· Confident PIA will boost oil production to 4mbpd
By Teddy Nwanunobi
The Federal Government has vehemently rejected a single pathway concept to energy transition and net zero carbon.
The Minister of State Petroleum Resources, Chief Timipre Sylva, on Thursday, maintained that energy transition is a process, not an instant destination.
Sylva, who made the Federal Government’s position known in a keynote address at the 2021 Seplat Energy Summit in Abuja, added that Nigeria will continue to explore and invest in the development of hydrocarbon resources, while pushing for the use of gas as transition fuel.
He noted that, for most African countries with huge energy deficits, moving away from the deployment of hydrocarbons was a huge concern.
He stressed that developing countries were striving to attain a certain baseline of industrialisation.
“While acknowledging our commitments to net-zero as a nation, there is no gainsaying the fact that Nigeria requires fossil fuel as its base load energy source. This is undoubtedly a major concern for climate activists in developed nations, but the clamour to emphasise only renewable energy as the sole pathway to energy transition is a source of concern for African countries that are still working to achieve base load industrialisation, address energy poverty and ensure reliable power supply.
“This is why, in Nigeria, we reject the concept of a single pathway to the energy transition. Indeed, we prefer the concept of ‘just’ energy transition which takes into cognisance the specific circumstances of each nation in developing the energy transition pathway that best achieves the environmental, social, political and economic objectives of the transition in that specific nation.
“Multiple pathways to the energy transition should and must exist in order to ensure that no country is left behind in the process of achieving net-zero by 2050,” he said.
He explained that gas would be central to Nigeria’s plan for energy transition.
“First is the focus on gas. For us, this is at the heart of the energy transition and represents the first step in the journey to renewables, away from oil. Already, we have declared that gas is our transition fuel, and also represents a destination fuel, as we envisage that it will be part of our energy mix by 2050, given the vast resources that can be commercialised and utilised,” he added.
Sylva stated that the passage of the Petroleum Industry Bill (PIB) into law will significantly boost Nigeria’s potential to achieve its oil production to four million barrels per day (mbpd).
In addition, he said the passage of the PIA will also boost the nation’s oil reserves from 37 billion barrels to 40 billion barrels.
“The PIA 2021 will undoubtedly assist in harnessing Nigeria’s potential to achieve its oil production to four million barrels per day and oil reserves from 37 billion barrels to 40 billion barrels, while also drawing on the country’s estimated 600 cubic (feet) of natural gas to provide clean and efficient energy.
“The new law has enhanced the Nigerian reputation, provided the pathway to new investments, and (consolidated) our ability to play a significant role in meeting the world’s growing demand for energy.
“These resources will be crucial in supplying world markets with a broad portfolio of energy options, as well as supporting the global endeavour to alleviate energy poverty as envisioned in the United Nations’ Sustainable Development Goal (SDG) 7,” he added.
Valuechain reports that Buhari signed the Bill into law on August 16.
It replaces the obsolete Petroleum Act of 1969.
The theme of the event is: ‘Global Trends in Energy Transition’.