LEGAL AND POLICY FRAMEWORK FOR SUSTAINABLE GAS MONETISATION: PROSPECTS AND CHALLENGES

Abstract

The Nigerian gas industry is poised to play a significant role in the country’s economic development, with the government prioritising gas monetisation as a key driver of economic growth. However, the industry faces  significant challenges, including inadequate infrastructure, regulatory hurdles, and environmental concerns. This article examines the legal and regulatory framework for sustainable gas monetisation in Nigeria, highlighting the prospects and challenges. Several laws and regulations governing the gas industry have been enacted, including the Petroleum Industry Act 2021, the Gas Master Plan, and the National Gas Policy. The article identifies and analyses the gaps and areas for improvement, while exploring the role of the regulatory agencies, including the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), in promoting sustainable gas development. The article adopts a doctrinal research approach, analysing relevant laws, policies, and literature on gas monetisation in Nigeria. It reveals that while the legal framework for gas development thrives, issues such as gas flaring, community engagement, and revenue management remain significant challenges. The article further highlights the need for greater transparency and accountability in the gas industry. The article concludes that a robust and stable legal framework is essential for attracting investment and promoting sustainable gas development in Nigeria. It recommends increased transparency and accountability, and the development of infrastructure to support gas production and distribution.