow the factor of demand and supply to guide the prices of the product.

The position of DPR, one of the regulatory government agencies in the oil and gas industry, aligned with the similar call by the Nigeria National Petroleum Corporation (NNPC) when its Group Managing Director, Dr Mele Kyari also said the corporation could no longer bear the burden of sustaining the expensive subsidy regime on Premium Motor Spirit (PMS) and that its prices should be market- driven .

The positions of these two regulatory bodies in the Oil and Gas industry have further put pressure on Nigerians who should brace up to likely hike in the prices of these essential products.

While making this call in his keynote address at the pre-summit conference on “Decade of Gas’, in Abuja, on Monday, Auwalu said that the right and market-based pricing of gas was critical, as it would assure producers of returns on their investments.

He also outlined five critical levers for gas development, especially as Nigeria moves to leverage its abundant gas resources for national growth, diversification of the economy and to use gas as the fuel for economic transformation.

According to him, the levers include availability, accessibility, affordability, and acceptability, as well as deliverability.

He noted that these were critical to utilising Nigeria’s proven gas reserves of 203 trillion cubic feet, TCF, for national development.

“Whereas references have been made to the other elements in this discussion, right pricing of gas is requiring particular attention to ensure security of gas supply and security of credible gas demand.

“This is because upstream gas producers must be assured that they will receive fair and equitable returns for their investments whereas, the price must be such that the end-users are able to pay for gas offtake in a reliable and consistent manner.

“Accordingly, the most robust and sustainable pricing mechanism is that which ‘let the market speak’ in a way that all costs are reflective of prevailing market conditions and for which the economic dynamics of demand and supply are allowed to interplay in an open, transparent, and free market environment.

“Thus, our drive as a nation should be early attainment to the ‘willing buyer; willing seller’ market status.

“Any transitional pricing arrangements, today, must be structured to quickly give way for market-led pricing regime and conditions,” he said.

Auwalu commended President Muhammadu Buhari and the Minister of State for Petroleum Resources, Chief Timipre Sylva, for their outstanding leadership in deepening gas utilisation in Nigeria.

He noted that these efforts had culminated in the establishment of the National Gas Expansion Programme, National Gas Transportation Network Code and the National Gas Flare Commercialisation Programme.

Others, he noted, include the ongoing construction of the ELPS-II, OB3 and AKK pipelines as critical backbone gas infrastructure required to improve gas deliverability and availability.

He added that government was also working toward the expeditious passage of the Petroleum Industry Bill (PIB) which would enhance clarity in legislative, regulatory, fiscal, and administrative frameworks in the industry.

“This bill, when passed into law, will eliminate the uncertainties and bottlenecks associated with gas development in Nigeria and accelerate the growth of the Nigerian gas market to a fully developed and matured status.

“Specifically, on gas matters, the PIB provides for the following: promotion of dedicated gas exploration and development, gas terms, fiscal separation of gas as a commodity.

“It will also enhance the domestic gas delivery obligation, tariffing structure & methodology, open access regimes and revised gas pricing framework, to mention but a few,” Auwalu said.

He added that the DPR would continue to be an enabler and an opportunity provider in the oil and gas industry.

“Our focus remains the effective implementation of all policies and strategic programmes of government in an efficient manner that optimises the value of our petroleum resources for all stakeholders, all in overriding national interest,” he said.

Economy

Le Look Nigeria marks 40 years of ingenious local fabric branded bags on October 1st

Gloria Odion

All is set to mark the 40 years anniversary of Le Look Nigeria Limited, makers of Le look Bags brands.

According to the founder and Chief Executive Officer(CEO), Chief Mrs. Chinwe Ezenwa, arrangements have been concluded to hold the event on October 1, 2025 at Federal Palace Hotel, Lagos.

The event with morning and award night sessions is themed: “Legacy of Resilience: Empowering Entrepreneurs for Africa’s Economic Future.”

Ezenwa added:”Le Look 40th Anniversary is a milestone that celebrates resilience, creativity, and the power of Nigerian enterprise.

“Founded in 1985, Le Look has grown from a small women-led business into a proudly Nigerian manufacturer, exporting unique, locally crafted bags to international markets.

“Over four decades, we have stayed true to our mission of:

Strengthening local manufacturing;

creating jobs and transferring skills;

opening doors for women and youth in enterprise;

supporting Nigeria’s non-oil export drive and the AfCFTA agenda.

“This anniversary is more than a celebration—it is a call to sustain entrepreneurship in Africa’s fast-changing economy,” she noted.

With expected over 300 distinguished guests, including senior government officials, private sector leaders, development partners, and entrepreneurs across generations;

the day will feature keynote address and fireside conversations with veteran entrepreneurs as well as panel sessions on business longevity.

Other features are African Continental Free Trade Agreement(AfCFTA) readiness;

Youth and women forums on inclusive business practices

Exhibitions by government and trade agencies will be part of the activities.

Le Look Nigeria Limited has grown to a global brand with the Le Look Bags Academy built in Abuja, Enugu and Lagos.

Le Look is a manufacturer of afro-centric luxury-life style branded bags inspired by African culture and sensibility.

These handbags are crafted from African prints in celebration of the rich African heritage with international and modern fashion flair.

The company offers multiple product categories, including ready-to-wear, handbags, Apple-support products and other carry-on unique and durable accessories.

“Our partnership with designers in Africa has catalysed the resurgence of retailing locally made goods across the continent,” Ezenwa said.

According to her, “Through our studio in Lagos, we provide on- the-job training, school tuition and health care benefits.

“Our philosophy is simple-to be the first and foremost African luxury brand with global reach”, she added.

Over the years, Le Look Bags Academy has partnered international and government institutions to promote trade and build capacities for the continent.

The Nigerian Export Promotion Council (NEPC) last year partnered Le Look Nigeria Limited to boost Nigeria’s non-oil exports and empower local artisans, particularly women and youth in Lagos. This collaboration, includes the launch of an export skills acquisition center and a fashion innovation hub to equip individuals with skills in bag-making and international trade to meet growing global demand for handcrafted bags.

Also, UNDP Nigeria is in partnership with Le Look Bags Academy, to launch a training program designed to equip unemployed youth with limited formal education, primarily women, with practical skills in bag-making as a sustainable livelihood mechanism.

Le Look Bags Academy serves as the leading hub for mastering bag-making and digital technology skills.

The academy provides a unique, personalized approach to equipping learners with the necessary skills to succeed in the dynamic global landscape.

Le Look Nigeria Limited is the first Small and Medium Enterprise (SME) to receive the Authorized Economic Operator (AEO) certificate from the Nigeria Customs Service (NCS).

As a certified AEO, Lelook benefits from trade facilitation, reduced costs, and improved efficiency in its export and import activities, supporting Nigeria’s goal of becoming a leading trade hub.

Le Look Nigeria is No 0001 under the AFCFTA guided trade Initiative to receive the Certificate of Origin to trade across Africa

Economy

Tinubu orders take-off of National Single Window in Q1 2026

Funso OLOJO

President Bola Ahmed Tinubu has given a marching order to the National Single Window (NSW) Steering Committee to ensure the platform becomes fully operational by the first quarter of 2026.‎

The directive was delivered during Tuesday’s fifth steering committee meeting at the State House, Abuja.

President Tinubu was represented by his Chief of Staff, Femi Gbajabiamila.‎

Gbajabiamila said the recent Tax Reform Acts, signed into law in June, underscored the urgency of accelerating reforms and pursuing Nigeria’s $1 trillion economy target.‎

He highlighted the importance of financial and trade reforms in achieving national economic transformation.‎

“It’s important that we continue to stay focused on this project. So that at the end of the day, we meet our timelines and achieve the results the President expects.‎

“As you all are aware, the project is one of the transformative initiatives of Mr. President which we collectively must ensure is effectively and commendably implemented,” Gbajabiamila said.‎

He emphasised the role of a unified electronic platform in simplifying Nigeria’s import and export operations.‎According to him, the NSW will boost investment and trade revenues, improve transparency, and strengthen Nigeria’s global business credibility.‎

Gbajabiamila urged all agencies to refine their targets and Key Performance Indicators (KPIs) to meet the Phase 1 deadline.‎“I do expect that since the last meeting of the steering committee which was held on the 8th April, 2025, all stakeholders have operated and actively progressed with all the required KPIs and set targets to ensure that we go live with phase 1 in Q1 2026 as was previously scheduled,” he said.‎

Minister of Finance and Coordinating Minister of the Economy, Wale Edun described the progress as encouraging but stressed the need for swift execution.‎

He urged a shift from strategy to concrete implementation, calling the project complex but transformational.‎

Edun urged the committee to improve collaboration and resolve final hurdles to meet the rollout timeline.‎

Minister of Industry, Trade and Investment Jumoke Oduwole also charged the committee to work diligently and meet the Q1 2026 deadline without fail.

Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service (FIRS), thanked the President for consistently supporting the project.‎

“Thank you on behalf of the steering committee. We thank you for the relentless support that you have given to us.”‎

“And to all my colleagues here, we can see that the reward for hard work is more work.

“When we started last month, it is now law; the single window is now in the law.”‎

He asked committee members to stay focused on the mission ahead.‎

The Director of the National Single Window (NSW) Project, Tola Fakolade, gave a brief overview of the steering committee’s progress toward implementing the project.

“All second quarter 2025 key project milestones have been successfully achieved. And the customisation of the Single window platform has commenced,” he said.

He gave assurances that the committee would meet up with the timelines.

The National Single Window project is a Federal Government initiative to streamline trade processes by creating a centralised electronic platform for importers and exporters.

It is a digital trade facilitation platform expected to accelerate economic growth and facilitate cross-border transactions.‎

Launched in April 2024, the NSW seeks to consolidate all agencies involved in imports and exports onto a unified electronic portal.‎

It is expected to reduce trade costs, cut delays, and enhance transparency and efficiency at Nigerian ports.‎

Committee members include representatives from the Ministry of Trade and Investments, the Ministry of Finance, FIRS, and the Nigeria Customs Service.

Economy

Dangote splashes N720bn on 4000 CNG- powered trucks, lifts 42m MSMEs

–as Presidency, stakeholders hail bold move

Funso OLOJO

Dangote Petroleum Refinery has invested over N720 billion to implement its landmark initiative of deploying 4,000 Compressed Natural Gas (CNG)-powered trucks for the nationwide distribution of petroleum products, which is expected to save Nigerians over N1.7 trillion annually.

This bold step will see the privately-owned refinery absorb over N1.07 trillion annually in fuel distribution costs.

The initiative is also poised to significantly benefit over 42 million Micro, Small and Medium Enterprises (MSMEs) by reducing energy costs and enhancing profitability.

The initiative, which eliminates transportation costs for fuel marketers and large-scale consumers, is expected to help reduce pump prices and inflation.

From 15 August, Dangote will begin the direct delivery of petrol and diesel to filling stations, industrial facilities, and other high-volume consumers.

According to a statement from the refinery, it aims to meet Nigeria’s daily consumption of 65 million litres of refined petroleum products.

This includes 45 million litres of Premium Motor Spirit (PMS), 15 million litres of diesel, and 5 million litres of aviation fuel.

With the average logistics cost estimated at N45 per litre, the refinery will cover over N1.07trn annually in free distribution expenses.

Dangote Group is investing N720 billion in the acquisition of 4,000 CNG-powered trucks as well as the establishment of nationwide CNG ‘mother and daughter’ stations, among other infrastructure to implement the free distribution initiative.

This strategic programme forms part of Dangote’s broader commitment to eliminating logistics bottlenecks, enhancing energy efficiency, promoting environmental sustainability, and supporting Nigeria’s economic development.

The company noted that lower fuel distribution costs will help reduce production costs, ease inflationary pressures, and stimulate economic growth.

The initiative is also expected to resuscitate dormant filling stations, fostering job creation in the process.

Over 15,000 direct jobs are projected to be created across the logistics chain, including drivers, station managers, and attendants at the CNG stations.

The refinery also emphasised that this programme would help curb cross-border smuggling of petroleum products and support a more efficient and environmentally friendly distribution system.

Meanwhile, the Presidency has described the initiative as a pivotal moment in the Federal Government’s push to mainstream gas-powered transportation.

Commercial Coordinator of the Presidential Compressed Natural Gas Initiative (PCNGI), Tosin Coker, praised the move as a strong vote of confidence in Nigeria’s gas-fuelled future.

“Dangote Group’s acquisition of 4,000 CNG trucks is not only impressive in scale but also highly strategic,” he said.

“It signals to the market that CNG is no longer a distant prospect but a current, practical solution to high energy costs, emissions, and supply chain challenges.

” PCNGI regards this as a milestone achievement in our efforts to accelerate gas-powered transport adoption.”

The Independent Petroleum Marketers Association of Nigeria (IPMAN) also commended the development, calling it a timely resolution to longstanding challenges in the downstream sector.

IPMAN’s National Publicity Secretary, Chinedu Ukadike, stated that the new model would significantly reduce logistical burdens for independent marketers by delivering more affordable fuel directly to filling stations.

“Our pipelines have been non-functional for years, yet nothing has been done to revive the infrastructure linking the country’s 21 depots.

“We’ve had to rely on expensive transport from coastal depots,” Ukadike said.

“Dangote’s intervention lifts a huge burden off the shoulders of independent marketers.”

Development Economist and Policy Analyst, Professor Ken Ife, said the initiative would drive down the price of PMS and yield widespread benefits for Nigerians.

CEO, Financial Derivatives Company, Bismarck Rewane, dismissed concerns about the refinery becoming a monopoly, arguing that inefficiencies in the sector have been systemic and long-standing.

He added that the scheme would help curb the parasitic role traditionally played by middlemen.

“What Dangote is doing achieves two key objectives: delivering products across the entire country at a uniform price by eliminating bridging costs, and significantly reducing logistics expenses through the use of CNG-powered trucks to reach every corner of the nation.

“In economic terms, middlemen—who typically do not invest—are often viewed as parasitic, extracting margins simply for distributing goods.

“Dangote is bypassing this layer by directly handling distribution and, notably, providing credit facilities to the retail end of the business,” he said.

Energy expert and co-founder of Dairy Hills, Kelvin Emmanuel, said Dangote’s decision to absorb logistics costs marks a turning point that could finally allow Nigerians to enjoy the benefits of local refining.

Energy analyst Ibukun Phillips described the move as “revolutionary”, suggesting it could reshape Nigeria’s energy sector by improving affordability and access, particularly in rural communities.

“Rural consumers, who typically pay more despite earning less, stand to benefit immensely.

“This could also revive abandoned filling stations and promote equitable distribution,” she explained.