NERC to insist on immediate end to gas flaring with new commercial price

Sam-Amadi, NERC

Dr Sam Amadi, NERC boss

16 August 2014, Abuja – The Nigerian Electricity Regulatory Commission (NERC) has said that it will ask the Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke,  to place an instant and precise end to gas flaring in Nigeria’s oil and gas sector.
NERC explained that the order had become necessary to improve gas supply to power plants now that it has upgraded the commercial price of gas-to-power from $1.50 to $2.50 per million cubic feet per day (mcf/d).
The commission also said that gas producers who hitherto had excuses to default in their Domestic Gas Supply Obligation (DSO) following the existence of the “best endeavour” regime in gas supply transactions will no longer have such latitude with the new price as it will insist on strict respect to supply contracts.



– This Day

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