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Economic and Financial Review

Authors

F. Kupolokun

Publisher

Central Bank of Nigeria, Research Department.

Keywords

Oil and Gas, Nigeria reforms, Deregulation

Abstract

This paper examine various developmental reforms in Nigeria Oil and Gas sector. The case study adopted is the survey method approach to ascertain various reforms in the sector. The findings revealed factors such as ( a) Petroleum Products scarcity ; (b) Funding problems for NNPC leading to irregular maintenance of refining and distribution facilities ; ( c) Refining capacity under-utilization ; ( d) Smuggling of Petroleum products; ( e) Divestment by marketers; (f) Wastages; (g) Adulteration of products and fire hazards; (h) Social and political unrest; (i) Poor economic growth; and (j) Rampant pipeline ruptures and vandalization. And, in tackling this continued factors, the author therefore suggests the following: Develop a natural gas policy document; Finalize the draft downstream gas legislation; Update and legislate a new fiscal regime for Gas projects; increase domestic energy availability; release more premium fuel for export; diversify government's export base for foreign exchange earnings; Elimination of natural gas flares by 2008; - Facilitating development of domestic power sector through increased use of natural gas; - Leveling the playing field between oil producers and other parties involved in the domestic gas business to encourage investment in gas.

Publication Title

CBN Economic and Financial Review (EFR)

Issue

4

Volume

42

Recommended Citation

Kupolokun F. (2004), Deregulation of the oil and gas industry in Nigeria. CBN Economic and Financial Review, Vol. 42(4), 77-91.

Included in

Economics Commons

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