Nigeria’s downstream gas operators have advised the Federal Government to domesticate the country’s gas resources as a catalyst to deepen its application and drive investments in the sector.
Criticising the fact that Nigeria has focused on its gas export market for many years, the operators agreed that the time was right to domesticate its benefits to build economic diversity and resilience.
President of Nigerian Gas Association, NGA, Audrey Joe-Ezigbo speaking during the session on “Downstream Gas Investments – From Assets to Markets” at the on-going Oil Trading and Logistics, OTL Africa Downstream Week, said the gas-based economies and markets had proven to be less susceptible to the twin shocks of oil price crash and the Covid-19 pandemic.
President of the Nigerian LPG Association, Nuhu Yakubu, in his address submitted that Nigeria must develop seamless import substitution strategies in a manner that will task all industry players as it concerns strategies to adopt for synergy between government and private sector, policies, programmes and regulations that should be reviewed to enable the important need for import substitution.
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Also speaking, Chief Executive Officer of THLD Group, Oluwasegun Olajuwan, addressing the issue of Autogas as an enabler of downstream gas development, advocated for a separate price regime to incentivise investments in the sector.
Programme Manager, National LPG Expansion and Implementation Programme, Dayo Adesina confirmed that government was committed to deepening downstream gas application through targeted incentives such aa renewable five-year Presidential Duty waiver on gas accessories; tax holiday for investors; cylinder reinjection policy and establishing standards for kits and workshops.
National Vice President, Nigerian Association of LPG Marketers, NALPGAM, Oladapo Olatunbosun noted with optimism that gas had exited the years when it was seen as a liability to become a most sought after resource.
He reeled out opportunities for downstream gas investment among which include pipelines, dry terminals, LPG reticulation lines for estates, autogas, LPG kiosks and community delivery systems among others.
2020 has been declared as the year of Gas in Nigeria’s Oil and Gas industry by the Minister of State for Petroleum, Timipreye Sylva with gas touted as an alternative to Premium Motor Spirit, PMS, popularly known as petrol.
(Editor: Terverr Tyav)