Comparative analysis of selected African natural gas markets and related policies

Abstract

The discovery of natural gas resources across the African continent has inspired debate on how such resources should be developed and best utilized. In several African countries, the discovery of commercial quantities of natural gas reserves has led governments to explore a number of strategies, investments, and policy directions. Two contrasting cases are that of Nigeria, which has pursued policies promoting domestic natural gas consumption and export, and Ghana, which has focused on encouraging sectoral-level domestic consumption. These divergent approaches have had immensely different impacts on the sector. This paper uses a case study methodology to identify and assess existing national approaches toward governance and market development. We consider the complex landscape for natural gas in Nigeria, Egypt, and Ghana. The results provide a comparative framework to aid understanding of natural gas development globally. We conclude by highlighting areas of further work.