Infrastructure, politics depriving Nigeria of energy benefits in Ukraine war, says NGA
Nigerian Gas Association (NGA) said the lack of political will and infrastructure are key reasons Nigeria is losing the energy opportunities provided by the Russia/Ukraine war.
The group said one of such infrastructures that would have generated significant income for the country is the Trans-Saharan gas pipeline, which would traverse Nigeria, Niger and Algeria across the Sahara Desert to Europe.
National Publicity Secretary of the association, Odianosen Masade in a release said: “It is estimated that once completed, the $13 billion pipeline would transport up to 30 billion cubic meters (1 trillion cubic feet) of natural gas yearly from Warri in Nigeria through Niger and Algeria on to Europe.”
Amidst the lingering global energy crisis and increased calls for the replacement of fossil fuels with renewable energy to reduce carbon emissions, the association said there was a need for a multidimensional approach to energy transition in Africa.
Masade said Africa needs to be cautious and consider all the pertinent issues in transitioning from fossil fuel to cleaner, more sustainable energy sources.
“Africa accounts for the smallest share of global greenhouse gas emissions, at just 3.8 per cent, in contrast to 23 per cent in China, 19 per cent in the US, and 13 per cent in the European Union. It is also the least industrialised of all the continents in the world, yet one of the most vulnerable to climate change.”
Masade said fossil fuel transition in developed economies has been going on for over a century whilst Africa is expected to transition over a few decades.
According to him, the recent transformation of the Nigerian National Petroleum Corporation (NNPC) into a full business entity is commendable.
“Experts in the energy sector have long advocated the privatisation of the public-owned behemoth to increase its efficiency and separate its regulatory, revenue-generating, and oil production components.
“The idea is for the entity to become profitable. With privatisation, the NNPC will be relieved of all the burdens of government control and become autonomous.
“The NNPC can now be listed on the Stock Exchange, secure investments and generate more revenue for the country.”
Nevertheless, the NGA scribe stressed the need for proper implementation of the new policy without jettisoning proposed changes during operations,” he stated.
Masade, who is the Corporate Communications Lead, Eroton Exploration & Production Company, said while the cartel (OPEC), is under obligation to protect its members including Nigeria, the current reality in the geopolitical environment indicates that the outcome would be shaped by the decisions of the big global players such as the America, Russia and Saudi Arabia.