FG Tightens Regulations on Gas Distribution Licensing
Modupe Ajetumobi
The Federal Government has taken a firm stance on improving the safety standards of gas distribution.
The government announced that it will cease issuing licenses to gas companies that lack the infrastructure to build pipelines.
This decision is part of a broader strategy to move away from the hazardous practice of transporting compressed natural gas (CNG) via roadways.
The Minister of State for Petroleum (Gas), Ekperikpe Ekpo, disclosed this new policy during his visit to Abeokuta on Wednesday, where he assessed the damage caused by a recent CNG gas truck owned by Gasco Marine.
The tragic event, which resulted in one death and several burned vehicles, took place on Saturday at Ita Oshin.
According to him, this would prevent explosions on the road, while saving lives and property.
“We are trying all that we can to ensure we reduce virtual transportation of gas because of the volatility of it,” said Ekpo.
He further instructed the Nigerian Midstream and Downstream Regulatory Authority’s Chief Executive, Farouk Ahmed, to only issue licenses to companies with the capacity to pipe CNG directly to consumers.
The government’s efforts to develop a comprehensive gas pipeline infrastructure are expected to not only prevent future road incidents but also to alleviate the pressure on the nation’s roads. Ekpo reassured that despite the incident, CNG remains a safer alternative to petrol and urged Nigerians to continue supporting the transition to cleaner energy sources.
The commitment to this transition is evident as Ekpo emphasized, “It is better we go this route,” advocating for the use of quality cylinders in gas distribution to avoid similar incidents. The Nigerian Midstream and Downstream Regulatory Authority is working closely with relevant organizations to ensure the roadworthiness of vehicles and the safety of gas transportation.
This policy change marks a significant step towards a safer and more efficient gas distribution system in Nigeria, aligning with the government’s vision for a sustainable energy future.
