Gas flaring and the transition to a green economy in Nigeria: An empirical analysis

Nigeria, one of the top oil producers globally, faces ongoing environmental challenges due to persistent gas flaring despite long-standing regulatory efforts. This study empirically investigates the relationship between CO₂ emissions and key determinants gas flaring (GAF), gas utilization (GAU), fossil fuel consumption (FOC), and economic growth (GDP) with a specific focus on the implications for Nigeria’s transition to a green economy. Using Ordinary Least Squares (OLS) regression with robust standard errors and supporting time-series diagnostics, the analysis finds that gas flaring is the most significant driver of emissions, while gas utilization significantly reduces emissions. Fossil fuel consumption shows a marginal effect, and economic growth is not statistically significant. The model explains 81.2% of the variation in emissions, underscoring the strong predictive power of the included variables. The findings highlight the urgency of gas flaring reduction and improved gas utilization strategies in achieving Nigeria’s climate goals.