Stakeholders in the gas sector, have raised alarm over the continuous hike in tariff on the liquefied petroleum gas (LPG) product, decrying the high price on LPG equipment which acts as a disincentive for investment, Vanguard reports.
The Programme Manager, National LPG Expansion plan, office of the Vice President, Mr. Dayo Adeshina, recently reiterated his disappointment in the current tariff hike bedeviling the LPG sector. He also reeled out the numerous challenges faced by the LPG sector, which were not limited to the high tariff but also infrastructure, (e.g. non-functional cylinder manufacturing plants, jetty constraints).
In a recent interview, the Chief Corporate Affairs Manager, NIPCO, Lawal Taofeek, also called for the removal of duties and levies on imported LPG equipment, adding that “It is one of the problems plaguing the sector”. “The issues of tariff on LPG components are very critical and if addressed would make LPG cheaper and affordable,” he added.