The Federal Government set aside more than N256 billion from monthly allocations between January and June 2025 to support ongoing gas infrastructure projects across the country, according to official financial records.

The money, deducted through the Federation Accounts Allocation Committee (FAAC), was directed into the Midstream and Downstream Gas Infrastructure Fund (MDGIF), a scheme created to expand the gas network, reduce bottlenecks, and attract fresh investments.

Figures show that the deductions varied month by month. In January, the government deducted N35.07bn, before a slight dip to N31.83bn in February. March saw a major jump to N52.99bn, but the figure fell again in April to N29.19bn. It climbed in May to N41.27bn, and peaked in June at N66.18bn, the sharpest increase in the period.

The June rise came shortly after the government signed over N165bn worth of equity agreements with 10 firms for projects that include gas processing facilities, CNG filling stations, and LPG storage plants.

These efforts fall under Nigeria’s “Decade of Gas” initiative, which aims to increase domestic supply, curb flaring, and accelerate the use of cleaner energy.

The MDGIF, supervised by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), is guided by a governing council led by the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo.

Ekpo has described the fund as a sign of the government’s determination to strengthen the gas sector and create opportunities for both local and foreign investors.

Although the scheme was originally structured to raise money from levies on petroleum sales, it now depends heavily on government allocations. The ultimate target is to attract more than $575bn in investment into Nigeria’s gas industry over time.