The Nigerian Gas Association (NGA) has praised the federal government’s recent reduction in natural gas prices, calling it a potential catalyst for industrial growth and increased domestic supply if properly implemented.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) reduced the domestic base price of natural gas for power generation companies to $2.13 per MMBTU, down from $2.42, while commercial users will now pay $2.63 per MMBTU instead of $2.92.
“We have to acknowledge, and I must commend the recent release by the NMDPRA of the domestic gas pricing framework,” said Akachukwu Nwokedi, NGA president, during a media event in Lagos. “While pricing remains a very sensitive issue, this move signals greater clarity and structure and, if implemented effectively, could help unlock more supply for the domestic market and spur industrial consumption.”
Nwokedi highlighted over $5 billion in new gas investments over the past year, including infrastructure, floating LNG, gas processing, and domestic utilization projects. He also announced the association’s upcoming participation in the 29th World Gas Conference in Beijing, where Nigeria will showcase investment opportunities under its “decade of gas” initiative.
Source: thecable.ng
