Nigerian govt inaugurates committee to review domestic gas pricing

The Nigerian government has inaugurated a committee to review and evaluate the pricing framework of domestic gas in furtherance of its ambition to deepen the penetration of Liquefied Petroleum Gas (LPG) and Compressed Natural Gas (CNG), which is expected to serve as an alternative to petrol.

A statement issued in Abuja on Tuesday and signed by the Special Assistant on Media and Public Affairs to the Minister of State for Petroleum Resources, Julius Bokoru, said the minister, Timipre Sylva, at the virtual inauguration stressed the significance of an appropriate price system that would not only benefit the manufacturing sector or Nigerians but also stimulate growth in the gas industry in and outside the country.

“Without appropriate pricing we can’t have it right. We have to ensure that gas becomes affordable. That is the only way our country can strife.

Read also: BOC Gases reports 39.6% plunge in full year profit despite increased revenue, declares N0.30 dividend

“It is sad to note that we sell gas cheaply to investors while the price is high in the domestic sector to the extent that some Nigerians say diesel is cheaper than gas.

‘’Once we solve the issue of gas in Nigeria, we would have solved a lot of problems in the country. Luckily for us, gas is something we have in abundance,’’ he said.

According to Mr Sylva, the committee members have a duty to review domestic gas price and benchmark, make recommendations for proper gas pricing, make technical suggestions and evaluations, and have 30 days to hand in their recommendations.

He disclosed that President Muhammadu Buhari would kick off the Ajaokuta-Kaduna-Kano Pipeline Construction on 30th June.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now