The Nigerian National Petroleum Company (NNPC) Limited has said that energy transition is a gateway to energy security, even as it called for global partnerships for energy investments in Africa.
NNPC Limited’s Executive Vice President, Downstream at NNPC Limited, Engr Adeyemi Adetunji, made the call at the ongoing African Refiners and Distributors Association Week in Cape Town, South Africa.
@nnpclimited, led by EVP Downstream, Engr Adeyemi Adetunji is headlining the 17th African Refiners & Distributors Association Week taking place in Cape Town, South Africa. The Conference is themed “Balancing Energy Transition & Security for the African Downstream” #ARDA #ARDAWeek pic.twitter.com/c6MamqXsMs
— NNPC Limited (@nnpclimited) March 14, 2023
Energy transition should be fair: Adetunji, who represented NNPC’s Group CEO, Mele Kyari at the event, described Nigeria as a country rich in natural gas resources. Based on this fact, he noted that Nigeria will need natural gas in its energy transition plan. He also said Africa needs to focus its energy transition plan on resources that are accessible and affordable while enhancing operational efficiency and giving players a competitive edge.
Investments for the energy transition: According to Adetunji, NNPC Limited is committed to the country’s energy sector strategy which includes the optimal development of all resources. He also said Nigeria’s gas sector creates investment opportunities for the country to be able to invest in new energies including electric vehicles and solar. He said:
- “A just transition for Africa will require huge investments, hence Nigeria and Africa will need global partners to harness existing resources. We will continue to assess cleaner energy for the benefit of Nigeria while we will build new refineries and distribution networks to ensure energy reliability today and tomorrow.”
Africa’s energy transition needs collaboration and financing: During her speech, ARDA president, Marième Ndoye Decraene, called for collaboration between African downstream players and ARDA members, to achieve a just and inclusive energy transition. She said:
- “With energy demand set to grow across the continent by 45% through 2050, our objective is to ensure Africa’s growing demand is met with cleaner fossil fuels. We must combine our efforts to develop a strong and effective platform to ensure the energy mix and environment are prioritized.
- “We need to create a strong regulatory framework and ensure the transfer of technology, innovation and skills to maximize the downstream industry. Financing remains a problem and we need to make sure there is available funding and that projects are bankable while accelerating renewables penetration.”
What you should know: NNPC Limited had previously stated that the company is committed to ensuring that natural gas is a part of Nigeria’s energy transition plan. Recall that Nigeria already has a National Gas Expansion Program (NGEP) which focuses on gas for industrialization, clean cooking and for captive power.