The Chief Executive Officer (CEO) of the Department of Petroleum Resources (DPR), Mr. Sarki Auwalu has urged the Federal Government to allow market forces determine the price of gas in the country in order to guarantee the security of supply and demand of the commodity.
Auwalu made the call in Abuja on Monday, March 29, while speaking at the virtual Nigeria International Petroleum Summit (NIPS) 2021 Pre-Summit Conference and the official launch of the Decade of Gas.
According to him, the most robust and sustainable pricing mechanism is that which reflects prevailing market conditions and which the dynamics of demand and supply are allowed to interplay in an open, transparent and free market environment.
He noted that a right and market-based pricing of gas was critical, as it would assure producers of return on their investments, adding that upstream gas producers must be assured that they will receive fair and equitable returns for their investments, while the price must be such that end-users are able to pay in a consistent manner.
Mr Auwalu further listed availability, accessibility, affordability, acceptability and deliverability as the five critical levers for gas development and to boost gas as the fuel for economic transformation, reports the Sun news.