. As Nigeria position for energy transition
Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, says the Brass Methanol Project’s Gas Sales Purchase Agreement (SPA) will inject about $3 billion into Nigeria’s gas sector
Ekpo stated this at the National Association of Energy Correspondents’ (NAEC) Annual Strategic International Conference on Thursday in Lagos.
The News Agency of Nigeria (NAN) reports that the theme of the 2024 conference was: “Gas as Energy Transition Fuel: Navigating Nigeria’s Trilemma of Finance, Energy Security, and International Politics.”
He also noted the establishment of the Midstream and Downstream Gas Infrastructure Fund to address key financing gaps.
Ekpo stressed the necessity for a reliable energy supply for economic growth, citing recent successes in U.S., Nigeria energy cooperation.
“Key initiatives include U.S. technical assistance aimed at reducing methane emissions and a commitment of $75 million to $85 million from USAID for clean energy initiatives.
He emphasised the role of natural gas in shaping Nigeria’s sustainable energy landscape.
The minister represented by Abel Nsa, a Senior Technical Adviser, said that the event was on the future of Nigeria’s energy sector.
Ekpo praised the media for its influence in fostering transparency and accountability within the energy sector.
“Your work ensures that crucial energy information reaches the public, fostering informed discussions about our national energy challenges and opportunities,” he said.
He elaborated on the exploitation of natural gas to bridge immediate energy needs with long-term climate objectives.
The minister highlighted the potential of gas to enhancing energy access, power industries, and improve living standards, while reducing carbon emissions.
He identified finance, energy security and international politics as critical factors for navigating Nigeria’s energy transition.
He highlighted Nigeria’s ambition to emerge as a global energy leader, particularly through the Nigeria-Morocco Gas Pipeline Project, which aims to diversify export routes and enhance regional energy security.
The minister shared achievements in the sector, which include reductions in gas flaring and methane emissions as well as the inauguration of several new processing facilities.
He said that the compressed natural gas (CNG) and liquefied petroleum gas (LPG) initiatives should be viewed as vital components of the energy transition.
Ekpo reiterated the essential role of energy correspondents in connecting government actions with public understanding.
He called for redoubled collaboration to fully leverage natural gas potential for sustainable economic growth to further strengthen Nigeria’s position on the global energy arena.
“Together, we must embrace the opportunities that lie ahead while addressing the challenges we face,” he said.
Your work ensures that crucial energy information reaches the public, fostering informed discussions about our national energy challenges and opportunities.
Transition fuel
Meanwhile, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says gas remains crucial as a transition fuel in addressing the country’s energy challenges.
Its Chief Executive Officer (CEO), Gbenga Komolafe, who said this at the NAEC annual conference, also said that energy security is a cornerstone of national development.
Komolafe, represented by Paul Osu, Director of Lagos Operations, NUPRC, called for enhanced collaboration to harness the country’s vast energy potential.
He listed Nigeria’s significant advantages to include a large population and abundant gas resources.
He defined energy security as ensuring affordable, reliable energy access for all, while maintaining a balanced energy mix.
The conference provided a platform to discuss the Decade of Gas Initiative, which aims to position natural gas as a driver of economic growth and environmental sustainability, aligning with global climate goals and Nigeria’s energy security needs.
Komolafe projected a 16.6% compound annual growth rate in gas demand from 2020 to 2030 but warned of a potential 3.1 billion cubic feet per day (bcf/d) shortfall by 2030 if current trends continue.
He noted that natural gas production was expected to increase from 8.0 bcf/d in 2020 to 12.2 bcf/d by 2030, driven by projects like the Nigeria/Morocco pipeline and the Ajaokuta-Kaduna-Kano Natural Gas Pipeline.
The Petroleum Industry Act (PIA) and recent executive orders were highlighted as key drivers in improving sector efficiency and competitiveness.
Komolafe called for media support in promoting these developments, emphasising transparency and collaboration as essential for realising the nation’s energy transition goals.
He urged attendees to view the conference as a call to action for unlocking opportunities in Nigeria’s energy landscape, reinforcing the nation’s potential as a global energy transition leader.
He noted that the conference discussions were expected to shape Nigeria’s energy policies and strategies in the coming years. (NAN)
