Mkpoikana Udoma
Port Harcourt — The Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, has identified gas distribution infrastructure as the missing link in Nigeria’s gas economy, warning that the country’s vast reserves will deliver little economic value without aggressive investments to connect gas to industries, power plants, businesses, and households.
Speaking at the Association of Local Distributors of Gas, ALDG, Business Forum in Abuja, the Authority Chief Executive, Mr. Rabiu Umar, said Nigeria’s challenge is no longer the availability of gas but the ability to deliver it where it is needed.
Represented by the Acting Executive Director, Distribution Systems, Storage and Retailing Infrastructure, Engr. Ayorinde Cardoso, Umar said the country’s gas development strategy must now shift from resource ownership to infrastructure-led utilization.
“While Nigeria possesses over 209 trillion cubic feet of proven natural gas reserves, the country’s major challenge is no longer gas abundance but gas accessibility,” he stated.
Addressing the forum themed “From Gas Abundance to Gas Access: Reassessing Nigeria’s Gas Distribution Imperative,” the NMDPRA boss said the nation’s gas agenda must focus on ensuring reliable gas delivery to productive sectors of the economy.
“Our gas agenda must focus on ensuring reliable delivery of gas to industries, power plants, businesses, CNG stations and households,” he said.
Umar disclosed that the Federal Government is targeting gas supply growth to 10 billion cubic feet per day by 2027 and 12 billion cubic feet per day by 2030, describing the targets as critical to Nigeria’s industrialization and energy security ambitions.
According to him, achieving those targets will require significant investments not only in major transmission projects such as the Ajaokuta-Kaduna-Kano, AKK, and OB3 pipelines, but also in last-mile distribution networks that connect consumers to gas supplies.
The NMDPRA chief highlighted progress made under the Gas Distribution Licensing, GDL, framework introduced under the Petroleum Industry Act, PIA 2021.
He revealed that the Authority issued 10 Gas Distribution Licences in 2025, with licensed operators currently serving approximately 430 customers through more than 535 kilometres of gas pipeline infrastructure and a combined network capacity of 442 million standard cubic feet per day.
“The Authority issued ten Gas Distribution Licences in 2025, with the licensed zones currently serving about 430 customers through over 535 kilometres of pipeline infrastructure and a combined network capacity of 442 MMSCF/D,” he said.
Umar further disclosed that NMDPRA is preparing the next phase of gas distribution licensing, particularly along the AKK Pipeline Corridor, to stimulate industrial development and expand domestic gas utilization across Northern Nigeria.
He noted that while virtual gas distribution through Compressed Natural Gas, CNG, and Liquefied Natural Gas, LNG, trucking is helping bridge supply gaps, pipeline-based gas delivery remains the most efficient long-term solution.
“While acknowledging the growing role of virtual gas distribution through CNG and LNG trucking, the long-term objective remains the expansion of Piped Natural Gas infrastructure as the most efficient and scalable model for nationwide gas utilisation,” he stated.
The Authority Chief Executive reaffirmed NMDPRA’s commitment to creating an investment-friendly regulatory environment that supports infrastructure development, supply reliability, and market expansion across the gas value chain.
He challenged stakeholders to accelerate investments and focus on measurable gas utilization outcomes rather than reserve figures.
“We must move from reserve-based pride to utilisation-driven performance,” Umar said, adding that the ultimate success of Nigeria’s gas sector would be judged by “how effectively gas is delivered to productive use across the country.”
The remarks come as Nigeria intensifies efforts under the Decade of Gas initiative to leverage its vast natural gas resources for industrial growth, cleaner energy adoption, job creation, and economic diversification.
