The Federal Government of Nigeria has set ambitious goals for its oil and gas sector, aiming to achieve a production target of four million barrels per day (bpd) of oil and 10 billion cubic feet (bcf) of gas by the year 2030.
This announcement was made by Mrs. Olu Verheijen, the Special Adviser to the President on Energy, in a statement released to the News Agency of Nigeria (NAN) in Abuja.
Verheijen highlighted that these targets are part of a broader commitment to reform the sector, supported by significant incentives introduced under President Bola Tinubu’s administration.
Since taking office in May 2023, President Tinubu has initiated several reforms aimed at enhancing the competitiveness of Nigeria's oil and gas industry.
These reforms are designed to reduce operational costs and improve the efficiency of business processes in a sector that is crucial for the nation's economy, being its largest source of foreign exchange earnings.
The Special Adviser noted that the government's reform agenda includes three presidential directives issued in February 2024, which are expected to create numerous job opportunities, boost foreign exchange revenues, and enhance tax income, thereby contributing to Nigeria's overall economic stability.
In addition, President Tinubu has approved two new sets of fiscal incentives aimed at stimulating investment in the oil and gas sectors which encompass a Value Added Tax (VAT) waiver for gas, diesel, electric vehicles, and clean cooking equipment, along with tax credits for new investments in deepwater oil and gas exploration and production.
Verheijen emphasized that this initiative marks a historic moment for Nigeria as it outlines a fiscal framework for deepwater gas production for the first time since exploration began in 1991.
