Nigeria Needs to Raise Gas Prices to Bridge $55 Billion Gap
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Nigeria has to raise its gas prices to attract an estimated $55 billion of investment needed to plug persistent local shortages, Nigerian Gas Association President Bolaji Osunsanya said.
A government increase of gas prices in August for power plants to $2.50 for 1,000 cubic feet from about $0.50 isn’t enough, Osunsanya, who is also managing director of Oando Gas & Power Ltd., said in an interview in Lagos with Bloomberg TV Africa to be aired Friday. These investments are needed to explore for more gas, set up five processing facilities at about $2 billion each and develop domestic distribution channels, he said.