How gas flaring robbed Nigeria of 3,100 GWh of electricity in May

Nigeria lost an estimated 3,100 gigawatt-hours (GWh) of electricity generation potential in May 2026 due to continued gas flaring by oil companies, raising concerns over the Federal Government’s plan to transform the country into a gas-driven economy by 2030.

Data released by the National Oil Spill Detection and Response Agency (NOSDRA) showed that the volume of gas flared during the period was valued at about $107.5 million, while defaulting oil firms are expected to pay penalties amounting to $61.4 million.

However, figures from NOSDRA differed significantly from those released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

While NUPRC reported that 17.6 million standard cubic feet of gas were flared in May, NOSDRA put the figure at 30.7 million standard cubic feet.

According to NOSDRA, gas flaring by companies operating onshore accounted for 22.3 million standard cubic feet, representing a 62.3 per cent increase compared to offshore operations, which recorded 8.4 million standard cubic feet.
The agency also disclosed that the flared

gas resulted in carbon dioxide emissions estimated at 1.6 million tonnes, adding to environmental concerns in oil-producing communities.

NOSDRA noted that despite decades of efforts to reduce gas flaring, the practice has persisted in Nigeria since the 1950s, releasing harmful greenhouse gases into the atmosphere and contributing to climate change.

The development comes despite the Federal Government’s commitment to its “Decade of Gas” initiative, launched in 2021 to position Nigeria as a gas-powered economy by 2030 through improved electricity generation, industrial use of gas and increased exports.

A government report indicated that expanding gas utilisation for power generation and encouraging investments across the gas value chain remain key priorities under the initiative.

Industry observers, however, say persistent gas flaring suggests that increased investments in the sector have yet to translate into significant improvements in gas production, utilisation and supply.

Nigeria has continued to struggle with electricity generation, rarely exceeding 4,000 megawatts for homes and businesses. Experts attribute part of the challenge to inadequate gas supply to power generation companies.

Meanwhile, the Renevlyn Development Initiative (RDI) has called on the Federal Government to impose a total ban on gas flaring.

The group argued that oil companies operating in the Niger Delta appear more willing to pay penalties than invest in measures to end the practice.

RDI’s position followed data from the Nigerian Oil Spill Monitor, which showed that oil companies paid an estimated $646 million in gas flaring penalties in 2025, the highest amount recorded in the last five years.