Emmanuel Addeh in Abuja
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has re-launched the Nigerian Gas Flare Commercialisation Programme (NGFCP) 2022, to reduce the flaring of the resource and ramp up its deployment for economic use.
The initiative introduces a bankable commercial structure for the monetisation of flared gas by providing flare gas buyers with title and access to collect the molecules from the prescribed fields.
Speaking during the programme re-launch, Chief Executive of the NUPRC, Mr Gbenga Komolafe, said it was coming on the back of a submission by the NUPRC programme management team set up to coordinate the implementation of the NGFCP.
According to him, the formal rework of the programme was to realign it with the objectives of the Petroleum Industry Act (PIA), and refocus the NGFCP to reflect current flare disposition, operational realities as well as prevailing market, environment and global dynamics.
He reiterated that the commission was committed to the successful completion of the NGFCP which will drive the attainment of Nigeria’s pledge to end routine gas flaring within the decade and contribute to the reduction of global emissions, consistent with President Muhammadu Buhari’s declaration at COP 26.
Describing the NGFCP 2022 as a hybrid of opportunities to preserve value for existing bidders and expanding avenues for new investors in the first-of-its-kind flare auction, Komolafe said it represents a critical pathway to the achievement of Nigeria Energy transition plan .
“The auction process has been streamlined to enable an accelerated delivery schedule for this exercise with the announcement of winners planned for December 2022,” he explained.
While requesting bidders to visit the NUPRC website, he noted that existing applicants would derive value from their previous endeavours on the NGFCP and would be deemed pre-qualified once they meet the basic requirements for status validation as stated in the Request for Qualification (RFQ).
