Nigeria issues permits to access flare gas, targets $2 billion investments

Ololade Adenika
2 Min Read

 

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has issued permits to 28 companies to access flare gas under the Nigerian Gas Flare Commercialisation Programme (NGFCP). The initiative forms part of national efforts to capture wasted gas and convert it into productive uses such as power generation and cleaner fuel.

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Investment and employment prospects

Officials said the flare gas permits could attract up to $2 billion in private investment and create more than 100,000 jobs across energy value chains. The captured gas is expected to support power generation projects capable of delivering nearly 3 gigawatts of electricity once fully operational.

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Environmental and energy goals

The NGFCP aligns with Nigeria’s Energy Transition Plan, emphasising reductions in routine gas flaring and associated carbon emissions. The captured gas could additionally support the production of liquefied petroleum gas (LPG), expanding access to cleaner cooking fuel for households.

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Implementation outlook and challenges

While the permit awards mark significant progress, regulatory officials cautioned that engineering, infrastructure and financing work remains before large‑scale production can begin. Energy sector analysts said future success will hinge on project execution, infrastructure deployment, and global energy market conditions.

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