Connect with us

Business & Economy

Nigerian Government reiterates commitment to reposition gas sector

Published

on

Vice President Yemi Osinbajo
Vice President Yemi Osinbajo
Share

The Federal Government on Thursday, reiterated its commitment to reposition the gas sector for effective service delivery.

Vice President Yemi Osinbajo made this known while declaring open the 2021 World Energy Day Conference in Abuja.

The News Agency of Nigeria (NAN) reports that the conference organised by the Abuja Chamber of Commerce and Industry (ACCI), has as its theme: “Energy Transition: Gas as the Fuel of Choice”.

Osinbajo, represented by the Minister of State for Power, Goddy Agba, stressed the importance of gas in actualising energy transition.

According to him, we cannot execute this transition without gas. Gas enables this transition with options for AutoGas on vehicles and even more importantly gas power to replace dirty coal plants across the world.

“Gas is cleaner than coal or oil and initially was touted as a critical transition fuel.

“Later, climate change policy, particularly in the West, began to turn against gas with very strict policies from many lenders against even funding upstream, midstream or downstream gas projects.

“This has created the scenario we face today with insufficient gas investment without commiserate replacement by renewable leading to scarcity and high prices,’’ he said.

While restating Nigeria’s commitment to lead local and global discussions on the position of gas in the new world order, Osinbajo said that the Federal Government had given the go ahead for the Nigerian Liquefied Natural Gas Train 7.

According to him, Train 7 is more than N10 billion investment that will keep Nigeria in the top five globally in Liquefied Natural Gas and position the country to benefit from the critical role that gas will play in the Energy Transition.

He pointed out that the Federal Government inaugurated the Decade of Gas under the Ministry of Petroleum Resources.

“Mr President said on March 29, when we declared 2020 as “The Year of Gas” In Nigeria, it was to demonstrate our resolve that gas development and utilisation should be a national priority.

“Now, we are going a step further to dedicate this decade to industrialising Nigeria using gas.

“As part of the Decade of Gas, the Ajaokuta-Kaduna—Kano Natural Gas Pipeline set for completion in 2023, will not only allow for gas power and industries across Nigeria but will also create the ability to ramp up renewable.
“This is as we will have base load power to balance intermittent solar power plants that need to be built to meet our climate goals.

The vice president, however, expressed concern over inadequate investments in energy to meet net-zero targets.

“There is simply not enough investment in renewable to support the intended accelerated pace of removal of Fossil fuels.

“Today, fossil fuels satisfy 83 per cent of primary demand for energy.

“Unfortunately, investment in fossil fuels has also dropped by 40 per cent since 2015 without the requisite ramp up in renewable.’’

According to Osinbajo, if we have learnt anything over the past few weeks is that the Energy Transition will not be easy, it will not be seamless and it will not be done without difficult choices.

The vice president said that the risks of trying to make 30-year commitments in reaching net-zero were plain and apparent for all to see.

“The Economist reported that since May, the combined prices of oil, coal and gas increased by 95 per cent. It was also reported that Britain has turned back on some coal-fired power stations.

“I surely believe that the Energy Transition was not meant to make energy less available and unaffordable.

“These events if not handled carefully may turn global public sentiment against climate change policies,’’ Osinbajo said.

Earlier, Dr Al-Mujtaba, the President, ACCI, commended the Federal Government for crafting a gas agenda which became Nigeria’s response to the energy transition question.

According to him, the gas commercialisation agenda, the Autogas initiatives and other policy response have provided much needed answers to Nigeria’s need for energy transition.

Similarly, Mr Olawale Rasheed, the Director Policy, ACCI, stressed the need for Nigeria meeting her target on reduction on carbon emission without undermining national interest.

“Basically, we are saying we need gas it is good for us and gas is cleaner,’’ Rasheed said.

Also speakinhg, Mr Olakpode Sowunmi, Chief Executive Officer CABTRI called for increased capacity to produce more gas.

According to him, the tempo is how we can increase our capacity to produce more gas.

People ask the question we flare a lot of gas why can’t we use that for cooking gas but it is not exactly the same.

“It is like you have water in the river, but that do not necessarily translate to drinking water.

“The gas needs to be processed for it to be useful for domestic consumption,’’ he said. (NAN)

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business & Economy

Kaduna refinery will begin production in December – NNPCL Boss, Kyari

Published

on

Melee-Kolo-Kyari-NNPC-GMD
Melee-Kolo-Kyari-NNPC-GMD
Share

The Group Managing Director of the Nigerian National Petroleum Company Limited, NNPCL,Mele Kyari has disclosed that the refinery in Kaduna State will be ready for production by December 2024.

He disclosed this during a meeting with the Independent Petroleum Marketers Association of Nigeria and the Major Energy Marketers Association of Nigeria in Abuja.

He disclosed that operations at the Port Harcourt refinery are scheduled to begin in two weeks.

According to Kyari: “We did a mechanical completion of the (Port Harcourt) refinery, that was what we said in December. We now have crude oil already stocked in the refinery. We are doing regulatory compliance tests that must happen in every refinery before you start it, and I assure you that this Port Harcourt refinery will start in the next two weeks.

“Completing the mechanical work means that you are done with the rehabilitation work, now you have to test to see how it works. Of course, we have also completed the mechanical work on the Warri refinery.

“It is also undergoing regulatory compliance; processes that we are doing with our regulator, and this will soon be completed and it will be ready.

“The Kaduna refinery will be ready by December. We have not reached that stage in Kaduna, but we promise Kaduna will be delivered by December.”

 

Continue Reading

Business & Economy

Edun Blames Economic Hardship On Free Printing Of Naira During Buhari’s Govt

Published

on

Wale-Edun
Wale-Edun
Share

Minister of Finance, Wale Edun, stated this on Wednesday when he appeared before the Senate Committee on Finance chaired by Senator Sani Musa.

The Federal Government has disclosed that the free printing of naira notes for eight years, under the previous administration went into the hands of a privileged few, without corresponding productivity, resulting in the country’s current economic situation.

Minister of Finance, Wale Edun, stated this on Wednesday when he appeared before the Senate Committee on Finance chaired by Senator Sani Musa.

While elaborating on measures to revamp the economy, the Finance minister vowed to thoroughly audit the 22.7 trillion naira, and mop up the monies from the market and use it to pay the central bank to give the government a balanced book.

Responding to questions, the finance minister addressed the issue of waivers on customs duty running into trillions of naira, promising to overhaul the system, rejig it and implement a technology and payment system that would correct all anomalies in place.

He further disclosed that a total of 13 trillion naira was collected as non-oil revenue in 2023.

Continue Reading

Business & Economy

Harsh Economy: FG To Begin Distribution Of Grains Nationwide 

Published

on

Share

 

The Federal Government will begin the distribution of grains nationwide to cushion the impacts of the hardship in Nigeria.

Minister of Agriculture and Food Security Senator Abubakar Kyari disclosed this on Monday.

“Dear Fellow Nigerians,” he wrote on his official X handle. “In these trying times, I extend my sincere compassion to those affected by the hardships in the country. I understand the gravity of the situation, especially with the unfortunate event of foodstuff warehouse looting.

“Amidst these challenges, I want to assure you that our commitment to your well-being remains resolute. We shall commence the distribution of 42,000 metric tons of grains, as approved by Mr. President, across the 36 states of the federation as one of the programs to be rolled out this week.

“We are working hand in hand with NEMA and the DSS to ensure that the grains get to the right people in the right packages and quantities. Furthermore, 58,500 metric tons of milled rice from mega rice millers will also be released into the market for stabilization.”

The minister who hailed the resilience of the Nigerian people, urged them to back President Bola Tinubu’s government in its quest to address the challenges facing the country.

“I acknowledge the strength of the Nigerian people, and it is this resilience that will guide us through these difficult times. Let us stand together to support Mr. President in his strive for a better Nigeria,” Kyari said.

“Our government under the leadership of President Bola Ahmed Tinubu is committed to addressing these challenges and working towards a more secure and prosperous future for all.”

Continue Reading