Household Kerosene Prices Soar in December 2023, Burdening Nigerian Consumers

A spike in the average retail price of household kerosene (HHK) cast a shadow on Nigerian households in December 2023, according to the National Bureau of Statistics (NBS).

Consumers grappled with a 5.84% increase in the average price per liter compared to November 2023, shelling out N1,362.27 as opposed to N1,287.10 the previous month. This unsettling trend continued year-on-year, with a 23.33% rise from N1,104.61 recorded in December 2022.

Regional and State Disparities:

• State Level: A significant disparity in HHK prices across states was observed. Abuja topped the list with the highest average price at N1,650.00 per liter, followed by Ogun (N1,609.52) and Benue (N1,594.44). On the other hand, Kwara offered some relief with the lowest price at N917.14, trailed by Rivers and Nassarawa.
• Regional Level: The South-West region emerged as the most expensive, with an average price per liter of N1,455.21. The North-West followed at N1,420.48, while the South-East recorded the lowest at N1,264.49.

Gallon Prices:

Analyzing prices by gallon revealed a similar pattern. The average retail price nationwide stood at N4,529.92, reflecting a slight decrease of 1.17% from November 2023 but a concerning 20.69% increase compared to December 2022.

• State Level: Bauchi held the dubious distinction of having the highest average price at N5,600.00 per gallon, followed by Lagos and Ekiti. Delta offered some respite with the lowest price at N3,234.29, trailed by Bayelsa and Kaduna.
• Regional Level: The North-East region topped the charts again with the highest average price per gallon at N5,077.08, closely followed by the South-West at N5,014.48. The South-South region offered the most affordable prices, averaging N3,957.17 per gallon in December 2023.

Implications for Nigerian Households:

The ongoing surge in HHK prices poses a significant challenge for Nigerian households, particularly those relying on kerosene for cooking and lighting. With inflation already plaguing the nation, the rising cost of this essential commodity adds to the financial burden faced by many families.

The NBS report highlights the need for urgent intervention from the Nigerian government to address the factors driving the price increases and bring relief to struggling households. Additionally, efforts to promote alternative energy sources, such as liquefied petroleum gas (LPG), could help mitigate the dependence on kerosene in the long run.