In a bid to address the persistent power challenges facing Nigeria, the Federal Government has initiated measures to inject an additional 500 million standard cubic feet of gas into the domestic market. This strategic move aims not only to alleviate the country’s power woes but also to bolster industrialization efforts and stimulate job creation.
President Bola Tinubu made this announcement on Wednesday during the inauguration of three vital gas infrastructure projects spearheaded by the Nigerian National Petroleum Company Limited, Seplat Energy, and other partners. These projects, located in Ohaji-Egbema, Imo State, and Kwale, Delta State, mark a significant milestone in the government’s commitment to fortify the nation’s energy sector.
The unveiling comes against the backdrop of recent nationwide blackouts experienced in January 2024 due to gas shortages. These shortages crippled power generation, plummeting from approximately 4,000MW to below 2,500MW, severely impacting electricity supply to consumers across the country.
During the inauguration ceremony, President Tinubu emphasized the pivotal role of the newly commissioned gas infrastructure in augmenting the nation’s power generation capacity. He underscored his administration’s unwavering dedication to leverage Nigeria’s vast gas reserves to invigorate industrial growth and propel economic prosperity.
“With approximately 500MMscf of gas set to be supplied to the domestic market from these two gas processing plants, representing over a 25 per cent incremental growth in gas supply, we anticipate a significant boost in the power sector,” stated President Tinubu.
Since assuming office, Tinubu has championed initiatives aimed at harnessing Nigeria’s abundant gas resources to enhance national development. These efforts include the Presidential Compressed Natural Gas Initiative, which seeks to transition Nigerians away from petrol and diesel as vehicular fuel, as well as the implementation of Presidential Executive Orders to incentivize gas development.
The president urged stakeholders and potential investors in the gas sector to rally behind the theme of the inauguration, “From Gas to Prosperity; Renewed Hope,” and intensify efforts to accelerate investment in gas projects for mutual benefit.
The commissioned projects include the expansion of the AHL Gas Processing Plant, the ANOH Gas Processing Plant, and the ANOH to Obiafu-Obrikom-Oben (OB3) Custody Transfer Metering Station Gas Pipeline projects.
These infrastructure initiatives are aligned with the Federal Government’s Decade of Gas initiative and are poised to drive value creation from Nigeria’s abundant gas assets while curbing gas flaring and advancing industrialization.
President Tinubu assured investors of his administration’s commitment to improving the ease of doing business in Nigeria’s oil and gas sector, fostering an environment conducive to sustainable growth and development.
In his address, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, commended President Tinubu for his visionary leadership and unwavering support towards the successful execution of the gas projects.
Mele Kyari, the Group Chief Executive Officer of the NNPCL, lauded the president’s commitment to enhancing domestic gas utilization, emphasizing the critical role of strategic gas projects in ensuring energy security and driving industrialization.
The inauguration of the AHL Gas Processing Plant 2, ANOH Gas Processing Plant, and ANOH-OB3 CTMS Gas Pipeline Project represents a significant milestone in Nigeria’s quest for energy sufficiency and economic prosperity. These projects underscore the government’s determination to harness the transformative potential of Nigeria’s gas resources for the benefit of its citizens.
