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Financial News

“Gas Remains Nigeria’s Power Backbone” — Ex-Minister Nnaji Urges Urgent Investment In Infrastructure To Address Generation Shortfalls

Bartholomew Nnaji

Former Minister of Power, Professor Bart Nnaji, has said Nigeria’s power sector will continue to experience generation shortfalls unless the country urgently fulfills its investment obligations in gas infrastructure.

Speaking on Thursday in Lagos at the 2025 Oriental News Conference themed “Integrating Nigeria’s Gas Potential into Strategic Energy Transition Initiatives”, Nnaji warned that power generation would be dominated by gas-fired plants for at least the next two decades. He stressed that inadequate gas supply to thermal power stations remains a major impediment to consistent electricity generation.

“The focus should not rest solely on government-led efforts — the private sector must also play a vital role,” Nnaji said, as he chaired the event attended by stakeholders across the oil and gas value chain, including government officials.

He noted that despite Nigeria’s vast reserves — over 210 trillion cubic feet of natural gas — the country still suffers local shortages due to underinvestment in gas extraction, transmission, and transportation infrastructure.

“It’s baffling that with such huge reserves, we’re unable to produce sufficient quantities to support operations across the country. Though operations improved this year, they weren’t previously at full capacity. A seventh train is underway, but we need more gas,” he said.

Referencing Nigeria’s historic neglect of coal, Nnaji said the trend of resource underutilization must be reversed if the country is to achieve energy security.

Nnaji, who is also the Chairman of Geometric Power Ltd, emphasised the central role gas plays in Nigeria’s energy mix. “For effective supply from thermal plants, an adequate and reliable gas supply is vital. While we have hydro power, gas-fired plants remain dominant and will likely stay that way for the next ten to twenty years,” he stated.

While acknowledging the promise of renewable energy, particularly for rural electrification, Nnaji insisted that Nigeria’s baseload power must continue to come from gas and hydro sources. He however pointed out that hydro power faces geographical and cooperation constraints that gas does not.