Nigeria’s Energy Transition: Gas, Billions, and the Big Question—Who’s Watching?
The Push for a Cleaner Energy Future—or Just Another Money Pit?
Nigeria’s energy transition is in full swing—at least, that’s what the government says. The Energy Transition Plan (ETP) is supposed to lead us to net-zero emissions by 2060, with gas being hailed as the “bridge” between crude oil dependency and renewables. The logic? Compressed Natural Gas (CNG) burns cleaner than petrol (PMS), cutting carbon emissions by 25% and eliminating toxic sulfur compounds. Sounds great, right?
But here’s the problem: Nigeria has been sitting on over 209 trillion cubic feet of gas for decades, yet we’re still flaring 7 billion cubic feet annually because, well, we don’t have the infrastructure to properly use it. Now, the government wants us to believe that throwing N122 billion at six companies will suddenly fix everything.
Show Me the Money: Who Got It and Why?
Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, recently announced that six companies—Asiko Energy Holdings Limited, FEMADEC Energy Limited, Ibile Oil and Gas Corporation, Nsik Oil and Gas Limited, Rolling Energy Limited, and Topline Limited—have been selected to receive a whopping N122 billion from the Midstream and Downstream Gas Infrastructure Fund (MDGIF). According to him, these companies have a “strong track record” in gas development.
A few questions, though:
• Who evaluated their track record?
• Was there a competitive bidding process, or was it the usual “man know man” selection?
• What exactly are these companies expected to do with the money?
• Was there a bidding process? How was it conducted?
Let’s not forget that this fund was supposed to have been implemented in 2021, when it was published under Section 54 of the Petroleum Industry Act (PIA). But, of course, nothing happened until now—right when gas is being pushed as the fuel of the future. Convenient timing, don’t you think?
CNG: The Math vs. The Madness
On paper, CNG looks like a no-brainer. It’s cheaper than petrol, reduces carbon emissions, and could ease Nigeria’s fuel subsidy burden. The government even claims it’ll convert one million vehicles to CNG in the next three years.
But here’s where things get funny (or tragic, depending on how you look at it): Nigeria barely has the infrastructure to move and store gas, which is why we’ve been flaring it for years. Yet, we are now expected to believe that we can suddenly roll out a nationwide CNG network without first fixing our terrible pipeline system.
And let’s not even talk about the safety risks. Unlike petrol, which burns in a controlled environment, a single gas leak or explosion can wipe out an entire community. Given Nigeria’s terrible track record in pipeline maintenance, what could possibly go wrong? Just this week, we have recorded 2 gas explosions in Nigeria, early this year The Rivers State Police Command confirmed that 18 people sustained severe injuries and many others died in a gas explosion that rocked the Oroazi community, Rivers State. So, safety measure for gas exploration has to be efficient and transparent.
Gas explosion , Lagos Nigeria
Fight for Accountability
This is where civil society, young people, and organizations recently Lincgreen, Janikoba, Rooted Rising, Ken Saro Wiwa foundation, and other youth led platforms are bringing together young climate advocates, energy experts, and activists to discuss the realities of Nigeria’s energy transition.
Our key discussions:
• Throwing money at a problem without accountability solves nothing.
• Exploring the Energy transition plan and the PIA
• There’s no real transition without transparency.
• If we’re going to use gas, we need serious regulatory oversight, not just big announcements.
We’re also seeing groups like Lincgreen, BudgIT and Tracka doing fantastic work tracking public spending. But let’s be honest—there’s still a massive gap in informed advocacy and activism. How many people really understand what’s in the PIA? How do we ensure these six companies don’t just disappear after collecting billions?
Where Do We Go From Here?
Nigeria’s energy transition isn’t just about replacing petrol with gas—it’s about ensuring real, sustainable change. Right now, it feels more like a business deal than an actual climate strategy.
If the government is serious about this transition, they need to:
1. Publicly disclose the selection process for these companies.
2. Provide clear timelines and deliverables for the projects.
3. Strengthen regulatory bodies to monitor gas infrastructure.
4. Engage local communities, not just oil executives, in decision-making.
Until then, we’ll keep asking questions. Because if history has taught us anything, it’s that in Nigeria, when big money is involved, someone is getting rich, and it’s usually not the people.
