FG to end regulated gas pricing in 2028

Nigeria plans to end regulated pricing for domestic gas by September 2028, according to the Nigerian Midstream and Downstream Petroleum Regulatory Authority. The authority aims to transition the market to a system of willing-buyer, willing-seller transactions following the guidelines set by the Petroleum Industry Act. NMDPRA CEO Rabiu Umar emphasized that the transition would be based on measurable indicators such as supply availability, buyer and seller quality, transportation infrastructure, contract strength, payment reliability, delivery obligations, and market information.

Umar noted that Nigeria's domestic gas supply remains tight, but the focus is on infrastructure development and ensuring sufficient gas molecules to fill the pipeline. The regulator will evolve its role to emphasize market rules, fair access, competition protection, and market conduct monitoring. Umar also highlighted the need for a realistic assessment of the different segments of the Nigerian gas market and stressed the importance of deepening domestic utilization of liquefied petroleum gas and liquefied natural gas.