Library / Natural Gas Pipeline Tariff Regulations 2023
Natural Gas Pipeline Tariff Regulations 2023

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PETROLEUM INDUSTRY ACT, NO. 6, 2021
NATURAL GAS PIPELINE TARIFF REGULATIONS, 2023
[9th Day of February, 2023]
In exercise of the powers conferred on it by sections 32(c), 33(n), 113, 122, 123,
124(2) of the Petroleum Industry  Act, No. 6, 2021 (“the Act”) and all other  powers
enabling it in that behalf, the Nigerian Midstream and Downstream Petroleum
Regulatory Authority (“the Authority”), make the following Regulations —
PART I — OBJECTIVES AND APPLICATION
1.—(1)  The objectives of these Regulations are to —
(a)  provide a regulatory framework to determine, a sustainable gas
transportation pipeline tariff regime in accordance with the Act ; and
(b)  establish a tariff methodology for the transportation and transmission
of natural gas through gas transportation pipelines, and gas transportation
networks.
(2)  The tariffs for the transportation of natural gas in gas transportation
pipelines and gas transportation networks shall be based on the tariff principles
pursuant to section 122 of the Act.
(3)  The Authority may, pursuant to section 122(3) of the Act, and these
Regulations, modify when it deems necessary, the tariff methodology.
2. These Regulations shall apply to gas transportation pipelines and gas
transportation networks in the petroleum industry.
PART II — TARIFF STRUCTURE AND CAPACITY CHARGE
3.—(1)  Shippers shall be charged transportation tariff for capacity
charge, commodity charge and any other charge as may be prescribed by
relevant code.
(2)  The transportation tariffs shall be determined and charged in
United States Dollars or other foreign currency, and payment shall be
made in such respective foreign currency or its Naira equivalent at the
open market rate published by the Central Bank of Nigeria pursuant to
section 122(1)(d) of the Act.
(3)  Transportation tariff shall be paid by shippers on monthly basis in
arrears.
(4)  Notwithstanding regulation 6(2) of these Regulations, the provisions
of the Gas Network Code Framework Agreement shall apply.
Commence-
ment.
S. I. No. 5 of 2022
Objectives.
Application.
Tariff
structure and
capacity
charge.