How to start cooking gas business in Nigeria

The cooking gas business is gradually becoming very lucrative because more Nigerians are embracing it the idea of using gas cookers and getting rid of every other traditional method you can think of. It’s joyful news that the majority of Nigerians now love the idea of using cooking gas for numerous cooking purposes. This is also beneficial, as the problems of deforestation will be greatly reduced to the barest minimum, and our natural forests will also be preserved.

Asides the advantage this has on the environment, the significant increase in the number of people using cooking gas in urban areas, has also helped in creating a good business opportunity for intending entrepreneurs. This makes room for them to venture into the cooking gas business. Cooking gas equipment can also be added to the cooking gas business, it’s all matter of choice and available capital.

The cooking gas business is very lucrative and profitable, and guess what? You don’t need to rob a bank to start this business. With about ₦300,000 you’re good to go.

Presently in Nigeria, the demand for cooking gas is high and it is not as expensive as using kerosene to cook. Cooking gas is also faster, and it really saves people the stress of spending long hours in the kitchen.

I personally love doing my cooking fast. The increase in demand for cooking gas is currently high, this means that if one ventures into the cooking gas business, he or she is bound to make so much profit from it.

Cooking gas is also known as Liquefied Petroleum Gas(LPG). The various oil-producing states in Nigeria greatly account for Petroleum production and production of other petroleum products. This has made Nigeria outstanding on the world map as a major crude oil producer in the world at large. It is also nice that refineries have been fixed in place to convert the crude oil to various petroleum products, LPG which is an essential cooking gas in the country is definitely one of them.

Before anyone can fully venture into this business in Nigeria, it’ll be very necessary for him or her to know the importance of petroleum products. Once you’re able to know this, then you’ll be a few steps away from success. At the same time, if you don’t have the appropriate knowledge on how to go about the whole process of starting up a cooking gas business in Nigeria, then this article will definitely be of great help to you. Francis Bacon wasn’t wrong when he came up with the quote”Knowledge is Power”, because knowledge truly is power.

How to start a cooking gas business in Nigeria

With the following step-by-step processes on how to start a cooking gas business in Nigeria, I believe this knowledge will equip you with the power you need to make money.

1. Get the essential knowledge and training you will need

The importance of spending time to get the necessary knowledge in any field cannot be underrated. Getting the necessary knowledge can never be a waste of time. Before venturing into the cooking gas business, you have to get the necessary knowledge because the business also involves risks.

There are lots of safety tips you should learn and become conversant with, before taking the next step to open your cooking gas business.

2. Locate a good land to start your cooking gas business

After getting the required knowledge, this is the very next step. If you are interested in starting the cooking gas business on a large scale, then the need of getting a land can’t be overemphasized.

One of the major requirements of the Department of Petrol Resources (DPR) is that the land location for the gas plant must be at least 15 meters far away from buildings that contain materials that are flammable.

The land must not also be sited close to residential buildings, filling stations, etc as this is also a requirement of DPR. When all these requirements are met, you’ll be screened fit to go ahead with your business.

3. Capital availability

Just as any other business, capital is needed to start a cooking gas business. On a large scale, you’ll need a capital of about ₦10 million to ₦15 million.

It’s important to note that your capital should contain all the necessary materials needed to start your cooking gas business, so as to make the DPR able to access them and also grant your license to you, so you can start your business.

Here’s a list of the required materials:

  1. Mechanic scale
  2. Testing pool
  3. Electronic scale
  4. Electronic carousel
  5. Valve screw etc

4. Issuance  of license by the Department of Petroleum Resources (DPR)

Before your license can be issued to you by the DPR, everything has to be put In place most especially if the business is on a large scale, then approach the DPR to get a copy of the terms and conditions to which the DPR license is issued. You could also visit their online website to get the essential details if you choose not to visit their office in person.

Before you can get the DPR License to start your cooking gas business in Nigeria, you’ll need to have a police Report, Fire Planning approval, state land, and physical planning permit, and Town planning permit.

5. Registration and insurance of your cooking gas business

In order to successfully run your business on a large scale, you’ll need to register your cooking gas business with the Corporate Affairs Commission Of Nigeria (CAC). With this CAC registration, your business will be seen as a genuine one and you won’t have to worry about the government authorities having any issues with you.

It’s also advisable to get insurance for your cooking gas business in Nigeria, because of the high risk associated with it. Getting insurance for your business will really be of great help in the occurrence of any unforeseen circumstances.

6. Advertise your cooking gas business

Every other protocol has been properly managed, now it’s time to advertise your cooking gas business on the various channels of advertisement you can think of.

Just choose the channel and platform that works best for you.

Risks involved in cooking gas business

Just the same way every business out there is risky, the cooking gas business also has its risks. The commonest risk associated with the cooking gas business is fire explosion, and this is very common because of the inflammable nature of liquified natural gas.

The good news here is that this incident can easily be avoided if you’re alert enough to detect the leakages in the cylinders on time, as this is the main cause of fire outbreaks and explosions.

Another risk is government regulation. If the market increases the price of LPG as of now, do you think the customers will find it a bit difficult and tasking? The answer is yes because all fingers are not equal, some customers might have to go back to using kerosene and firewood. And definitely, your sales will drop unexpectedly.

Now that you’re so aware of the risks, you should always be alert.


With the aid of all the steps I carefully knitted together, you can successfully start up a cooking gas business In Nigeria and make so much money from it.

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Mfon Umana

Mfon Umana

Mfon Umana is a Content writer with She is driven with passion. A number of her works have been published on Top online platforms.

When she is not writing, she enjoys reading and singing.

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