Nigeria lists 42 firms for gas commercialisation programme

Nigeria has taken a significant step towards addressing its gas flaring issue with the announcement of 42 firms selected to participate in the 2022 Gas Flare Commercialisation Programme. The programme, initiated in 2016, aims to reduce the environmental impact of gas flaring while unlocking economic opportunities for the country. Oti Ikomi, the CEO of Proton Energy, emphasized the importance of this development in a recent interview with CNBC Africa. He highlighted the long-awaited progress in the programme and the potential benefits it offers in terms of environmental sustainability, job creation, and economic growth. With gas flaring costing Nigeria an estimated $485 million annually, the commercialisation programme presents a significant opportunity to drive positive change. However, Ikomi also underscored the need for a supportive policy environment and access to financing to ensure the successful implementation of the initiative. Ikomi expressed optimism about the role of investors in the programme but cautioned that clear execution and effective management would be crucial for its success. He emphasized the importance of streamlining processes and providing clarity on the responsibilities of relevant stakeholders to facilitate a smooth and efficient implementation. Regarding local content development and capacity in the industry, Ikomi recognized the potential of Nigerian companies to drive reforms in the sector. While acknowledging the funding challenges faced by these companies, particularly in light of international financing trends, he called for greater support for gas-related projects, emphasizing the positive impact they can have on the country's environment and economy. The Gas Flare Commercialisation Programme represents a significant opportunity for Nigeria to address environmental concerns, create employment opportunities, and boost economic growth. With the participation of 42 firms, the programme is poised to make a meaningful impact on the country's energy landscape. As stakeholders move forward with the implementation process, effective coordination, access to funding, and a supportive policy environment will be key to realizing the full potential of this initiative.