Nigeria Domestic Gas Market Reform Sets 2028 Commercial Pricing Deadline

Regulatory Framework Establishes 24-Month Market Transition Window

The Nigerian Midstream and Downstream Petroleum Regulatory Authority has formally established September 2028 as the firm deadline for complete Nigeria domestic gas market reform, moving the domestic supply sector to a fully commercial, willing-buyer, willing-seller pricing structure. Speaking at an executive industry session in Abuja, Chief Executive Rabiu Umar confirmed that the regulatory body will initiate a 24-month operational evaluation period starting in late 2026. This timeline operationalizes Section 167 of the Petroleum Industry Act of 2021, removing statutory price caps once specific structural conditions are met across the domestic value chain.

The regulator identified eight mandatory benchmarks to determine market readiness before lifting price intervention. These criteria include supply diversity, open access to transport pipeline networks, strong contract enforcement mechanisms, payment reliability, and transparent pricing signals. Despite Nigeria boasting substantial gas reserves, domestic supply remains constrained, creating feed-gas deficits for major trunklines such as the Ajaokuta-Kaduna-Kano pipeline. To stimulate supply ahead of 2028, the regulator is finalizing rules on anti-competitive practices and expects to issue fresh commercial