NGA engages Presidential adviser on industry challenges
The Nigerian Gas Association (NGA) recently had the honour of paying a courtesy visit to athe 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.
During the visit, the NGA highlighted the importance of prioritising gas and fully capitalising 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:
“Enhanced special security measures around pipeline assets to ensure consistent gas supply.
“Streamlining taxes and levies with government initiatives, including reviewing the PIA’s provisions that impact the ease of doing business in the sector.
“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.
“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.
