Lagos, March 20, 2024: The Nigerian Gas Association (NGA) has commended the Federal Government for gazetting three policy directives on fiscal incentives for non-associated gas, midstream and deep water developments.
Mr Aka Nwokedi, President, NGA, said in a statement on Tuesday in Lagos that the policies would herald a monumental leap towards unlocking investment in the oil and gas sector.
Nwokedi said that the directives, which encompass multifaceted strategies, included the streamlining of the contracting process to a compressed six-month cycle and applying local content requirements without hindering investment or cost competitiveness.
The NGA president described the directives as transformative milestones, to revolutionise Nigeria’s oil and gas sector energy landscape, with gas as a critical enabler.
He emphasised that the strategic introduction of fiscal incentives for non-associated gas, midstream, and deep water developments would attract substantial investment, bolster security measures.
He said it would also escalate production rates activities, amplify domestic gas utilisation, and refine the ease of doing business within the sector.
“Furthermore, streamlining the contracting process to expedite the current 36 months contracting cycle to just six months is hailed as a game-changer.
“This would significantly reduce bureaucratic bottlenecks and enhance operational efficiency across the sector.
“This streamlined approach will catalyse project execution, optimise resource allocation, and foster a conducive environment for local and international investors.