Nigeria’s Decade of Gas Gains Momentum as Tinubu Administration Pushes Energy Transition
Nigeria’s ambition to become a gas-powered economy by 2030 is gaining renewed momentum under the administration of President Bola Ahmed Tinubu, with the Decade of Gas programme recording significant progress over the past two years.
Stakeholders attribute the acceleration largely to focused leadership under the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, and stronger coordination across government and industry.
One of the most notable achievements has been the steady rise in gas production. National output increased from 6.8 billion cubic feet per day (bcfd) in 2023 to 7.5 bcfd in 2025, with domestic gas supply crossing the 2 bcfd threshold for the first time in Nigeria’s history. Over 1 bcfd of additional supply has been unlocked through final investment decisions and firm gas supply agreements, while export volumes have returned to 2021 levels.
Confidence in the gas-to-power value chain has also improved following presidential approval for the settlement of approximately ₦185 billion—equivalent to over $500 million—in long-standing debts owed to gas producers supplying the power sector. The settlement addresses arrears accumulated over more than a decade and is expected to unlock further investment.
Upstream investment momentum has strengthened, with three major Final Investment Decisions—Iseni, Ubeta, and HI—reached between 2023 and 2025. These projects represent over $2 billion mobilised toward Nigeria’s $30 billion gas investment target by 2030.
Nigeria has also enhanced its global gas diplomacy, securing key leadership positions within the Gas Exporting Countries Forum (GECF), including the presidency of the 2026 Ministerial Meeting, the office of Secretary-General, and representation by NMDPRA on the GECF Executive Board.
On pricing, the domestic gas base price for 2025 was reduced from $2.42 per million British thermal units (mmbtu) to $2.13 per mmbtu, balancing affordability with the need to sustain investment.
Liquefied Petroleum Gas (LPG) adoption has expanded following a ministerial directive mandating increased domestic LPG production. Two pilot export redirection programmes have also been launched to prioritise local supply.
In addition, a nationwide LPG grassroots penetration programme targeting women across all six geopolitical zones has been successfully concluded, laying the foundation for a one-million-homes-per-year clean cooking initiative scheduled to run from 2026 to 2030.
Midstream and downstream infrastructure development has advanced through the Midstream & Downstream Gas Infrastructure Fund (MDGIF), which has secured governing council approval to finance over 20 critical projects. The initiative represents an investment of more than ₦287 billion, with over half already disbursed.
Key gas infrastructure projects delivered by NNPCL include critical progress on the Ajaokuta–Kaduna–Kano (AKK) pipeline river crossing and mechanical welding completion. Pipeline availability on the Escravos–Lagos Pipeline System has exceeded 90 per cent in 2025, while the OB3 pipeline crossing is now scheduled for completion in 2026.
Looking ahead, over 50 gas utilisation projects have been identified across the midstream and downstream sectors. Once completed by 2030, these projects are projected to create more than four million jobs, reinforcing gas as a central pillar of Nigeria’s economic growth, energy security, and industrialisation strategy.
