Following the gradual exit from the energy mix of fossil fuels, the Federal Government says it is focusing on exploitation of gas to close the gap that would be created by less use of petrol, diesel and other fossil fuels.
Board Chairman of the Nigerian National Petroleum Company Limited (NNPC), Mrs. Margrey Chuba- Okadigbo, stated this in her remarks while formally declaring open the Nigerian pavilion at the ongoing Offshore Technology Conference (OTC) in Houston, Texas, anchored by the Petroleum Technology Association of Nigeria (PETAN), the umbrella body of all the indigenous oil services companies in Nigeria.
According to Chuba- Okadigbo, gas as a transition fuel will not only bridge the energy gap that will be created by exit of fossil fuels but will enhance economic development.
Okadigbo noted that the conference will arm the Nigerian team with the requisite knowledge and latest technology to tackle energy issues as the energy industry players face increasing need for clarification of the implications of energy transition on their operations and business models and to explain the contributions they can make to reducing greenhouse gas emissions and to achieving the goals and commitment of Paris accord and the COP 26.
She said these increasing social and environmental pressures on many energy companies raise complex questions about the role of oil and gas in a changing energy economy and the positions of these companies in the societies in which they operate.
To her, as the world moves to substitute fossil fuel with other forms of cleaner energies, Nigeria is still faced with numerous challenges in ensuring energy security, deepening domestic gas utilization and maximizing revenues derivable from hydrocarbon resources.
She explained that as world leaders and business leaders join in the global solidarity against climate change and reduction of carbon emissions, NNPC Limited is taking giant strides in lowering her carbon footprints, sustaining energy security and driving prosperity in Nigeria.
She said: “We believe that achieving and sustaining a carbon neutral economy requires inclusive policy actions that guarantee access to finance and low carbon technology.
“Recently, Nigerian witnessed the enactment of the Petroleum Industry Act (PIA) 2012, which guarantees a reasonable return on investments, promotes business and operational transparency and proffers better fiscal regimes than it was in the past.
“In effect, this Act provides the legal framework and guarantees investors’ confidence. Therefore, it is expected that much more significant change in overall capital allocation would be required to accelerate energy transition, especially in getting some key capital intensives, clean energy technologies to reach maturity.”
Earlier in his remarks, Chairman of PETAN, Mr. Nicholas Odinuwe, said the theme of the workshop “Energy transition and the future of Africa” underscores the fact that Africa is said to the last energy frontier and global hub as there is a global energy revolution and the quest for alternative and cleaner sources of energy.
However, he said developing countries are keeping an open mind in the choices of their energy mix as they take cognizance of what best works for their heterogeneous populations.
According to him, energy access is critical, so is funding and so, to fulfill the needs of this industry and secure future investment and energy security in Africa, our emphasis should be on collaboration, entrepreneurship, innovation, and funding.
He reminded the gathering that many African countries, companies, and individuals have made huge investments in the energy sector and the economy of many African countries depends largely on stakeholders.
“It is expedient that the region begins to examine these critical issues and proffer solution on how to properly position the sector for maximum economic transformation.”
