Nigeria’s Gas Reserves Can Meet Regional Demand, But Industry Disconnect Hinders Progress – NUPRC

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has expressed concern that despite Nigeria’s vast natural gas reserves, the country continues to face challenges in meeting domestic energy demand due to poor coordination across the gas and power value chain.

Speaking at the 2026 Gas-to-Power Sector Stakeholders’ Engagement held at the Afreximbank Africa Trade Centre (AATC) in Abuja, the Commission Chief Executive of NUPRC, Oritsemeyiwa Eyesan, said Nigeria’s gas resources should have positioned the country as a leading supplier to regional energy markets rather than struggling with local supply constraints.

The event, themed “Power Sector Sustainability: Framework Implementation Assurance,” brought together stakeholders from the gas, power, and financial sectors to discuss solutions for strengthening Nigeria’s energy landscape.

Nigeria’s Gas Potential Remains Underutilized

According to Eyesan, Nigeria’s estimated gas reserves of 215 trillion cubic feet (TCF) provide sufficient capacity to meet domestic demand while supporting regional energy needs.

However, she noted that longstanding disconnects between upstream gas producers, infrastructure developers, and electricity distribution companies have slowed progress and limited the impact of government-backed initiatives.

“Nigeria should be discussing how to meet regional energy demand today, not still struggling to satisfy domestic needs,” she said.

Need for Greater Collaboration Across the Value Chain

The NUPRC chief emphasized the importance of stronger collaboration among stakeholders to address persistent gas-to-power supply challenges.

She recalled that discussions around the Domestic Gas (DomGas) framework began in 2008 and gained momentum in 2009 as part of efforts to improve gas supply for power generation. Despite dedicated funding and policy support over the years, implementation challenges have continued to hinder results.

According to Eyesan, different segments of the industry have often operated independently, creating inefficiencies that affect the entire energy value chain.

She pointed out that while upstream producers have expanded gas production efforts, supporting infrastructure development and electricity distribution have not advanced at the same pace.

Call for Practical Solutions

Eyesan also warned against excessive bureaucracy and policy rigidity, urging stakeholders to focus on practical and innovative solutions that can unlock the full potential of Nigeria’s gas resources.

She stressed that continued delays could have broader implications not only for Nigeria but also for Africa’s energy development goals.

“If we do not break down existing barriers and develop creative solutions, the country risks facing the same challenges years from now,” she said.

Gas Remains Critical to Energy Transition

Commenting on global energy transition efforts, Eyesan noted that Africa initially experienced declining investment in oil and gas projects before natural gas gained recognition as a key transition fuel.

She said increased support for gas development globally presents an opportunity for Nigeria to leverage its abundant reserves to drive economic growth, improve electricity generation, and strengthen regional energy security.

Unlocking Nigeria’s Energy Future

The NUPRC boss called on stakeholders across the gas, power, and financial sectors to work together to deliver sustainable solutions that can transform Nigeria’s energy sector.

She emphasized that stronger partnerships, improved infrastructure development, and coordinated implementation of policies will be essential to maximizing the country’s gas potential and supporting long-term economic growth.

Industry experts believe that with the right investments and collaboration, Nigeria’s vast gas reserves could play a pivotal role in meeting domestic energy needs while positioning the country as a major energy supplier across Africa

About the author: Esther Udoh

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