Nigeria’s domestic daily gas demand to rise 10 billion feet by 2020, says NNPC

Nigeria’s daily domestic gas demand is expected to rise to over 10 billion cubic feet by 2020, the Group Managing Director of the Nigerian National Petroleum Corporation, Joseph Dawha, has said.

Mr. Dawha, who described the level of demand for gas as overwhelming, said Nigeria’s domestic gas utilisation was less than 500 million cubic feet per day about seven years ago.

According to him, the demand in Nigeria alone, which was over two billion cubic feet per day a few years ago, is projected to grow to five billion Cubic feet by 2017 and over seven billion by 2020.

“At seven cubic feet per day we will be almost 150 per cent the size of South Korean consumption. Post-2020, demand is expected to soar rapidly to well over 10 Billion,” the NNPC boss said.

At the global level, he said the demand for gas, which was less than an aggregate of four billion cubic feet a few years ago, would potentially be over 15 billion in the next five to 10 years.

The growth in demand, he noted, has created an overwhelming challenge for supply and by inference on the industry, adding that the Federal Government was vigorously pursuing its aspiration of transforming the nation into a gas-driven economy.

Mr. Dawha said gas was now a fuel of choice with far reaching impact on domestic, regional and global economy, pointing out that nowhere was the pulse of gas economy felt more than at home and the region.

On steps being taken to meet the growing demand in gas, Mr. Dawha said the Federal Government and the NNPC were embarking on a very aggressive implementation of the National Gas Master Plan.

He stressed that the NNPC has also stepped up actions on the development of gas infrastructure at an unprecedented pace in the history of the country.

“Over 500 kilometres of pipelines have been laid and many more kilometres are being planned for execution in the next two to three years “, he said.

The NNPC, he said, has commenced the strategic linkage of the East to the West segments of the pipeline system, while the expansion of the Escravos-Lagos Pipeline System (ELSP) pipeline was almost completed to support increased domestic and regional flow.

He said other steps were also being taken to position Nigeria and NNPC as key players in the evolving gas-driven economy, while the corporation was being transformed from a mere oil company into an oil and gas company.

These steps, he said, included introduction of a new commercial framework for gas to serve as incentive for gas producers to produce more.


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