Gov’t plans to import 60,000 tons of domestic gas in H1 2024

 

For the first half of 2024, Cameroon plans to import 60,000 tons of liquefied petroleum gas (LPG), commonly known as domestic gas, to ensure household supply. According to a tender launched for this purpose on October 24, by Okie Johson Ndoh, President of the ad hoc Commission in charge of petroleum product imports (Cipp), deliveries will be in two lots of 35,000 and 25,000 tons.

Domestic gas is a highly consumed product in Cameroon with demand increasing by 5% each year, according to official estimates. However, the local production is too little to meet the demand. In 2021, for example, local producers only managed to cover 21% of needs. Another challenge is the rising costs of hydrocarbons in the global market, which makes prices high for consumers. The government has thus initiated a subsidy plan to relieve households. For 2022, Cameroon officially spent FCFA75 billion on subsidizing domestic gas consumption.

Despite the substantial increase in subsidies during 2022, domestic gas managed to avoid the price surge imposed on petroleum products in February 2023. This adjustment aimed to alleviate the hefty subsidy burden that had severely impacted the public treasury in 2022, amounting to nearly FCFA700 billion.

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