Overview

The Flare Gas (Prevention of Waste and Pollution) Regulations, 2018, are a Nigerian federal regulation issued by President Muhammadu Buhari in his capacity as Minister of Petroleum Resources, effective July 5, 2018. The regulation aims to reduce environmental and social impacts from natural gas flaring, protect the environment, prevent waste of natural resources, and create social and economic benefits from gas flare capture. Key provisions include: the Federal Government taking ownership of flare gas free of cost and without royalty; competitive bid processes for permits to access flare gas; prohibition of flaring and venting unless authorized; payment requirements for continued flaring; reporting obligations for producers and permit holders including logs and annual reports; metering and safety standards; penalties for non-compliance; and provisions for data access permits, assignments, and fees. The regulation applies to all petroleum leases and licenses, including marginal fields.

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