Fiscal Framework for Gas Field Development in the Era of Decade of Gas

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@article{1714476,
      author = {Adaobi Stephenie Nwosi-Anele, Adaoma Emeline Temple},
      title = {Fiscal Framework for Gas Field Development in the Era of Decade of Gas},
      journal = {Iconic Research And Engineering Journals},
      year = {2026},
      volume = {9},
      number = {8},
      pages = {1452-1460},
      issn = {2456-8880},
      url = {https://www.irejournals.com/formatedpaper/1714476.pdf},
      abstract = {Nigeria possesses one of the largest proven natural gas reserves in Africa, positioning the sector as a critical driver of economic diversification and energy transition. However, for decades, gas development was constrained by weak regulatory frameworks, fiscal ambiguities, and infrastructure deficits. The enactment of the Petroleum Industry Act (PIA) in 2021 and the introduction of the Gas Fiscal Framework (GFF) in 2024 marked a significant policy shift aimed at improving governance, transparency, and investor confidence in the gas sector. This study critically evaluates the effectiveness of these frameworks in facilitating gas field development within the context of Nigeria’s “Decade of Gas” initiative. Using a qualitative research design that integrates documentary analysis, case studies, and expert interviews, the study examines how fiscal incentives, regulatory reforms, and host community provisions influence investment decisions, project viability, and environmental sustainability. Findings reveal that while the PIA and GFF have created a more predictable and investment-friendly environment through reduced royalty rates, tax allowances, and flare reduction measures, challenges persist in the form of bureaucratic inefficiencies, weak enforcement capacity, and infrastructure gaps. The research concludes that the reforms represent a progressive step toward sustainable gas development but require consistent implementation, strengthened regulatory institutions, and transparent community engagement to achieve long-term success. Policy recommendations emphasize the need for fiscal stability, improved domestic pricing mechanisms, and accelerated infrastructure expansion to fully harness Nigeria’s gas potential.},
      keywords = {Petroleum Industry Act (PIA), Gas Fiscal Framework (GFF), Gas Field Development, Energy Transition, Nigeria’s Decade of Gas},
      month = {February},
      doi = {https://doi.org/10.64388/IREV9I8-1714476}
  }