MANAGING UNCERTAINTY IN NIGERIA’S HYDROGEN INFRASTRUCTURE AND TRADE

Abstract

Hydrogen is increasingly recognized as a key enabler of the global energy transition, offering a low-carbon solution for sectors that are challenging to decarbonize, including heavy industry, long-haul transport, and power generation. As an energy carrier, hydrogen must be produced before use, yet it delivers nearly three times the energy content of natural gas and emits no direct pollutants when utilized. Globally, nations are investing in large-scale hydrogen production, storage, distribution, and export infrastructure to meet net-zero targets. Nigeria, endowed with abundant natural gas, vast solar resources, and established oil and gas infrastructure, is strategically positioned to lead hydrogen development in Africa. Leveraging its resource endowment and industrial capabilities, Nigeria has the potential to become a significant player in both domestic hydrogen utilization and international hydrogen trade. However, uncertainties in policy frameworks, technological readiness, and sustainability considerations present challenges that must be addressed to realize this potential. This study examines the interplay of these factors, highlighting opportunities and constraints for developing a resilient and sustainable hydrogen economy in Nigeria.