ECOWAS seeks deal on $26b African gas pipeline

Ministers of energy and hydrocarbons of the Economic Community of West African States (ECOWAS) are seeking the adoption of the Inter-Governmental Agreement (IGA) and the Host State Agreement (HGA) for the African Atlantic Gas Pipeline (AAGP), which is projected to cost $26 billion.

Consequently, they have proposed to the Council of Ministers and President of the ECOWAS Commission to take all necessary measures towards an official signing of AAGP between the forthcoming ECOWAS Summit in December and the first quarter of 2025.

The meeting, which was extended to Morocco and Mauritania, also saw the endorsement of the Framework Document for the establishment of the ECOWAS Renewable and Energy Efficiency Facility (EREEEF).

Also adopted was the draft ECOWAS Guideline on the Promotion of Grid-connected Solar Photovoltaic Energy Projects and the standard contract models annexed earlier.

The ministers equally adopted a single title for the project African Atlantic Gas Pipeline/Gazoduc Africain Atlantique (AAGP) as they underscored the significance of the Africa Atlantic Gas Pipeline (AAGP) Project as a regional initiative.

This is a $26 billion gas pipeline that will link Nigeria to Morocco on completion and also service ECOWAS member states and Mauritania with possible extension to Europe.

At the meeting, which was held last weekend, were representatives of all the ECOWAS member states, regional organizations and institutions as well as ECOWAS specialized agencies on energy. Also present was the Nigerian National Petroleum Corporation Limited (NNPC).

In their various remarks, the ministers expressed satisfaction with the progress made so far in the development of renewable energy in the ECOWAS sub-region even as they welcomed the establishment of the ECOWAS Renewable Energy and Energy Efficiency Facility (EREEF) with $75 million support for clean energy solutions for the region.

Declaring the meeting open, Chairman of the Joint Meeting of ECOWAS Ministers of Energy and Hydrocarbons and Nigeria’s Minister of Petroleum Resources (Gas) Ekperikpe Ekpo, stated that the institutional agreement is an affirmation of the commitment to enhance hydrocarbon and energy trade within ECOWAS and other African countries.

“The AAGP spanning from Nigeria through multiple ECOWAS countries to Morocco, is expected to unlock new markets and bolster energy security throughout the region. By linking the natural gas reserves in Nigeria to North Africa and Europe, this initiative expands opportunities for economic growth, industrialization and job creation, benefiting communities across the linkage countries.

“We stand at a critical juncture where these draft agreements being deliberated today hold the power to reshape our energy landscape, strengthen our economies and uplift our people. It is our responsibility to ensure that the outcomes of this meeting reflect our commitment to brotherhood, cooperation, resilience and innovation”, Ekpo said.

Speaking, the President of the ECOWAS Commission, Dr Omar Alieu Touray, who was represented by the ECOWAS Commissioner for Infrastructure, Energy and Digitization, Mr Sediko Douka, noted that as a transitional energy source, abundant natural gas usage in the region will support member states in contributing to global climate change efforts, advance clean and sustainable mobility as well as promote the use of clean cooking solutions.

“Although being a fossil fuel, natural gas has the advantage of being relatively low in pollutants, allowing large-scale energy production. Therefore, it is in our interest to increase its production and accessibility for both industrial and domestic use”, Douka added.

The Minister of Energy Transition and Sustainable Development, the Kingdom of Morocco, Dr Leila Benali, described the project as political, which called for the commendation of Morocco’s partners and friends within ECOWAS “for sticking and be persistent and resistant in making sure that the work continues on this political vision and political project for Africa and the rest of the world.”