Domestic gas consumption hit 13b FCFA early 2014

Consumption of domestic gas has increased by nine per cent over the whole of 2013 and the first quarter of 2014 according to the Stabilization Fund of Oil Prices (HSPC).

It was revealed in a statement which endorsed the Board of Directors regulator of the petroleum products market in Cameroon, held on 25 June.

This increase in consumption, we learn, induced a state grant for a total of 33.3 billion CFA francs for the benefit of Cameroonian households.

We remember that, according to the HSPC, at the end of 2013, this grant was estimated at 20 billion CFA francs. Mathematically, therefore, domestic gas consumption reached 13 billion CFA francs in first quarter of 2014.

This situation underlined by the HSPC, has caused "a dwindling cash" business, since the amount of the subsidy is “75.67 per cent of expenses on ordinary activities"on the HSPC period.

To remove the effect of these subsidies on oil products in general, the Cameroonian government has, since June 30, increased the price of domestic gas bottles, which took effect yesterday.

The government’s decision to bottle 12.5 Kg of gas between 6000-6500 CFA francs, is the largest increase in domestic gas in Cameroon since 2006.