Nigerians will pay more for gas starting April 1, 2026, as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) raised the Domestic Base Price to $2.18 per MMBtu, up from $2.13 in 2025. The 5-cent increase, equivalent to a 2.35 per cent rise, forms part of a broader pricing template approved under the Petroleum Industry Act. The new rate applies to gas used in power generation and sets the benchmark for domestic pricing across sectors. The NMDPRA also increased the price for commercial users to $2.68 per MMBtu, up from $2.63 last year.
Gas supplies over 70 per cent of Nigeria's electricity, meaning higher prices are likely to push up power generation costs and, eventually, electricity tariffs. Households already coping with rising utility bills may face added strain. Industries such as manufacturing, cement, and food processing, which rely heavily on gas, are also expected to absorb higher production costs, potentially leading to increased prices for goods and services. The regulator said the adjustment aligns with market realities and is necessary to sustain gas supply and attract investment.
Critics argue the timing is problematic, coming amid high inflation and ongoing economic reforms that have already increased living costs.
Raising gas prices while inflation bites shows the FG is prioritising regulatory compliance over household survival. The NMDPRA's $2.18 benchmark may support investment, but it also locks in higher electricity and goods prices for millions already stretched thin. This move reinforces the pattern of Nigerians bearing the immediate cost of reforms meant to pay off later—if they do at all.
