Nigeria now mandates oil licence applicants to prove low carbon emissions and renewable energy plans, aiming for net zero by 2060. Credit: Lano Lan/Shutterstock.

Nigeria has announced a new policy that will require applicants for oil licences and permits to demonstrate evidence of low carbon emissions and a renewable energy programme, the head of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has stated.

The policy aligns with the country’s commitment to achieving net zero carbon emissions by 2060.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

NUPRC has introduced the Upstream Petroleum Decarbonisation Template to guide applicants in meeting the new requirements.

NUPRC chief executive Gbenga Komolafe stated that the policy aims to ensure compliance with environmental goals.

The enforcement begins from 1 January 2025 and will apply to all approvals within the upstream sector, including divestments.

Komolafe said: “By this, the commission is deepening its efforts to align the upstream petroleum industry with national priorities and international climate goals while ensuring sustainable value creation from oil and gas resources for Nigeria’s energy security and economic development.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The initiative is a step towards a more sustainable and environmentally responsible oil sector.

Operators will be mandated to implement methane management programmes, which include leak detection and repairs.

They will also be required to optimise operations with energy-efficient technologies and incorporate renewable energy sources into their projects.

The directive is part of Nigeria’s broader strategy to reduce its carbon footprint and promote sustainability in the oil industry.

Nigeria recently partially resumed operations at the Warri oil refinery after a decade, following a rehabilitation effort that has cost $898m since 2021.

The refinery, with a capacity of 125,000 barrels per day (bpd), had been shut down since 2015 due to disrepair and crude shortages but is now operational at 60% capacity.

In December 2024, Nigeria’s Dangote Refinery made its first petrol export to Cameroon, a step that could help stabilise fuel prices across the region.

The 650,000 barrels per day facility, located in Lagos’ Lekki Free Zone, marks a key milestone in regional energy integration.