The Effect of Gas Production, Utilization, and Flaring on the Economic Growth of Nigeria


The extent to which a country develops is anchored around its resources; and this is evidenced in how the revenue derived from natural resources (especially the oil and gas industries) has influenced national development strategies. This notwithstanding, the existence of natural resources does not always translate to development, as these often times lead to complacency and mismanagement; Nigeria may have suffered from this. This paper establishes the impact of gas production, utilization, and flaring on the estimated monetary value of the goods and services produced in Nigeria (GDP), using multiple linear regression analysis. The result shows that while gas utilization has a positive impact on the nation’s GDP, gas production and flaring are negatively associated with GDP. The paper concludes that for these to positively stimulate economic growth, there is need to invest more in infrastructure in the industry, and review the regulatory framework guiding operations of the oil and gas industry.

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I. Diugwu, M. Mohammed, A. Egila and M. Ijaiya, "The Effect of Gas Production, Utilization, and Flaring on the Economic Growth of Nigeria," Natural Resources, Vol. 4 No. 4, 2013, pp. 341-348. doi: 10.4236/nr.2013.44041.

Conflicts of Interest

The authors declare no conflicts of interest.


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