Natural gas is Africa’s key to cleaner, affordable energy – NLNG MD

NLNG MD CEO Philip Mshelbila at 29th World Gas Conference (WGC2025) in Beijing China
Philip Mshelbila

Managing director and chief executive officer of Nigeria LNG (NLNG) Dr. Philip Mshelbila has emphasised the critical role of natural gas in Africa’s energy transition, advocating for deliberate efforts to replace high-emission fuels with cleaner alternatives like natural gas.

Dr. Mshelbila made the remarks during a panel session titled “Diversity of Gas Development Globally” at the 29th World Gas Conference in Beijing, China, held from May 19 to May 23, 2025.

Addressing the panel, Mshelbila highlighted the need to displace dirtier fuels such as biomass and kerosene, which are widely used across Africa, with natural gas to sustainably meet the continent’s growing energy demands.

“Today, Africa’s population is about 1.4 billion, and most people still use biomass for cooking and liquid fuels for transportation. Power generation comes from a mix of hydro, natural gas, and, in many cases, diesel. This is where natural gas has a major opportunity to displace dirtier fuels. Africa’s population is expected to grow to 2.5 billion in the next 25 years, adding over a billion people. For the existing population, we need to shift from biomass to gas. For the next billion, we must ensure that natural gas becomes the primary energy source before transitioning to renewables. But none of this will happen without solving access and affordability,” he said.

Mshelbila underscored Nigeria’s Decade of Gas initiative as a strategic framework for achieving a cleaner energy mix, emphasising its potential to drive industrialisation, energy access, and environmental sustainability.

“The Decade of Gas is Nigeria’s roadmap to replace high-emission fuels with cleaner, affordable gas solutions. Gas is not just a bridge; it is the foundation for achieving energy access, industrialisation, and sustainability. For instance, NLNG has committed over 500,000 tonnes of LPG production annually for domestic use, helping to displace biomass and kerosene, which contribute to indoor air pollution and result in over 100,000 deaths annually among women and children,” he stated.

He further highlighted the ongoing push for compressed natural gas (CNG) as a transportation fuel and the importance of addressing bottlenecks in supply, demand, infrastructure, and commercial frameworks to unlock gas utilisation.

Speaking on the challenges of gas utilisation across Africa, Mshelbila stressed the importance of creating an enabling environment for investment.

“Countries like Nigeria, Algeria, and Egypt have significant gas reserves, yet utilisation remains low due to inadequate infrastructure and unclear policies. For instance, Nigeria only recently established clear fiscal terms for deepwater gas, which is crucial for attracting investment. Policy clarity is essential to drive infrastructure expansion and foster innovation,” he noted.

While opposing government price regulation, Mshelbila acknowledged the need to ensure affordability for vulnerable populations, advocating for a balanced approach that promotes access to cleaner energy.

Mshelbila emphasised the need for tailored energy policies across regions, pointing to the different approaches of the EU and the U.S. in addressing energy transition.

“Policy plays a crucial role in stimulating the energy transition, but the approach must align with regional realities. Africa’s energy solutions must prioritise local content development, infrastructure expansion, and affordability,” he said.

Mshelbila shared the panel with global energy leaders, including Jack Fusco, CEO of Cheniere (USA); Peter Wong, managing director of Hong Kong and China Gas Company Limited, and Andrea Stegher, senior advisor at SNAM and vice president of the International Gas Union.

The conference, themed “Diversity of Gas Development Globally”, provided a platform for key industry stakeholders to discuss innovative solutions for advancing global gas development.