The Business Association of Nagas (BAN) extends its sincere appreciation to Honourable MLA Jwenga Seb for his strong advocacy in the 6th Session of the 14th Nagaland Legislative Assembly regarding the urgent need for petroleum exploration in Nagaland. His call for decisive action underscores a deep understanding of the immense economic potential that lies beneath our land and the necessity for bold leadership to harness these resources for the state’s progress.
Nagaland stands at a critical juncture where economic freedom is no longer a choice but a necessity. The state faces high unemployment, poor basic infrastructure, and a low quality of life compared to the rest of India. Meanwhile, neighbouring state
Assam has taken bold steps to attract investments and drive economic growth. Assam’s 2025 state budget is expansive, and through Advantage Assam 2.0, the state has secured investments that exceed its budget, creating new industries, jobs, and infrastructure.
Nagaland must prioritize economic growth and strategically invest its resources to ensure sustainable development. History has shown that a poor nation’s fight for sovereignty is prolonged due to economic instability, whereas a strong economy serves as a natural defense mechanism against external threats. Economic strength is the ultimate security, and Nagas must focus on investment and revenue generation.
The Untapped Wealth of Nagaland: Oil & Gas Exploration as a Game Changer
One of the most underutilized resources in Nagaland is its petroleum and natural gas reserves. This resource has the potential to transform the state’s economic landscape by generating massive revenue, employment, and industrial growth.
As petroleum geologist Wallace Pratt rightly said: “Oil is first found in the minds of men.” This means that economic transformation begins with visionary thinking, planning, and execution. Currently, Nagaland’s oil wealth remains untapped due to lack of strategic planning.
However, if properly harnessed, oil exploration can be a game changer for Nagaland
in the following ways:
- Massive Revenue Generation
Oil extraction could bring billions in revenue, reducing dependence on
central grants.
Revenue from petroleum can be reinvested in infrastructure, education,
healthcare, and industry development. - Large-Scale Employment Creation
Thousands of direct and indirect jobs in petroleum engineering, refining,
logistics, and business services.
Skill development programs to train local youth in petroleum
technology, reducing unemployment. - Industrial & Infrastructure Development
Growth of petrochemical industries leading to new business opportunities.
Investment in roads, pipelines, power supply, and refineries to support the oil sector. - Stronger Negotiating Power
With a resource as valuable as oil, Nagaland gains leverage in its
political negotiations with the Government of India.
The state can demand a fair revenue-sharing model and greater
economic autonomy.
A thriving oil economy can help Nagas negotiate better financial policies
and investments from external stakeholders.
Assam has already established and is actively extracting oil in areas surrounding Nagaland, including Borholla, Assam (near ONGC Changpang, under Wokha District) and areas bordering Niuland. This strategic expansion by Assam highlights the urgency for Nagaland to take decisive action before its resources are extracted from across the border.
The Risk of Inaction
While oil today is one of the most valuable commodities, its relevance is not guaranteed forever. Just as demonetized notes became worthless overnight when they were no longer recognized as legal tender, oil too could face a similar fate with the rise of cleaner and more sustainable energy alternatives. The world is rapidly shifting towards renewable energy sources such as solar, wind, and hydrogen power. If Nagaland fails to act now, it risks holding onto an untapped resource that may\ become obsolete in the future. The urgency to explore and utilize our petroleum reserves is not just about present gains but about making strategic use of a finite opportunity before it loses its significance.
Energy and Climate Change: A Global Perspective
According to the United Nations, energy lies at the heart of the climate challenge— and the key to its solution. Fossil fuels, including coal, oil, and gas, are the largest contributors to global climate change, accounting for over 75% of global greenhouse gas emissions and nearly 90% of all carbon dioxide emissions. The science is clear: to avoid the worst impacts of climate change, emissions need to be reduced by almost half by 2030 and reach net-zero by 2050. This underscores the urgency for Nagaland to act swiftly and responsibly in utilizing its petroleum reserves while simultaneously planning for a future that embraces renewable energy alternatives.
Biblical Reference on Economic Stewardship
Deuteronomy 8:18 – “But remember the LORD your God, for it is He who gives you the ability to produce wealth, and so confirms His covenant.”
This verse reminds us that God provides resources, but it is our responsibility to manage and utilize them wisely. Nagaland’s natural wealth should be harnessed for the prosperity of its people, ensuring long-term economic security and selfsufficiency.
A Lesson from History: Progress is Driven by Innovation
The Stone Age did not end because the world ran out of stone, but because humanity found better alternatives. Likewise, the petroleum era will not last forever. Economic transformation requires vision and timely action. Nagaland can transform its economic landscape and negotiate from a position of strength, ensuring a brighter and more secure future for its people. The Road Ahead for Nagaland: A Thriving Economy is a Nation’s Best Defense Nagaland’s future economic security depends on visionary leadership, strategic investment, and bold decision-making. Oil and gas exploration is not just about extracting a resource—it is about unlocking unprecedented opportunities, creating sustainable livelihoods, and achieving economic freedom.
Business Association
of Nagas