Nigerian House of Reps adopts legislative measures to achieve gas utilisation

The Nigerian House of Representatives is adopting legislative measures to achieve full utilisation of Nigeria’s abundant natural gas resources.

The Speaker House of Representatives, Mr. Femi Gbajabiamila made this known at a one-day public hearing on the inclusion of gas terms in production sharing contracts, held in Abuja.

Mr. Gbajabiamila who expressed concern over the status of gas resources said the move was to fast tract industrialization, provide job opportunity and increase revenue for critical infrastructure development in the country.

“For too long, Nigeria’s natural gas resources have existed almost as an afterthought both as a matter of policy making and as a focus of investment and exploration.

“Given the potential of natural gas for industrialisation, job creation and revenue generation for government, this is a significant error that ought now to be corrected with all urgency,” The Speaker added. 

The Chairman of the House Committee on Gas Resources, Mr. Nicholas Mutu said the committee would continue to proper workable solutions to Nigeria’s gas sector to attracts more investments and grow the economy.

While emphasising the need for a robust policy to drive the gas sector development, Mr. Mutu said Nigeria as a nation deserved more from the sector.

He said, “This public hearing presents us with another opportunity to offer practical suggestions for a structural bouquet of incentives that would attract investors in the gas sector, provide for access to finance and profit sharing.

“It is expected that it will also improve the gas pricing mechanism as well as cost recovery and many more going forward with the PSC. Government’s monies that have accrued from the gas under the existing PSCs have to be accounted for.”

Minister of State, Petroleum Resources, Mr. Timipre Sylva while stressing the importance of gas resources to national development said government would continue to explore all available means to realise its full benefits.

The public hearing was organised by joint House Committees on Gas Resources, Petroleum Resources (Up Stream) and Petroleum Resources (Down Stream).

Suzan O