The Nigerian National Petroleum Company (NNPC) Limited on Monday gave an account of how it has positioned itself to lead Africa in energy transition.
The Chief Executive Officer and Group Managing Director, Malam Mele Kyari disclosed this while delivering the 30th Convocation Lecture of the Federal University of Technology, Minna, Niger State, at the university’s auditorium.
Kyari spoke on the topic: “Energy Transition & Energy Accessibility – The New Paradigm.”
The NNPC CEO also advised industrialised nations not to put Africa in the same energy transition speed because it could spark energy crisis.
“Putting every country in the same energy transition speed could therefore result in unanticipated collateral damage that can spark energy crisis and deny developing countries access to available and cheaper energy for growth,” a statement from the Group General Manager/Group Public Affairs Division, NNPC, Garba Deen Muhammad, quoted Kyari to have said.
Explaining the company’s strategy for a smooth and realistic energy transition, the CEO said the NNPC had set the necessary machineries in motion to lead Africa in transition to low-carbon energy and renewables.
He noted that the company was deepening natural gas utilisation under the National Gas Expansion Programme (NGEP).
According to him, the NNPC was also extending natural gas infrastructure backbone from Ajoakuta in Kogi state to Kano through Abuja and Kaduna under the AKK Gas Pipeline Project.
Besides, he said this mega pipeline would be fed by both Escravos-Lagos Pipeline System (ELPS) and the Obiafu-Obrikom-Oben (OB3) gas pipelines through Oben node in Edo state and deliver 2bscf of natural gas to power plants and industrial off-takers along Abuja, Kaduna and Kano.
Continuing, he said as a national oil company and a global player, the NNPC was ready to shift to renewable energy.
The GMD dropped the hint that “We are taking firm position in this transition by institutionalising the necessary enablers for success.
“NNPC has established a Renewable Energy Division and has completely transformed the NNPC R&D Division to NNPC Research, Technology and Innovation as Energy Company of Global Excellence,” he added.
He said NNPC welcomes beneficial relationship with academia and industry experts who demonstrate capacity for productive research and innovation in the energy sector.
According to him, oil would remain very much relevant in the global energy mix of today and the future.
Kyari however noted that as transition to cheaper energy gains momentum, especially across the developed countries, oil companies must continuously improve operational efficiency and reduce their costs to remain on the playground.
Earlier in the presentation, he said Africa was endowed with abundant sunshine that can support massive development of renewable energy enough to put Africa on the map of energy sufficient regions of the world.
Kyari said attaining this vision would require substantial finance which may have to come from diverse sources globally.
Considering the financial stretch required to transit at the same pace with the rest of the world, Kyari said, “what Africa needs is energy transition that addresses energy poverty across the continent and supports the use of comparative and cheaper available energy resources in Africa.”
He said this would guarantee affordable and reliable energy for rapid industrialisation and improvement in the economic well-being of the people.