Dangote Threatens to Crash Cooking Gas Prices Distributors Panic Over Monopoly Claims
Dangote plans to slash LPG (cooking gas) prices and sell directly to consumers if distributors resist the price cut. Industry players warn of potential monopoly.
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The Heat Is On: Dangote Takes Aim at Soaring Cooking Gas Prices
President of the Dangote Group, Alhaji Aliko Dangote, has sent shockwaves through Nigeria’s energy sector by announcing his plans to significantly reduce the price of Liquefied Petroleum Gas (LPG) better known as cooking gas.
If distributors resist the move, Dangote says he’ll bypass them entirely and sell directly to consumers.
“The price of cooking gas is outrageous,” Dangote said during a recent refinery tour attended by local and international guests. “It’s no longer affordable for the average Nigerian. Families are going back to firewood. We must act.”
Distributors Push Back: ‘He Wants a Monopoly’
However, not everyone is on board.
Operators in the LPG distribution sector have expressed serious concern, accusing Dangote of attempting to monopolize the market.
According to insiders, many dealers fear that Dangote’s direct-to-consumer strategy would edge out smaller operators and consolidate too much power in the hands of a single player.
One industry insider who asked to remain anonymous told The HubWeb:
“This isn’t just about helping Nigerians. It’s about controlling the entire gas pipeline from refinery to kitchen. If he starts direct sales, what happens to thousands of middlemen who depend on this business?”
What This Means for Nigerians
Potentially cheaper gas
Improved access for rural communities
Job losses for distributors?
Risk of market monopoly?
The battle lines are drawn. While many Nigerians may welcome lower gas prices, the debate over how it's achieved and who controls the supply chain is just beginning.
Do You Support Dangote’s Direct Sale Plan?
Would you buy cooking gas directly from Dangote if it means a cheaper price?
