None
VI
FG to End Fixing of Gas Prices in Two Years, Migrate to Market-based Regime
[]
THISDAYLIVE
Current domestic gas pricing in Nigeria stands at $2.18/mcf for gas-to-power and below $2/mcf for gas-based industries (GBI).
But upstream gas producers have for a long time been calling for a non-regulated gas pricing regime anchored on willing-buyer, willing-seller basis to incentivise the sector, attract investment and boost gas production and supply to local market.
The operators under the aegis the Independent Petroleum Producers Group (IPPG), Oil Producers Trade Section (OPTS), Association of Local Distributors of Gas (ALDG), Nigerian Gas Association (NGA) and the Nigerian Liquefied Petroleum Gas Association (NLPGA), among others, had approached the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo to increase the price of natural gas to reflect current business realities.
Under the Decade of Gas framework, NMDPRA said it is moving from policy design to physical execution, with priority on getting gas to power, industry and transport.
He said the gas pricing plan sits within NMDPRA’s broader “firm, fair and fast” agenda focused on energy security, gas expansion and regulatory excellence.