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Home Business

NNPC says gas network has no constraints amid power shortfall

The national oil company says its gas transportation network remains available, while calling for a joint review of the entire gas-to-power value chain

AbdulBasit Saba by AbdulBasit Saba
November 8, 2026
in Business
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The Nigerian National Petroleum Company Limited (NNPC) has said its gas transportation network remains available to power generating stations across the country, disputing claims that transportation constraints are contributing to the recent decline in electricity generation.

The company said operational records of its subsidiary, NNPC Gas Infrastructure Company Limited (NGIC), showed no transportation-related constraints capable of explaining the current reduction in power generation.

NNPC’s position followed a statement by the Nigerian Independent System Operator (NISO) on November 5, which attributed the decline in electricity generation to limited gas availability at thermal power stations and reduced water inflows into hydroelectric reservoirs.

In a statement issued in Abuja on November 6, NNPC’s Chief Corporate Communications Officer, Andy Odeh, said the company’s gas transportation infrastructure remained available to support deliveries to power plants nationwide.

According to him, NNPC has recorded about 10 per cent growth in gas production volumes in 2026, year to date, as part of efforts to implement the Federal Government’s gas development and monetisation agenda.

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The company maintained that gas supply availability was not a challenge, reaffirming its commitment to supporting improved electricity generation through reliable gas supply and transportation.

However, NNPC clarified that the operational availability of its transportation network should not be confused with the availability of gas production, commercial supply arrangements or actual deliveries to individual power stations.

It said these aspects of the gas-to-power chain needed to be examined separately to establish the factors responsible for the generation shortfall.

The company also noted that the availability and operational readiness of generating units, maintenance schedules and actual gas offtake were important considerations in determining how much electricity could be produced.

According to NNPC, even where transportation infrastructure is available, other operational or commercial constraints could affect the delivery and utilisation of gas by power generating stations.

The company therefore called for a coordinated review involving gas suppliers, transporters, power generators and NISO to examine operational records and identify the specific factors affecting electricity generation.

It said accurate reporting across the gas-to-power value chain was necessary to establish the causes of the shortfall and guide appropriate interventions.

NISO had blamed gas shortages, low water inflows

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NISO had earlier explained that limited gas availability was preventing affected thermal generating stations from operating at their available capacity.

The system operator also identified reduced water inflows into hydroelectric reservoirs as another factor affecting electricity generation.

It said the combined constraints had reduced the volume of electricity available for distribution companies, resulting in shorter supply hours and increased load shedding across their networks.

The operator acknowledged the impact of the situation on electricity consumers nationwide and said it was working to maintain grid stability and optimise the dispatch of available generation.

The latest positions from both organisations highlight the need to establish where the constraints exist within the electricity supply chain, particularly between gas production, transportation, delivery to power plants and electricity generation.

While NNPC says its transportation network is operating without constraints, the company has called for a broader assessment to determine whether other stages of the process are contributing to the reduced output.

The development comes amid complaints from households and businesses over reduced electricity supply in different parts of the country.

NNPC said its priority remained the development of dependable energy infrastructure and collaboration with relevant stakeholders to translate Nigeria’s gas resources into more reliable electricity for consumers.

Saba AbdulBasit
AbdulBasit Saba

AbdulBasit Saba is a journalist and contributor to Freelanews.com, covering news, business, and public affairs.

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