ECONOMIC IMPACT ANALYSIS OF NATURAL GAS PIPELINE DEVELOPMENT IN NIGERIA

  • Henry Biose Emerald Energy Institute for Petroleum and Energy Economics, Policy and Strategic Studies, University of Port Harcourt, Nigeria
  • Professor Adewale Dosunmu Department of Petroleum and Natural Gas Engineering, University of Port Harcourt, Nigeria
  • Dr. Chijioke Nwaozuzu Emerald Energy Institute for Petroleum and Energy Economics, Policy and Strategic Studies, University of Port Harcourt, Nigeria
Keywords: Tax Rate, Gross Domestic Product, Economic Benefit, Gas Pipeline

Abstract

The paper presents the economic benefits of the long term development of gas pipeline infrastructure in Nigeria. The study reviewed related literature and modeled a sensitivity analysis of the tax rate with tax holiday, without tax holiday and economic impact analysis. The sensitivity analysis of tax rate with tax holiday and without tax holiday was also evaluated and it indicated that the 20% corporate income is more viable for gas pipeline projects in Nigeria. The economic impact analysis evaluated the direct, indirect and induced impact of the gas pipeline project on GDP, employment and tax revenue in Nigeria with respect to short term (5 years), medium term (15 years) and long term (40 years): The impacts analysis indicates a total GDP of 60 billion USD, 55,626 jobs created and 1.6 billion USD tax revenue generated as a result of the gas pipeline project.

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References

Biose, H., Dosunmu, A. and Nwaozuzu, C. (2019). Economic Framework for Gas Pipeline Development in Nigeria. International Journal of Engineering Technologies and Management Research, (2019) 1-30.

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Published
2019-12-31
How to Cite
Biose, H., Dosunmu, A., & Nwaozuzu, C. (2019). ECONOMIC IMPACT ANALYSIS OF NATURAL GAS PIPELINE DEVELOPMENT IN NIGERIA. International Journal of Engineering Technologies and Management Research, 6(12), 35-45. https://doi.org/10.29121/ijetmr.v6.i12.2019.472