New data obtained from the National Oil Spill Detection and Response Agency (NOSDRA) has revealed that the Federal Government of Nigeria incurred losses of approximately N843 billion due to gas flaring between January 2022 and August 2023.

NOSDRA’s latest gas flare report indicates that oil and gas companies operating in Nigeria flared 147.1 billion standard cubic feet (SCF) of gas, valued at $514.9 million (approximately N390 billion using the Central Bank of Nigeria’s current exchange rate of N757.5 to a dollar) between January and August 2022.

In comparison, these companies flared 171.1 billion SCF of gas valued at about $599 million (approximately N453 billion) during the same period in 2023.

This cumulative loss of approximately N847 billion occurred over the span of a year from August to August, with the volume of gas flared in 2023 being 16.28 percent higher than in 2022.

The report highlights that the gas flared in the first eight months of 2023 could have generated 17,100 gigawatts/hour of electricity while emitting 9.1 million tons of carbon dioxide into the atmosphere.

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Moreover, the offending companies were subject to penalties amounting to $342 million (about N251 billion). However, a significant portion of these penalties was reportedly not collected by the Federal Government.

In contrast, during the same period in 2022, oil companies faced penalties of approximately $294 million (N223 billion) for gas flaring, with the flared gas possessing the potential to generate 14,700 gigawatts/hour of electricity and equivalent carbon dioxide emissions of 7,800 tonnes.

Among the companies identified as culprits in gas flaring are Shell Petroleum, Development Company, Nigerian Petroleum Development Company, Chevron Nigeria, Mobil Oil, Elf Petroleum Nigeria, Nigeria Agip Oil Company, Addax Petroleum, Texaco Overseas (Nigeria), Cromwell, and South Atlantic Petroleum, among others.

These companies engaged in gas flaring from various Oil Mining Leases and Oil Prospecting Licenses.