Oil & Gas

Nigerian Gas Association (NGA) Engages SA to the President on Energy, Urges Collaborative Efforts to Tackle Industry Challenges

The Nigerian Gas Association (NGA) recently had the honour of paying a courtesy visit to the Special Adviser (SA) to the President on Energy, Mrs. Olu Verheijen and warmly congratulated her on her appointment. The NGA expressed its utmost confidence that her wealth of experience and dedication to the gas industry would pave the way for positive policy directions and substantial growth in the energy sector, particularly within the gas industry. 

L-R: Executive Secretary, Nigerian Gas Association (NGA), Taji Ogbe; Financial Secretary, NGA, Emeka Iheme; NGA DEI Study Group Lead, Engr. Chichi Emenike; Special Adviser to the President on Energy, Olu Verheijen; President, NGA, Akachukwu Nwokedi and 2VP NGA, Olufisayo Duduyemi, during a courtesy call to the Special Adviser, in Abuja.

During the visit, the NGA highlighted the importance of prioritizing gas and fully capitalizing on the abundant gas reserves in Nigeria, especially in the context of the country’s participation in the Decade of Gas and the global energy transition. The Association applauded the Federal Government for several commendable initiatives, including licensing 42 companies under the Nigerian Gas Flare Commercialisation Program, expanding the gas aggregation space, establishing the Presidential Compressed Natural Gas Initiative, and the substantial energy investment commitment with major oil and gas companies operating in Nigeria. All steps in the right direction.

While acknowledging government efforts, the NGA highlighted several critical challenges plaguing the industry that need urgent attention, such as gas supply issues, the absence of a commercial and fiscal framework to stimulate investment in the sector, ageing gas infrastructure, security concerns, multiple taxation hurdles, VAT on Autogas-related equipment’s and transactions, lack of public awareness regarding the benefits of switching to gas, and the dollarisation of levies and taxes.

The NGA sought the support of the Special Adviser on Energy in addressing these challenges and proposes the following:

  1. Enhanced special security measures around pipeline assets to ensure consistent gas supply.
  2. Streamlining taxes and levies with government initiatives, including reviewing the PIA’s provisions that impact the ease of doing business in the sector.
  3.  Strong focus on deepwater and offshore gas development to unlock Nigeria’s abundant gas reserves and ensure sustainable gas supply for export and domestic use
  4. Involvement of the NGA as a resource group for industry input in formulating policy and regulatory direction.

Speaking during the event, the President of the NGA, Mr Akachukwu Nwokedi, reaffirmed the significant advantages derivable from the continuing consultation and engagement between the Association and the government.

“I firmly believe that our Association’s vision for the next two years will pave the way for transformative changes within the gas industry. In the next two years, the NGA will focus on industry advocacy, expanding capacity-building programmes, establishing itself as a premier gas industry resource center, promoting investment opportunities, focus on increasing Nigerian participation in the gas sector, enhancing technical research and development through NGA study groups, and supporting the implementation of the Decade of Gas policy”, Akachukwu added.

In closing, the NGA extended its gratitude to Mrs. Verheijen for the audience and eagerly anticipates her support in representing the industry’s interests. The Association reaffirms its commitment to providing unwavering support to her and the administration.

NGA’s Vital Contributions to Nigeria

Established in 1999, the NGA serves as the leading voice for the Nigerian Gas industry, representing diverse stakeholders. The Association boasts a membership base exceeding 3,000 individuals and entities, consisting of international and indigenous Oil & Gas companies, corporate members, individuals, and students.

As a Chartered Member of the International Gas Union (IGU), the NGA is driven by five core pillars: Advocacy, Investment Promotion, Promotion of Standards and Best Practices, Becoming the Industry Resource Centre of Choice, and Capacity Building. It has significantly impacted the gas industry by supporting the development and implementation of key policies, laws, and regulations, including the Gas Master Plan, the National Gas Expansion Programme Committee, the Petroleum Industry Act (PIA), and the Nigerian Gas Transportation Network Code. 

The NGA also contributes substantially to coordinating the Decade of Gas Secretariat and has actively participated in government initiatives, most recently providing inputs on Autogas.

The NGA’s commitment to industry capacity building is evident through its NGA Learning Solutions Capacity Building Initiative, which hosted over 2000 participants in 2023. The Association has also launched a Diversity, Equity, and Inclusion (DEI) study group to promote inclusivity in the energy sector.

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