Nigeria Unveils Network Code Electronic Licensing, Administrative System Portal

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Nigeria has unveiled the Network Code Electronic Licensing and Administrative System (NCELAS) portal.

The unveiling took place during the launch of the Nigerian Gas Transportation Network Code (NGTNC) on Tuesday.

The event also witnessed the signing of framework agreements between Nigerian Gas Company (NGC), Gas Hub, and Dangote Fertiliser Limited by the minister of State for Petroleum Resources, Chief Timipre Sylva

The NGTNC was announced in February, but the existing users of the gas network got six months to migrate from existing Gas Transportation Agreements to the network code.

The code is a contractual framework between the gas transportation network operator and gas shippers that specifies the terms and guidelines for operation and use of the gas network.

The code aims to provide open and competitive access to gas transportation infrastructure.
The group managing director of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, explained that while Nigerian Gas Company will serve as the transporter. The Gas Hub and Dangote Fertiliser Limited will serve as the shippers, with the Gas Aggregation Company of Nigeria Limited (GACN) playing the role of agent as provided by the framework.

Kyari also said Nigerian Gas Transportation Network Code (NGTNC) is designed to enhance the use of gas as a catalyst for national economic development. He restated its commitment to working with relevant partners and stakeholders in the oil and gas sector to boost delivery of gas to the domestic market.

The NNPC GMD said the corporation was at the centre of gas delivery to the domestic market, stressing that it was involved in all the available gas delivery infrastructure in the country either directly or indirectly through joint venture partnership.

He said the inauguration of the Network Code was an opportunity to enhance gas delivery and utilisation in furtherance of the federal government’s objective of transforming gas into a key component of the nation’s energy mix and revenue sources.

“We will continue to give our support to this process to ensure that the full delivery of this process is achieved. We commit to working closely with the DPR to ensure that the target of the government is attained. This opportunity has provided the right framework for the transportation of gas from the source to the end user in order to get value.

“We are happy to have this framework on ground and we are ready to collaborate with all our partners, the gas off-takers, gas producers, transportation companies, shippers, and all those involved in the gas value chain,” Mallam Kyari said.

Speaking on the significance of the Nigerian Gas Transportation Network Code (NGTNC), the minister of state for Petroleum Resources, Chief Timipre Sylva, said it would help to grow gas infrastructure, expand gas utilisation, curb gas flaring, and provide codes to standardise the gas value chain in line with global best practices.

The minister said the NGTNC would expand domestic gas-to-power, gas-to-industry, gas-to-manufacturing and mitigate the challenge associated with gas flaring in the country. According to him, the gas codes would go a long way in deepening economic development, improve gas supply, boost liquefied petroleum gas supply, and attract more investment opportunities in the nation’s gas value chain.

Earlier in his welcome remarks, the director of DPR, Engr Saraki Auwalu, noted that the Department would continue to work with all Industry players for the success of the NGTNC.

By Chibisi Ohakah, Abuja 

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