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IOC’s Divestment: We Facilitate, Not Hinder Process – NNPC Ltd

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The Nigerian National Petroleum Company Limited (NNPC Ltd), as the largest partner to all the oil producing companies in Nigeria, has assured that its role in the divestment of the International Oil Companies (IOC) from onshore and shallow water assets in the country is that of a facilitator, and not an obstacle.

The Group Chief Executive Officer, NNPC Ltd, Mele Kyari, made the clarification at the opening ceremony of the 7th edition of the Nigerian International Energy Summit 2024 (NIES 2024), at the State House, Abuja, on Tuesday.

He explained that by virtue of its statutory mandate as the enabler of national energy security, NNPC Ltd.’s role was to ensure optimal and sustainable production from the divested assets to guarantee energy security for the benefit of Nigerians, at the end of the day.

Kyari also disclosed the company’s willingness to invest in the proposed African Energy Bank as a way of ensuring sustainable funding for energy projects in Africa to guarantee energy security.

On investment in energy infrastructure to drive energy security, the GCEO further disclosed that the completion of the Obiafu-Obrikom-Oben Pipeline was in sight as the tunnelling across the River Niger was currently ongoing.

He assured stakeholders of the company’s commitment to work with them to close the energy deficit gap and create prosperity for Nigerians, adding that from all indications, all issues of energy scarcity in the country would be over in the next 10 years.

The event saw the participation of key industry and governmental figures, including Haitham al-Ghais, Secretary-General of OPEC; Omar Farouk Ibrahim, Secretary General of the African Petroleum Producers’ Organization; Sen. Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil); Hon. Ekperikpe Ekpo, Minister of State for Petroleum Resources (Gas); Amb. Nicholas Agbo Ella, Permanent Secretary of the Ministry of Petroleum Resources; and the Minister of Information and National Orientation, Mohammed Idris Malagi, who represented the Nigerian President, Bola Ahmed Tinubu.

Energy

NMDPRA Accuses Marketers of Manipulating Cooking Gas Market

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Subsidy Removal: NMDPRA Assures Smooth Fuel Supply

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has pointed fingers at marketers for charging non-cost reflective prices, which has pushed liquefied petroleum gas (LPG) prices as high as N2,100 per kilogram.

The authority disclosed this in a presentation delivered by its Chief Executive Officer (CEO) Rabiu Umar, during an emergency stakeholders’ meeting convened by the Ministry of Petroleum Resources over rising LPG prices across Nigeria, adding that the malpractice was despite significantly lower indicative prices issued by the regulator.

According to the NMDPRA, consumers across the country are paying far above the regulator’s indicative pricing benchmarks due to marketer profiteering and distribution bottlenecks.

ALSO READ: Chevron Ships LPG Abroad from January to May

The NMDPRA noted that cooking gas sells for between N1,600/kg and N2,100/kg in the south-west despite an indicative price range of N1,018/kg to N1,177/kg.

In the north-central, LPG prices range from N1,550/kg to N1,950/kg against an indicative benchmark of N1,066/kg to N1,224/kg, while consumers in the south-south pay between N1,400/kg and N2,000/kg compared with an official guide of N1,021/kg to N1,179/kg.

Umar attributed the disparity to “non-cost reflective pricing” by wholesalers and retailers as well as infrastructure constraints affecting product distribution.

Cooking gas price had risen in May to N2,000/kg in Lagos and N1,600 in Abuja.

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Energy

Gas Flaring: Stakeholders Urge Stronger Enforcement, Tracking

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A call has gone to the operators in Nigeria’s extractive sector to embrace strict governance principles to avert gas production coming at heavy human and environmental costs and consequences.

Stakeholders raised concerns over methane emissions and gas flaring in the Niger Delta, on Tuesday during a webinar titled “Leveraging Media Storytelling to Strengthen Accountability and Enforcement on Methane Emissions.”

The event was put together as part of an advocacy campaign to amplify Flaring Lives, a documentary that exposes the human cost of methane emissions in Nigeria’s oil-producing communities.

ALSO READ: DPRP Refutes PMS Re-importation Claims

The documentary, co-produced by Policy Alert and We The People, with support from the Natural Resource Governance Institute, chronicles the environmental, health and socio-economic impacts of decades of gas flaring and methane emissions on residents of the Niger Delta.

During the virtual event, the Country Manager of the Natural Resource Governance Institute, Tengi George-Ikoli, said Nigeria currently faces the challenge of balancing its gas expansion agenda with its commitments to reduce methane emissions and eliminate routine gas flaring.

According to her, while methane is often discussed as a climate issue, communities living close to oil and gas facilities experience its effects daily through poor air quality, health challenges, environmental degradation and declining livelihoods.

She said, “Nigeria is currently pursuing two ambitions at the same time. On one hand, we are seeking to expand gas production and position gas as a key part of our economic and energy future. On the other, we have made significant commitments to reduce methane emissions, eliminate routine gas flaring, and contribute to global climate goals.

“The challenge is whether these ambitions can be delivered together, and at what cost if they are not.

“For communities living near oil and gas facilities, methane is not an abstract climate issue. It is connected to the air they breathe, the health risks they face, the quality of their farmland and fishing waters, and their everyday experience of living alongside extraction activities.”

George-Ikoli further noted that methane emissions have increasingly become an economic concern as international markets tighten environmental requirements for oil and gas producers.

She explained that major export destinations, particularly in Europe, are beginning to assess not only the volume of energy products supplied but also the environmental conditions under which they are produced.

“The stakes extend beyond local communities. Methane is one of the most powerful greenhouse gases driving near-term warming. It is also becoming an economic issue.

“New international regulations, including emerging methane requirements in major export markets such as the European Union, mean that countries and companies will increasingly be judged not only by what they produce, but by how they produce it,” she stated.

While acknowledging progress made by the Federal Government and industry players through new methane regulations, reporting requirements and improved emissions disclosures, she stressed that policy commitments alone would not solve the problem.

“Progress on paper is not the same as progress in practice. The real test lies in implementation. Are commitments being met? Are emissions being measured accurately? Are regulations being enforced consistently? And most importantly, are the experiences of affected communities reflected in the decisions being made?” she asked.

The NRGI official outlined several measures needed to ensure Nigeria successfully aligns its gas development strategy with methane reduction targets.

She said, “First, enforcement must become stronger and more consistent. Regulations only matter if there are consequences for non-compliance.

“Second, the sector needs a credible and unified approach to measuring methane emissions. You cannot effectively reduce what you cannot accurately measure. A common baseline and robust measurement standards are essential for tracking progress and building trust in reported figures.

“Third, companies should be required not only to disclose their methane emissions, but to actively manage and reduce them. Transparency is important, but disclosure must ultimately lead to action.

“Fourth, initiatives such as the Nigerian Gas Flare Commercialisation Programme have an important role to play and should be accelerated. Every cubic foot of gas captured and put to productive use is gas that is not wasted through flaring.

“Fifth, stronger monitoring, reporting and verification systems are needed across the entire oil and gas value chain. Independent verification and effective oversight are critical if emissions reductions are to be credible.”

She emphasised that the success of methane reduction efforts should not be measured solely by emissions data but by improvements in the quality of life of host communities.

“Community well-being must remain at the centre of decision-making. The success of any methane reduction strategy should not be measured only by tonnes of emissions avoided, but also by whether it improves the lives of the people most directly affected,” she added.

George-Ikoli described Flaring Lives as an attempt to humanise a debate often dominated by statistics and policy targets.

According to her, “The documentary seeks to bring forward voices that are often missing from conversations about energy, development and climate policy.

“Our hope is that it serves not only as a film, but as a resource for journalists, advocates, researchers and citizens seeking to understand what these issues mean in human terms.”

In the same vein, Executive Director of Policy Alert, Tijah Bolton-Akpan, said communities in the Niger Delta have endured the burden of gas flaring for more than six decades, with devastating consequences for public health, agriculture and fisheries.

He said the documentary was designed to provoke reflection and drive accountability among government agencies and industry operators.

“For over six decades, the flames of gas flaring have lit up the night skies of the Niger Delta, a daily reminder of the huge burden borne by oil-producing communities.

“Flaring Lives is not just a documentary; it is a tool for introspection and accountability because behind every flare stack are communities battling respiratory illnesses, contaminated farmlands, vanishing fish stocks and a climate that grows more hostile by the year.

“This is the human cost we are here to talk about today, and it is one Nigeria can no longer afford to wish away,” Bolton-Akpan stated.

He lamented that gas flaring, venting and fugitive methane emissions had long been regarded as unavoidable consequences of oil production, while affected communities continued to bear the environmental and health impacts.

“For decades, gas flaring, venting and fugitive emissions have been treated as an acceptable cost of doing business, while the communities living in their shadow are treated as collateral. That view must change.

“Every day that we allow emissions from these sources to continue unchecked is a day stolen from the health, the environment and the future of these communities.

“The conversation can no longer be about whether this harm is happening; it is about why it is still allowed to happen,” he said.

Bolton-Akpan also challenged journalists and media organisations to intensify investigative reporting on methane emissions and gas flaring, saying the media has a crucial role in exposing environmental abuses and holding both regulators and operators accountable.

“We are calling on media editors and journalists in this room to be more than witnesses; be amplifiers of truth.

“Carry these stories beyond this webinar. Investigate the emission numbers and give voice to the communities whose lungs and livelihoods are the true cost of every cubic metre of gas burned into our atmosphere.

“Policy Alert, alongside our partners, the Natural Resource Governance Institute, Extractives 360 and others, will not relent in pushing for transparency, enforcement and justice,” he added.

Nigeria remains one of the world’s major gas-flaring countries despite years of government commitments to end the practice. Methane, the primary component of natural gas, is recognised as one of the most potent greenhouse gases because of its significant warming effect over a short period.

The Federal Government has introduced a series of measures, including methane regulations and the Nigerian Gas Flare Commercialisation Programme, aimed at reducing routine flaring, improving gas utilisation and supporting the country’s energy transition goals.

However, civil society groups and environmental advocates have repeatedly argued that weak enforcement, inadequate monitoring and poor accountability mechanisms continue to undermine progress, particularly in oil-producing communities across the Niger Delta, where residents bear the environmental and health consequences of emissions from oil and gas operations.

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Energy

Amid LPG Supply, Prices Challenges, Nigeria Flares 77bcf

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Despite persistent Liquefied Petroleum Gas (LPG) prices and persistent concerns over domestic energy shortages, Nigeria flared approximately 76.92 billion standard cubic feet of natural gas between January and May 2026.

This was detailed in data published by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). A cursory look at the Commission’s monthly gas production status reports available at its website indicates that operators burnt a combined 76,919.78 million standard cubic feet of gas during the five-month period.

The flared volumes represent gas that could have been channeled towards power generation, industrial use, compressed natural gas initiatives and domestic cooking gas supply in a country grappling with high energy costs.

A breakdown of the figures showed that Nigeria flared 17,166.08 million standard cubic feet of gas in January, accounting for 7.10 percent of total gas production during the month.

In February, the volume of gas flared dropped to 14,085.55 million standard cubic feet, representing 6.44 per cent of output.

The Commission’s data showed that 15,575.10 million standard cubic feet were flared in March, equivalent to 6.40 percent of total gas produced. The volume declined slightly to 14,517.95 million standard cubic feet in April, although the percentage of gas flared rose to 6.94 percent.

In May, Nigeria flared an average of 0.57 billion cubic feet of gas per day, translating to roughly 15.58 billion standard cubic feet for the month, while the flare rate stood at 6.9 percent.

What is striking about this development is that it is coming when Nigerian households and businesses continue to contend with high energy costs and concerns over the availability of alternative fuels.

Findings showed that cooking gas prices jumped from an average of N1,000 per kilogramme in January and February this year to as high as N2,400 a few days ago.

ALSO READ: ‘Nigerian Marketers Import Dangote Fuel Via Lome Hub’

This is also because local producers of LPG have been unable to meet domestic demands for gas, according to operators. For example, the sources stated that there is a decline in LPG supply from the Dangote Petroleum Refinery and Petrochemicals (DPRP), due to internal utilisation, not because the refinery exports, as is being speculated.

The NUPRC data, however, indicate that Nigeria is yet to eliminate the long-standing practice. Despite the continued flaring, the commission noted in its May gas report that the country’s average daily gas production rose to 7.93 billion cubic feet per day, reflecting growth in upstream output.

According to the report, the May flare rate of 6.9 percent underscores Nigeria’s commitment to ending routine gas flaring by 2030.

The Federal Government has repeatedly pledged to end routine gas flaring as part of its climate commitments under the Paris Agreement and through the Nigerian Gas Flare Commercialisation Programme.

The programme seeks to convert previously flared gas into commercially viable products, including liquefied petroleum gas, compressed natural gas and feedstock for power generation and industrial applications.

In December 2025, the NUPRC announced the issuance of permits to successful bidders under the Nigerian Gas Flare Commercialisation Programme, with the projects expected to attract about $2bn in investments and generate thousands of jobs. The Commission said the initiative could capture between 250 million and 300 million standard cubic feet of gas daily that would otherwise have been flared.

Energy experts have long maintained that ending routine gas flaring would not only improve environmental outcomes but also enhance domestic energy security.

Gas flaring has been associated with greenhouse gas emissions and environmental degradation, particularly in host communities within the Niger Delta region.

The latest figures suggest that while Nigeria has made progress in reducing the proportion of gas flared compared to historical levels, the practice remains a major challenge in a country seeking to expand access to cleaner and more affordable energy sources.

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