The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reaffirmed its commitment to ensuring steady and affordable gas supply across Nigeria through strategic collaboration with both public and private sector operators.
The Chief Executive Officer of the Authority, Engr. Saidu Mohammed, gave the assurance during a three-day inspection tour of key midstream oil and gas facilities in Port Harcourt, Rivers State, over the weekend. According to him, the Authority’s strategy is anchored on expanding supply and deepening competition in order to naturally moderate prices for consumers.
Mohammed explained that basic economic principles show that increased supply leads to lower prices, stressing that the Authority’s priority is to guarantee sufficient availability of petroleum products, including gas and gasoline, at rates Nigerians can afford. He noted that competition, rather than subsidies, remains the most sustainable path to achieving price stability.
Citing the deregulated Premium Motor Spirit (PMS) market as an example, the NMDPRA boss said the drop in petrol prices from about ₦1,000 to roughly ₦800 per litre demonstrates the positive impact of competition. He maintained that as long as government refrains from subsidising segments of the value chain, market forces will continue to deliver improved pricing outcomes.
During a facility visit to Aradel Holdings Plc, Mohammed commended Nigerian indigenous oil and gas companies for their growing investments in the energy sector. He described the midstream segment as the engine room for Nigeria’s economic growth, with the capacity to drive industrialisation and support other sectors of the economy.
He praised Aradel’s expanding asset base and investments, urging other private sector players to follow suit. According to him, Nigeria has a sufficiently large market for petroleum products, gas and cleaner energy to sustain increased private participation and long-term growth.
Mohammed emphasised the need for more refineries and processing facilities, noting that while large projects such as the Dangote Refinery are significant, they alone cannot meet Nigeria’s ambitions. He said the country must not only satisfy domestic demand but also position itself as a major exporter to African markets and beyond, including Europe and North America.
He highlighted Aradel’s expansion programme, revealing that the company is expected to commence PMS loading by the end of the year or early 2027. He described the development as a major step in the right direction, adding that Nigeria’s long-term aspiration is for the entire oil and gas value chain to be owned and operated by Nigerians.
The NMDPRA chief further disclosed that the midstream oil and gas sector would require between $30 billion and $50 billion in investments to meet national objectives. He stressed that such funding can only realistically come from the private sector, rather than government.
According to him, the role of the Authority is to create an enabling regulatory environment that attracts and protects investment, while ensuring efficient operations across the industry. He added that the improvements already visible in Nigerian-operated, world-class facilities signal a positive shift and represent the model the country must replicate to achieve sustainable growth in the energy sector.
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