The Nigerian government has said it will introduce a gas subsidy scheme.
Ahmed Bobboi, executive secretary of the Petroleum Equalisation Fund (PEF), said this would adjust the price of cooking gas, to ensure a smooth transition.
He told reporters that the subsidy was operational and would help address inflation.
However, he explained the purpose of the PIB Act, which will outline new PEF functions.
Ahmed Bobbai also emphasized that any role assigned to the oil sector equity committee would be decided by the next step.
“If it’s working well for petrol and the government wants to promote the use of gas, if we can take the practice to gas, we believe that it will add value to the economy in so many ways in the value chain,” Mr Bobboi said.
“We are also looking at the possibility of petroleum marketers transporting their products by rail because the government is providing rail lines across the country.
“It will save cost and reduce pressure on the roads because most state governments are complaining that heavy-duty vehicles have destroyed the roads and I think it will reduce the cost of road maintenance for the government,” he added.