Skip to main content

Energy Transitions and the Future of Natural Gas Law, Policy, and Research

  • Chapter
  • First Online:
The Palgrave Handbook of Natural Gas and Global Energy Transitions

Abstract

The demand for different types of fuels has been exacerbated by population increase worldwide within the past decade. This has warranted a paradigm shift in the global energy sector from fossil fuels to renewable energy sources, such as solar, biomass, and wind. While this energy transition (ET) varies from country to country, natural gas appears to be most adaptable to the needs of consumers worldwide, effectively complementing renewable energy sources. This is based on its availability potential as a clean energy source (compared to existing fossil fuels) and the production of fewer chemicals which contribute to emission of greenhouse gases (GHGs). This chapter analyses the use of natural gas in the ET movement to mitigate climate change impacts and as an energy-efficient innovation. It also analyses the key drivers which natural gas-rich countries must consider in fostering innovations to natural gas policy and research. This chapter discusses the applicable legislative framework for natural gas in Nigeria against these drivers, considering the socio-economic implications of its usage by 2030. This chapter identifies that policy action and reform facilitate sustainable pathways for natural gas in Nigeria, arguing that the usage of natural gas as a complement for other renewable energy sources can facilitate diversity in technology, innovation, research and development and establishment of strong regulatory and policy frameworks. This chapter concludes with recommendations for a collaborative, inclusive process for stakeholders in the energy sector, which will influence natural gas research, law and policy, and transform energy systems to meet low-carbon energy transition objectives and obligations.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 189.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 249.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 249.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    Olawuyi (2015, pp. 1–25).

  2. 2.

    Olawuyi (2015).

  3. 3.

    Guterres (2019).

  4. 4.

    Pachauri and Meyer (2014).

  5. 5.

    International Renewable Energy Agency (IRENA) (2021a); Droege (2008, p. 13); S&P Global (2020); International Renewable Energy Agency (IRENA) (2021b).

  6. 6.

    World Economic Forum (2020).

  7. 7.

    World Economic Forum (2020).

  8. 8.

    World Economic Forum (2020).

  9. 9.

    World Economic Forum (2020).

  10. 10.

    World Economic Forum (2020).

  11. 11.

    Olawuyi (2021, p. 8).

  12. 12.

    Maduekwe (2015).

  13. 13.

    Budinis et al. (2016); Löffler et al. (2019, p. 100422); Clark and Herzog (2014, p. 7261); Ansari and Holz (2020, p. 104947).

  14. 14.

    Budinis et al. (2016); Löffler et al. (2019); Clark and Herzog (2014); Ansari and Holz (2020).

  15. 15.

    Budinis et al. (2016); Löffler et al. (2019); Clark and Herzog (2014); Ansari and Holz (2020).

  16. 16.

    BP (2020).

  17. 17.

    U.S. Energy Information Administration (EIA) (2020). Nigeria.

  18. 18.

    U.S. Energy Information Administration (EIA) (2020). Nigeria.

  19. 19.

    Organization of Petroleum Exporting Countries (OPEC) (2020).

  20. 20.

    Organization of Petroleum Exporting Countries (OPEC) (2020).

  21. 21.

    Toledano et al. (2020).

  22. 22.

    World Economic Forum (2020, p. 11).

  23. 23.

    World Economic Forum (2020, p. 11).

  24. 24.

    UNFCCC (2015), Article 2(1).

  25. 25.

    UNFCCC (2015), Article 2(1) and Article 4(1).

  26. 26.

    Verkuijl et al. (2018, p. 3).

  27. 27.

    De Souza (2017, p. 1).

  28. 28.

    Reuters Staff (2016).

  29. 29.

    African Energy Chamber (2021).

  30. 30.

    Johnston et al. (2020, p. 6).

  31. 31.

    Agyei-Sakyi et al. (2021, p. 19).

  32. 32.

    World Economic Forum (2020, p. 9).

  33. 33.

    Africanews (2021).

  34. 34.

    U.S. Energy Information Administration (EIA) (2021). Singapore.

  35. 35.

    Agyei-Sakyi et al. (2021, p. 4).

  36. 36.

    Agyei-Sakyi et al. (2021, p. 19).

  37. 37.

    CIA. The World Fact Book: Nigeria (2021).

  38. 38.

    World Population Review. Nigeria Population (2021).

  39. 39.

    United Nations Department of Economic and Social Affairs (DESA): Population Division (2019), p. 12.

  40. 40.

    Omoregie (2018).

  41. 41.

    Government of Nigeria (2021a) Department of Petroleum Resources (DPR), International Energy Agency (IEA) (2018).

  42. 42.

    Oni (2020, p. 425).

  43. 43.

    Associated Gas Re-injection Act 1979; National Gas Master Plan and Policy and the National Gas Flare Commercialization Programme, see Government of Nigeria (2021b).

  44. 44.

    Global Gas Flaring Reduction Partnership and World Bank Group (2020, p. 5).

  45. 45.

    Dataphyte (2020).

  46. 46.

    Adeniji and Osazuwa (2021a).

  47. 47.

    GECF (2021)

  48. 48.

    Olawuyi (2018), Adeniji and Osazuwa (2021b).

  49. 49.

    UNCTAD recognizes EPPs as products with significantly lower environmental impacts and harm when compared to competing or alternative products that serve the same purpose. UNCTAD (1995); Olawuyi (2021).

  50. 50.

    S&P Global Platts (2021).

  51. 51.

    Business Wire (2021).

  52. 52.

    S 44 (3), 1999 Constitution; Item 39 of the Exclusive Legislative List; s 1, Petroleum Act 1990.

  53. 53.

    See Olawuyi (2018).

  54. 54.

    Oni (2020, p. 427).

  55. 55.

    Oni (2020, p. 428).

  56. 56.

    The main natural gas pipeline transportation in Nigeria such as the Alakiri-Obigbo-Ikot Abasis (Pipeline) (the Eastern Network), the Escravus-Lagos Pipeline System (the Western Network), and the proposed Ajaokuta-Kaduna-Kano gas pipeline connecting the North are all owned by the Nigerian Gas Processing and Transportation Company (NGPTC), a subsidiary of the Nigerian National Petroleum Corporation. However, the NGPTC has granted franchises to private parties like Shell Nigeria Gas, Gaslink Nigeria Limited, and Falcon Corporation Limited to facilitate development of gas distribution infrastructure in specified markets on a build, own, operated, and transfer (BOOT) basis. Adeniji and Osazuwa (2021a, p. 187).

  57. 57.

    Jegede and Idiaru (2020).

  58. 58.

    Dataphyte (2020); Global Gas Flaring Reduction Partnership and World Bank Group (2020); Toledano et al. (2020, p. 13).

  59. 59.

    Banjo (2019, p. 49).

  60. 60.

    The Petroleum Industry Act (2021).

  61. 61.

    OSIWA/BudgIT (2014); Government of Nigeria. The Petroleum Industry Bill (PIB) (2020b).

  62. 62.

    The Petroleum Industry Act (PIA) (2021, Ss 104–105).

  63. 63.

    PIA (2021, S 108).

  64. 64.

    Ibid., S 105.

  65. 65.

    Ibid., S 260 (2).

  66. 66.

    EY (2021).

  67. 67.

    OSIWA (2014, p. 7).

  68. 68.

    PIA, S 154 (a)(b).

  69. 69.

    S 149, 150, 152.

  70. 70.

    Ibid., S 138–140.

  71. 71.

    S 160.

  72. 72.

    S 157; 167–170.

  73. 73.

    DPR Nigerian Gas Transportation Network Code (NGTNC) (2021).

  74. 74.

    Oni (2020, p. 427).

  75. 75.

    This Programme is designed to implement the policy objectives of the Federal Government of Nigeria for elimination of gas flares through technically and commercially sustainable gas utilization projects developed by competent third-party investors who will participate via a bidding process. Nigerian Gas Flare Commercialization Programme. https://ngfcp.dpr.gov.ng/ Accessed May 20, 2021.

  76. 76.

    The focus of this programme is on the conversion of fuel-powered cars and generators from petrol to gas. Blythe and Todd (2021); Africa Oil & Power (2020).

  77. 77.

    Oni (2020, p. 428).

  78. 78.

    Oni (2020, p. 428).

  79. 79.

    With this flare-out deadline not realized, the adoption of the Flare Gas Regulations 10 (2018), ten years after the 2008 deadline, provides for a prohibition on producers, that is, holders of an OML or an allottee of a marginal field from flaring gas without a valid certificate issued by the Minister of Petroleum Resources. The Regulations also establish payment for gas flaring on producers who flare gas within an OML area or marginal field. Ss 12 and 13, Flare Gas Regulations (2018); FOEI (2009); VOA (2009).

  80. 80.

    Stears Business (2019); Akanmidu (2019).

  81. 81.

    Johnston et al. (2020, p. 16).

  82. 82.

    Mshelia (2013).

  83. 83.

    Maduekwe (2015).

  84. 84.

    The World Bank (2021a).

  85. 85.

    The World Bank (2021c).

  86. 86.

    The World Bank (2021b).

  87. 87.

    Mshelia (2013).

  88. 88.

    Energy and Electricity Consumption by Sector, Electricity Generation by Source/Energy Mix, and Total Energy Supply and Consumption by Source—International Energy Agency (IEA) (2021) Nigeria.

  89. 89.

    Rural Electrification Agency (2017) Rural Electrification Strategy and Implementation Plan (RESIP).

  90. 90.

    Oni (2020, pp. 425–426).

  91. 91.

    European Commission (2021) A European Green Deal.

  92. 92.

    Akweny and Sai (2020); Schaffartzik and Fischer-Kowalski (2018).

  93. 93.

    Nalule (2021, p. 471).

  94. 94.

    Energy Commission of Nigeria (2021).

  95. 95.

    For example, a research report titled “Tackling Nigeria’s Energy Poverty through Sustainable Waste-to-Energy Initiatives: A Case Study of Lagos State” (2021) has recently been produced by NIALS. The research report which is currently being reviewed was actualized on the basis of a small research grant from the ECOWAS-ECREE to NIALS in September 2020. The first draft of the Research Report was submitted on 16 June 2021.

References

Books

Journal Articles

  • Agyei-Sakyi M et al. (2021) Determinants of Electricity Consumption and Volatility-Driven Innovative Roadmaps to One Hundred Percent Renewables for Top Consuming Nations in Africa. 13 Sustainability 1–22 at. 19.

    Google Scholar 

  • Ansari D and Holz F (2020) Between Stranded Assets and Green Transformation: Fossil-Fuel-Producing Developing Countries Towards 2055. 130 World Development 104947.

    Google Scholar 

  • Clark VR and Herzog HJ (2014) Can “Stranded” Fossil Fuel Reserves Drive CCS Deployment? 63 Energy Procedia 7261.

    Google Scholar 

  • Löffler K et al. (2019) ‘Modeling the low-carbon transition of the European energy system: A quantitative assessment of the stranded assets problem’ 26 Energy Strategy Reviews 100422

    Google Scholar 

Book Chapters in Edited Works

  • Adeniji G and Osazuwa N (2021a) Nigeria. In Gas Regulation 2021. Lexology, London, February pp. 186–192.

    Google Scholar 

  • Droege P (2008) Urban Energy Transition: An Introduction. In Droege P (ed), Urban Energy Transition: From Fossil Fuels to Renewable Power. Elsevier, Netherlands, p. 13.

    Google Scholar 

  • Maduekwe NC (2015) The Nigerian Natural Gas Industry: Critical Policies and Legal Issues. In: Society of Petroleum Engineers (ed), Natural Gas Development and Exploitation in an Emerging Economy: Strategies, Infrastructure and Policy Framework. Society of Petroleum Engineers.

    Google Scholar 

Online Documents

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Nkiruka Chidia Maduekwe .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2022 The Author(s), under exclusive license to Springer Nature Switzerland AG

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Ladan, M.T., Okukpon, I., Maduekwe, N.C. (2022). Energy Transitions and the Future of Natural Gas Law, Policy, and Research. In: Olawuyi, D.S., Pereira, E.G. (eds) The Palgrave Handbook of Natural Gas and Global Energy Transitions. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-91566-7_24

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-91566-7_24

  • Published:

  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-030-91565-0

  • Online ISBN: 978-3-030-91566-7

  • eBook Packages: Social SciencesSocial Sciences (R0)

Publish with us

Policies and ethics