Manufacturers on course for rift with gas producers over pricing

A major crisis is brewing between members of the Manufacturers Association of Nigeria (MAN) and gas producers over a recent hike in gas price, with the MAN seeking government’s intervention in re-categorising gas users under the new gas policy, in a bid to manage the rising cost of production borne by local producers, The Sun reports.

MAN in a letter to the Minister of State, Industry, Trade and Investment, Hajia Aisha Abubakar, and signed by the association’s Director General, Segun Ajayi-Kadir, stated that the existing categorisation of the manufacturing sector as ‘Other Commercial Sector’, has left bigger room for abuse by the franchisers, which is one of the issues that it believes the new National Gas Policy should address.

However, the President of the Nigerian Gas Association (NGA), Mr. Dada Thomas, in an interview on the issues raised by MAN, blamed the Federal Government for the frequent friction between manufacturers and gas producers. Thomas said that the government does not have any business in gas pricing, adding that the exercise should be on a willing buyer, willing seller agreement.

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