NNPC rejects gas shortage claims as Nigeria battles power slump

The Nigerian National Petroleum Company Limited (NNPC) has rejected claims that gas shortages are contributing to declining electricity generation across the country, insisting that its gas transportation network remains capable of delivering supplies to power plants without constraints.

The company’s position follows a November 5 statement by the Nigerian Independent System Operator (NISO), which attributed the drop in electricity generation to limited gas availability for thermal power plants and reduced water inflows to hydroelectric stations.

In a statement issued on November 6, NNPC said operational records from its subsidiary, the NNPC Gas Infrastructure Company Limited (NGIC), showed no transportation-related constraints that could explain the decline in power generation.

According to the national oil company, gas production volumes have increased by approximately 10 per cent year-to-date in 2026, reflecting the Federal Government’s efforts to develop and commercialise the country’s gas resources.

It maintained that the availability of gas transportation infrastructure was not the problem, but stressed that the condition of pipelines should be assessed separately from gas production, commercial supply arrangements and actual deliveries to individual power plants.

NNPC also identified the operational readiness of generating units, maintenance schedules and the volume of gas taken by power stations as factors that must be examined to determine the causes of the electricity shortfall.

The company said these issues should be investigated alongside gas supply data to establish where the constraints in the gas-to-power chain exist.

It consequently called for a coordinated review involving gas suppliers, pipeline operators, power generators and NISO to identify the specific challenges affecting electricity generation and recommend appropriate interventions.

“Our focus remains on dependable energy infrastructure and constructive collaboration that helps translate Nigeria’s gas resources into more reliable electricity for Nigerians,” the statement said.

The statement was signed by Andy Odeh, NNPC’s Chief Corporate Communications Officer.

Meanwhile, NISO had explained that limited gas availability was preventing some thermal power stations from operating at their available capacity, while lower water inflows into reservoirs were reducing output from hydroelectric plants.

The operator said the reduced generation had affected the volume of electricity allocated to distribution companies, resulting in shorter supply hours and increased load shedding across their networks.

It added that the impact varied across regions depending on the amount of electricity available and the allocation received by each distribution company.

The disagreement between NNPC and the grid operator has renewed attention on the challenges within Nigeria’s electricity supply chain, where gas production, transportation, commercial arrangements and power plant operations all influence the amount of electricity delivered to consumers.

While NNPC maintains that its pipeline network is operating without constraints, its statement does not establish whether sufficient gas is being commercially supplied to, or actually received by, individual power stations.

A coordinated assessment of the entire gas-to-power chain may therefore be necessary to determine the factors responsible for the current decline in electricity generation.