Why Strong Regulation Is Key To Ending Routine Gas Flaring
By ESTHER McWILLIS-IKHIDE
AN oil and gas policy expert, Prof. Wumi Iledare, has called on the Federal Government to adopt a stricter enforcement-driven approach to finally end routine gas flaring in Nigeria, insisting that the challenge is no longer about policy gaps but weak implementation.
Speaking in Lagos on Tuesday, Iledare said Nigeria already has adequate legal and regulatory frameworks to curb gas flaring, but enforcement remains inconsistent and ineffective. According to him, regulatory agencies must prioritise compliance rather than rely on symbolic sanctions.
Penalties Must Deter, Not Symbolise
Iledare, a Professor Emeritus of Petroleum Economics and Policy Research at the Louisiana State University Centre for Energy Studies in the United States, stressed that gas flaring penalties must be economically meaningful.
“Flaring fees should consistently exceed the cost of capturing and utilising gas, taking inflation and gas price fluctuations into account,” he said, noting that operators would only invest in gas capture when flaring becomes a costlier option.
He added that regulatory exemptions should be clearly defined, strictly time-bound and publicly disclosed to avoid abuse and regulatory loopholes.
Technology and Transparency in Enforcement
The expert also advocated the deployment of real-time monitoring technologies to strengthen compliance. These include accurate metering systems, satellite-based verification and automated reporting tools.
“Enforcement must be consistent and impartial. Operators comply when they know consequences are inevitable and enforcement is not selective,” Iledare said.
Infrastructure and Financing Gaps
While emphasising enforcement, Iledare acknowledged that inadequate gas infrastructure and limited access to finance continue to drive routine flaring. He noted that many producers flare gas simply because evacuation and processing options are unavailable or too expensive.
To address this, he proposed a blended model in which government facilitates shared infrastructure—such as pipelines and processing hubs—while the private sector focuses on efficiency, innovation and operations.
He also called for improved access to blended finance, combining development, climate and commercial funding, to reduce investment risks and accelerate gas utilisation projects.
Gas Flaring and Nigeria’s Energy Transition
Iledare said Nigeria’s energy transition goals would only succeed if aligned with domestic economic priorities. He explained that reducing gas flaring should directly support gas-to-power projects, compressed natural gas (CNG) and liquefied petroleum gas (LPG) expansion, and industrial gas usage.
According to him, the objectives of Nigeria’s “Decade of Gas” initiative and its climate commitments are complementary, with natural gas serving as a credible transition fuel.
Role of the Regulator
Commenting on the Nigerian Upstream Petroleum Regulatory Commission’s (NUPRC) vision for production optimisation and revenue expansion, Iledare welcomed the ambition but warned against confusing regulatory outcomes with regulatory mandates.
“Regulators enable value creation; they do not directly deliver barrels or revenues,” he said, adding that the Petroleum Industry Act (PIA) prioritises predictable, rule-based regulation as the foundation for sustainable growth.
