Majorwaves Energy Report October Edition by majorwavesenergyreport

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OCT 2 0 2 1 VOL 4 NO 10

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SUSTAINABILITY

INFRASTRUCTURE

ALTERNATIVE SEPTEMBER PATHWAYS TO EDITION NET-ZERO NCDMB Denies Pressure to Relocate Headquaaers FG Scraps DPR, PPPRA, PEF, Sacks CEOs, Inaugurates New Agencies U.S To Penalize IOCs Increasing Production Of Fossil Fuels In Africa East African Crude Oil Pipeline Project Takes Shape Nigeria, Others to Save Over $774b Through LPG Adoption Amid Rising Costs

ENERGY WOMAN

Damilola Ogunbiyi Joins CGEP Advisory Board to Majorwaves Energy Report 1 Drive Energy Transition OCTOBER 2021, Vol 4 No 10

Majorwaves Energy Report OCTOBER 2021, Vol 4 No 10

CONTENTS

Finance Minister, SNEPCo MD at opening session of 27th Nigeria Economic Summit

FG Scraps DPR, PPPRA, PEF, Sacks CEOs, Inaugurates New Agencies

Kyari Bags “The Sun Man of The Year” Award

PTI Holds 2021 Pre-Conference Lecture

Renewable Energy Transition will be a mix of several energy types across worlds – OGTAN

NCDMB Hands Over Ultramodern Technical Workshops in A/Ibom State

Eni Reaches an Agreement for the Delivery of a Carbon Neutral LNG Cargo to CPC Corporation, Taiwan

SEPLAT Energy Summit: “Energy Transition Can No Longer be Limited to Incremental Steps”-- Osinbajo.

Alternative Pathways to Net Zero

Damilola Ogunbiyi Joins CGEP Advisory Board to Drive Energy Transition

REA Signs 5th OBF Grant Agreement with Six Solar Homes System Companies

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A Realisti“Net-Zero Compliance” Following the leaked COP26 draft “assessment report”, governments that are heavily reliant on fossil fuel would be quite uncomfortable going into the Glasgow gathering. The draft report doesn’t hold much positives for emitters than an additional layer of commitment to already stated targets. For instance, earlier combined report on net zero by the duo of IEA and IRENA, as well as the 2017 IPCC report all acknowledge the place of Carbon Capture and Storage technology as a game changer if it can be proliferated. On the contrary, the leaked United Nations draft assessment report posits that: “there is large ambiguity in the extent to which fossil fuels with CCS would be compatible with the 2C and 1.5C targets”. As OPEC member countries prepare for impact, its leadership has said “The energy transition is not being handled properly, and hence we are beginning to see the fall-out.” Also, the OPEC boss, H.E Muhammadu Barkindo recently pointed out the challenge with climate finance as he laments the struggles by poor African nations who are most vulnerable, yet unable to access the $100bn Green Climate Fund which was promised during COP 15 in Copenhagen. If defaulting, rich countries walk away and refuse to honour their agreements on the Green Climate Fund, being that it is just an Accord; what assurance exists that the COP26 agreements will be adhered to by all parties? What will be the measure to enforce 2050 net zero compliance? Let’s hear from you, please..

Publisher Joshua Bretz Managing Editor Jerome Onoja Editor Margaret Nongo-Okojokwu Senior Correspondents Ikenna Omeje Oluwatoyin Bayagbon Correspondents:Lagos Daniel Terungwa Abisoye Vincent Emeka Enunwah Port Harcourt Stella Odogu Arit Dan US Omaya Joko UK Kunle Kazeem Research Analyst Simon Olanipekun Production Solomon Obande Toma Stephen Business Development Stanley Etim Taiwo Olamilekan Amicable Aluu

Jerome Onoja

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Editor’s Note

Majorwaves Energy Report is published by Majorwaves Communications, 25B, Adebayo Doherty Street, Lekki Phase 1. Lagos Phone: +2349035477966 Email: info@majorwavesenergyreport.com www.majorwavesenergyreport.com

Majorwaves Energy Report OCTOBER 2021, Vol 4 No 10

INDUSTRY NEWS

Nigeria Produced 1.4mbd Oil in September – OPEC

OPEC+ Under Produces Quota Despite Calls for More Oil

igeria produced an average of 1.451 million barrels per day of crude oil in September 2021, according to the Organization of the Petroleum Exporting Countries, OPEC. The figure is contained in the OPEC oil market report for October 2021, which indicated that it is a 156 barrels per day increase, compared to the 1.296 million barrels per day average production by the country in the previous month – August 2021. The report also indicated that Nigeria’s non-oil economic activities grew despite the lingering effects of the current COVID-19 wave. It stated: “The Stanbic IBTC Bank Purchasing Managers’ Index (PMI) edged up to 52.3 in September from 52.2 in August, remarking the 15th consecutive monthly expansion. “Yet labour market pressures continued to be a concern. “Recently released National Bureau of Statistics data indicated that the unemployment rate increased to 33.30 per cent in fourth quarter 2020 from 27. 10 per cent in second quarter 2020.” It said however, both consumer and business confidence have increased, driven by the overall positive sentiments related to the easing of COVID-19 restrictions and rising commodity prices.

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he OPEC+ group saw its overall compliance with the collective oil production cuts at 115 percent in September, a delegate told Argus on Monday, October 18, down from the 116-percent compliance in August, but still higher than the market had hoped, with some members of the alliance failing to ramp up production in line with their quotas. The high compliance rate despite the monthly easing of the cuts by 400,000 bpd from the OPEC+ group suggests that not all members of the pact are capable of raising supply as quickly as their quotas under the deal stipulate. A c c o r d i n g t o Bloomberg’s estimates, if all members of the OPEC+ alliance stuck to their respective production ceilings in September, the overall production of the group would have been 747,000 barrels per day (bpd) higher than what it was. OPEC+ was pumping 15 percent less crude oil than its overall production quota for September, delegates familiar with the output numbers told Bloomberg on Monday,

October 18. For several months now, some OPEC+ members—including OPEC’s Angola and Nigeria and non-OPEC’s Azerbaijan— have struggled to raise their oil production to the highest possible level allowed under the deal. The struggles have come from technical issues, a lack of investments, and lower exploration efforts in recent years. The 115-percent estimated compliance of the OPEC+ producers in September is just a preliminary figure, which will be reviewed and amended if necessary by the Joint Ministerial Monitoring Commit te e (J M M C) in early November, before the monthly OPEC+ meeting of the ministers on November 4. For November, the required crude oil production from OPEC and its non-OPEC allies led by Russia is 39.694 million bpd, after OPEC+ decided to stick to the plan to ease the collective cuts by 400,000 bpd next month. If the OPEC+ group continues to under-produce compared to its overall quota, it could leave the oil market tighter than previously forecast.

SHELL PHOTOSTORY

Finance Minister, SNEPCo MD at opening session of 27th Nigeria Economic Summit

R-L: Managing Director, Shell Nigeria Exploration and Production Company Limited, Mrs. Elohor Aiboni; Minister of Finance, Budget and National Planning, Dr. Zainab Ahmed; and Minister of Niger Delta, Sen. Godswill Akpabio, at the opening session of the 27th Nigeria Economic Summit in Abuja… on Monday

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INDUSTRY NEWS

Majorwaves Managing Editor, Jerome Onoja Okojokwu-Idu, Wins Chevron/PAU Award By Ikenna Omeje

he Managing Editor of Majorwaves Energy Report, Jerome Onoja Okojokwu-Idu, has won Chevron Nigeria Limited and Pan-Atlantic University award, after scoring the highest mark from the class of 2018 participants of the Advanced Writing and Reporting Skills, a certificate course sponsored by Chevron, at the School of Media and Communication of the University.

Speaking at the prize-giving ceremony, which held on Sunday, October 10, 2021 in Lagos, the Dean, School of Media and Communication, Pan-Atlantic University, Dr Mike Okoro, represented by The Director, Professional Education of the University, Isaac-Ogugua Ezechukwu, said that winners of the award were scored after assessing the submitted articles they had written over the last couple of years.

“We are delighted to notify you that after the grading of submitted publications by AWARES alumni of 2018, you came first in the ranking and have won the first prize from the class of 2018 partcipants of the Advanced Writing and Reporting Skills (AWARES) Centficate Course sponsored by Chevron Nigeria Limited, at the School of Media and Communication, Pan-Atlantic University, Lagos, “ the school stated in a congratulatory letter dated October 4.

Okoro listed organization of work, level of content, development of content, grammar and mechanics, the style, the format, focus, and unity, as the criteria the School used in grading the participants.

Okojok wu-Idu has been the Managing Editor of Majorwaves since 2018. Majorwaves, a panAfrican magazine, brings in-depth analysis and reportage on the growth and development of local content in Africa’s energy space, as well as information on sustainability and infrastructure. 8

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Congratulating the winners, Chevron’s General Manager, P o l i c y, G o v e r n m e n t a n d Public Affairs, Esimaje Brikinn, represented by the Manager, Corporate Communications, Victor Anyaegbudike, said the award was initiated this year to celebrate participants of the AWARES programme who have demonstrated excellence in their career. Birikin thanked PAU for facilitating the award process and charged the winners to go back to their respective media organisations and continue to

add value to their jobs. “CNL pioneered the AWARES programme in collaboration with PAU in 2014 to foster our relationship with the media, and ensure we partner with the media, facilitate capacity building for the media practitioners,” he said. He noted that the testament of participants on how the programme has had positive impacts on their skills in journalism aligns with Chevron’s vision. “We encourage the media as our critical stakeholders to be balanced, to be fair and accurate as we tell our story,” he said. Earlier this year, Majorwaves was named the Best Local Content Magazine of the Year 2020, an award which was conferred by the Oil and Gas Trainers Association of Nigeria (OGTAN) at its 2021 AGM and Lecture series. Jerome Onoja Okojokwu-Idu is an Associate Member of Nigeria Institute of Public Relations (NIPR) and holds a Masters degree in Environmental Management from the University of Lagos.

INDUSTRY NEWS

FG Scraps DPR, PPPRA, PEF, Sacks CEOs, Inaugurates New Agencies “So far, the chief executives of these agencies have not been in place, but of course, Mr President in his wisdom made the appointment a few weeks ago and they went through a rigorous process of confirmation at the National Assembly. “The agencies have now taken off because they now have clear leadership and today’s event marks that beginning for the new agencies.”

H.E Chief Timipre Sylva Hon. Minister of State for Petroleum Resources

he Department of Petroleum Resources, the Petroleum Products Pricing Regulatory A g e n c y a n d t h e P e t ro l e u m Equalisation Fund are all officially scrapped and do not exist anymore, the Federal Government said on Monday, October 18, 2021. It also said while workers of the three agencies would be protected, their chief executives had been relieved of their various appointments. The Punch reports that the Minister of State for Petroleum Resources, Chief Timipre Sylva, stated this while speaking on the side-lines of the inauguration of the boards of the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Nigerian Upstream Regulatory Commission in Abuja. He explained that with the passage of the Petroleum Industry Act, the NPRA and NURC had taken over the functions of the DPR, PPPRA and PEF. Responding to a question on what would happen to DPR following the inauguration of the board of NURC, Sylva said, “It is now a matter of law. “The law states that all the assets and even the staff of the DPR are to be invested on the commission and also in the authority. So that means the DPR doesn’t exist anymore.

“And, of course, the law specifically repeals the DPR Act, the Petroleum Inspectorate Act, the Petroleum Equalisation Fund Act and the PPPRA Act. The law specifically repeals them. It is very clear that those agencies do not exist anymore.” On what would happen to the chief executives and employees of DPR, PEF and PPPRA, the minister replied, “The law also provides for the staff and the jobs in those agencies to be protected. “But I’m sure that that doesn’t cover, unfortunately, the chief executives, who were on political appointments.” He stated that the process for aligning the workers of the defunct agencies with the new regulatory bodies had already commenced, as the staff had to be rationalised. Sylva said, “The authority has its staff coming from the defunct PEF, PPPRA and DPR. The commission has staff coming over from DPR and the process is going on for the next few weeks.” Sylva stated that the inauguration of the boards on Monday marked the beginning of the successor agencies. He said, “The PIA provides for the upstream regulatory commission and the establishment of the midstream and downstream authority.

He further stated that with the passage of the PIA into law, after spending over 20 years in the process, the coast was now clear for investors to fully invest in Nigeria’s oil sector. “Today, the PIA has clarified the legal framework around the sector and the agencies are now in place. So I don’t see anything now stopping investors from coming,” the minister stated. He said competent hands were now handling the business, adding, “Nigerians should brace up for exponential growth in the oil and gas sector.” The Chief Executive, NURC, Gbenga Komolafe, said the commission would deliver on its mandate as captured in the new petroleum Act. “Nigerians should expect massive deliverables in the sense that the PIA has ended the regime of uncertainty in terms of the governance of the industry,” he said. He also said the commission would ensure that the country hits its OPEC quota in crude oil production, as the NURC would be an enabler of investments.

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INDUSTRY NEWS

LADOL MD Joins UNCTAD and GIZ to Launch “Handbook on Special Economic Zones in Africa: Towards Economic Diversification across the Continent”

r Amy Jadesimi, Managing Director of LADOL Free Zone, joined a high-level panel convened by UNCTAD (The United Nations Conference on Trade and Development) and GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH), under the auspices of the World Investment Forum 2020, Investing in Sustainable Development, to launch the longawaited “Handbook on Special Economic Zones in Africa: Towards Economic Diversification across the Continent”. Despite Special Economic Zones (SEZs) having been widely used for decades, there is relatively little systematic research on their performance or social, economic and environmental impact, especially in the context of Africa. UNCTAD’s World Investment Report 2019 presented a comprehensive analysis on the number and types of SEZs. However, large gaps remain concerning data on their design and on the benefits that they accrue to the host economy.

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S i m i l a r l y, a l t h o u g h t h e implementation of the African Continental Free Trade Area (AfCFTA) agreement is set to impact SEZs on the continent significantly, there is a lack of research and policy guidance on how zones can adjust to the new regulatory environment. In this context, UNCTAD, with the support of GIZ, has developed a handbook for SEZs on the continent. The handbook provides best practices and policy recommendations across a wide array of topics relevant to zones and also features case studies from a number of different zones within and outside Africa. In addition to the dissemination of the handbook’s findings, UNCTAD and GIZ are also arranging a series of technical cooperation workshops in different parts of Africa. The handbook and the related technical cooperation have a particularly strong emphasis on helping SEZs adjust to the new trade and investment environment in Africa, after the full implementation of the AfCFTA.

Dr Jadesimi was one of the speakers at a round table held during the launch, alongside Mr. Harouna Niang (Consultant, and Former Minister of Industry, Trade and Investment Promotion, Mali), Mr. Ahmed Bennis (General Secretary, Africa Economic Zones Organization), Mr. Ken Poonoosamy (CEO, Economic Development Board of Mauritius, Mauritius)and Dr Pierre Voges (CEO, Atlantis Special Economic Zone Atlantis SEZ Atlantis SEZ, South Africa). Speaking at the event, Dr Jadesimi strongly advocated the role Nigeria will play as the industrial hub for West Africa as well as being an economic engine for the rest of the continent, enabled by its free zone regimen “Nigeria is a natural pancontinental hub. Public and private free zones across the country will be able to drive local manufacturing using a range of models across the country from mono-industrial zones to multi-industrial and financial zones – all of which will create a multiplier effect on job creation.

INDUSTRY NEWS The launch of this handbook will help trigger an influx of investment into these zones as it provides a set a global standards that investors can use to assess and invest in zones

based on the strong market cases we have in Africa. This is another step towards making fit-for-purpose, long-term, low-cost funding available for free zones across the continent.”

You can download the full report here: https://unctad.org/webflyer/ handbook-specialeconomic-zonesafrica

U.S To Penalize IOCs Increasing Production Of Fossil Fuels In Africa

Jonathan Pershing

he United States Deputy Special Presidential Envoy for Climate, Jonathan Pershing, has said that International Oil Companies (IOCs), which insist on increasing production of fossil fuels in Africa, risk penalty from the United States. Pershing who stated this in South Africa while speaking at a virtual media briefing, urged western investors to consider whether fossil fuels were a good commercial opportunity anymore in Africa or anywhere else. “There’s a risk of regulatory … and financial activities, and I believe that’s getting more and more explicit. If you are a company

looking to invest in oil and gas, you have to ask yourself…‘am I going to be left with a stranded asset?’ I would not bet very strongly on a fossil fuel future,” he said. The U.S envoy noted that even China had committed to stop building overseas coal plants, adding that the continent could “leapfrog” older carbon-based technologies and embrace renewables, same way it skipped wired telecoms in many places and went straight for wireless. “Africa doesn’t need to move in the direction of the West’s high-carbon intensity. It can move directly beyond that,” he said.

Pershing is visiting several African countries as part of efforts to raise global climate ambition ahead of the United Nations COP26 Climate Summit in Glasgow, Scotland next month. By this threat, IOCs like Royal Dutch Shell, Mobil, Chevron which operates in the United States, may have to weigh regulatory action against return on investment before carrying out more production activities on the continent. This could affect oil-dependent nations like Nigeria, Angola, Equatorial Guinea, among others, if these IOCs withdraw funding for hydrocarbons if threatened.

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INDUSTRY NEWS

Kyari Bags “The Sun Man of The Year” Award ...Says NNPC Will Remain Transparent, Accountable to Nigerians

n yet another recognition of his efforts since becoming the GMD/ CEO of the NNPC, Mallam Mele Kyari has been honoured with the “The Sun Man of The Year Award”, the biggest recognition by The Sun Publishing Comapany Ltd, publishers of The Sun Newspaper titles. Kyari received the award in a ceremony attended by eminent Nigerians in Lagos recently. They include the former Secretary to the Government of the Federation, Ambassador Babagana Kingibe; Kano State Governor Abdullahi Umar Ganduje, Ondo State Governor Rotimi Akeredolu; Edo State Governor Godwin Obaseki; Former Abia State Governor Orji Uzor Kalu; captains of industries and seasoned public servants. Speaking on the award, the Managing Director/Editor-in-Chief of The Sun Publishing Newspapers Ltd, Mr. Onuoha Ukeh said Mr. Mele Kyari was honoured for his doggedness and resilience in the way he managed the operations of the NNPC during the COVID-19 pandemic last year, which saw the economies of many

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countries across the word struggling for survival.

and work for them,” the GMD/CEO added.

Explaining further, Ukeh said: “Take Mele Kyari and dissect. In addition to the record breaking N287bn profits posted for 2020, the best since inception 44 years, the NNPC which he heads published the Audited Financial Statements (AFS). It was trailblazing and a whiff of good fortune in a beleaguered entity and time.”

While thanking the publishers of the newspaper for finding him worthy of the award, Kyari described the honour as a huge responsibility and a privilege which will spur him to do more for the benefit of the over 200 million Nigerians.

In his response, the GMD/CEO NNPC stated that the NNPC remains ever committed to conducting its operations with transparency and accountability. He attributed the successes recorded by the Management Team of the NNPC to the freehand and support accorded him by Mr. President who has never interfered in the affairs of the NNPC. “What we have done in recent years is to ensure that we take out all the opaqueness in NNPC. We also ensured that we represent Nigerians

Mallam Kyari was accompanied to the event by some members of his Management Team namely; the Group Executive Director (GED) Finance & Accounts, Mr. Umar Ajiya; GED Upstream, Engr. Adokiye Tombomieye; GED Gas & Power, Mr. Mohammed Ahmed; GED Ventures & Business Development, Sir Billy Okoye; Group General Manager, National Petroleum Investment Management Services (NAPIMS), Mr. Bala Wunti; MD, Nigerian Petroleum Development Company (NPDC), Mohammed Ali-Zara and MD, Integrated Data Services Ltd (IDSL), Mr. Marcel Amu.

INDUSTRY NEWS

Refining Billionaire: $100 Oil is Likely

ith oil prices rallying in recent weeks, it looks like we are going to see $100 a barrel oil, John Catsimatidis, who is active in both the oil and food business, told FOX Business on Monday, October 18, 2021 “With oil nearly at $84 this morning, we are going to see $100 oil, it looks like, there’s no sign of it stopping,” said Catsimatidis, who is chief executive of United Refining Company, and president and CEO of Gristedes, D’Agostino Foods, and the Red Apple Group. “Food prices are going up tremendously,” Catsimatidis told FOX Business. Food prices are going up very fast because nobody wants to be

behind the curve, and everyone is raising prices, the executive said. Catsimatidis expects prices to rise by 10 percent in the next 60 days, inflation not to go away any time soon, and supply-chain issues to likely persist through the middle of 2022. The billionaire U.S. businessman with interests in the oil and food business, among others, is not alone in his forecast that oil prices could hit $100 per barrel. Oil could hit $100 in case of a colder winter, some analysts and investment banks have said in recent weeks. Record-high natural gas prices are forcing some utilities to switch to oil derivatives instead, boosting demand for crude.

Surging natural gas prices, a cold winter, and the reopening of international airline travel could push oil prices to $100 per barrel and trigger the next economic crisis, Bank of America said in early October. Recovering global oil demand could send oil prices to $100 a barrel at some point at the end of 2022, despite COVID challenges to demand this coming winter, according to one of the world’s largest independent oil traders, Trafigura. It is “quite possible” that the WTI Crude oil prices reach $100 per barrel in light of growing global demand for energy commodities, Russian President Vladimir Putin said last week.

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INDUSTRY NEWS

Eni and Fincantieri Sign an Agreement for Initiatives to Support the Energy Transition

ni and Fincantieri have signed a Memorandum of Understanding (MoU) to establish a partnership for promoting initiatives focused on the energy transition. The aim is to create a system of integrated solutions for decarbonization projects in the fields of energy, transport and the circular economy, a release by Eni has said. Eni and Fincantieri have identified areas of common interest for developing synergies, including reducing the environmental impact of the maritime transport sector, producing energy from renewable sources and the circular economy. Under the MoU, Eni and Fincantieri will conduct a preliminary study to identify initiatives of common interest in the areas indicated, with the aim of launching subsequent joint technological or industrial innovation projects. C l a u d i o D e s c a lzi , C EO o f Eni, announced: “Eni is on a transformational journey that will lead to the complete reduction

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of its net emissions, based on technologies that we have already made industrially operational or that are capable of becoming so in the short term through heavy investment into research and. We believe that the technological assets we are creating should be used to meet our decarbonization objectives, and also be shared with other leading industrial players in order to find opportunities for greater enhancement. The energy transition is first and foremost a technological transition, and only companies with a strong industrial and innovative capacity, as well as the willingness to combine forces and skills, will be able to lead it.” Giuseppe Bono, CEO of Fincantieri, commented: “The agreement reaffirms the leading role that the industry has decided to play in the energy transition, a journey of profound innovation that our country has embarked on with determination. The MoU covers a number of highly strategic national sectors, and their development will play a key role in the new circular economy that will be defined in the

coming years. Our strong corporate DNA has always led us to look to the future, and we are proud to be at the forefront of such a complex challenge alongside a partner like Eni.” Under this agreement, the two companies also intend to renew and extend their existing agreements regarding the activities of interest, converging them under a single, harmonised governance between the technological innovation and business units, with a view to jointly promoting the excellence of the Italian system. This MoU, which regulates research and negotiation activities, may be subject to later binding agreements, including on transactions between related parties, which the parties will work out in line with applicable legislation. Eni is an integrated energy company with over 30,000 employees in 68 countries around the world. Its activities range from the development of new energ y solutions to the more traditional exploration and production of

INDUSTRY EVENT hydrocarbons, the refining and marketing of oil products and biofuels; from the generation and commercialization of electricity to the production of renewable energy; from the development of chemical and bio-based products to environmental activities. Eni aims at contributing to the achievement of the Sustainable Development Goals (SDGs) of the United Nations’ 2030 Agenda, supporting a just energy transition, which responds with concrete and economically sustainable solutions to the challenge of climate change by promoting access to energy resources in an efficient and sustainable way, for all. Eni’s decarbonization strategy aims to reach net zero by 2050. With the aim of becoming the leader in the production and marketing of decarbonized products, Eni will produce green products from renewable sources; blue products from decarbonised gas; and bio products from its bio-refineries or other transformation cycles that convert organic waste and biomasses. Fincantieri is one of the world’s largest shipbuilding groups, the only one active in all high-tech marine industry sectors. It is leader in the construction and transformation of cruise, naval and oil & gas and wind offshore vessels, as well as in the production of systems and component equipment, after-sales services and marine interiors solutions. Thanks to the expertise developed in the management of complex projects, the Group boasts firstclass references in infrastructures, and is a reference player in digital technologies and cybersecurity, electronics and advanced systems. With over 230 years of history and more than 7,000 ships built, Fincantieri maintains its knowhow, expertise and management centres in Italy, here employing 10,000 workers and creating around 90,000 jobs, which double worldwide thanks to a production network of 18 shipyards operating in four continents and with over 20,000 employees.

Energy Transition & Regulatory Uncertainties in Focus at OTL Africa 2021

n just a little over a week, Africa’s elite interests in downstream oil and gas will converge for the 15th Oil Trading and Logistics (OTL) Africa Downstream Week at Oriental Hotel in Lagos Nigeria. This edition takes place from 26 to 27 October 2021 (continues till 29th virtually) with the theme “Downstream in Transition – Getting Set”, and has received strong interest as a result of uncertainties surrounding new industry legislation, fundamental changes in energy demand and consumption patterns, advancement in technology and global outcry against greenhouse gas emissions. While Africa seems to be on the fringes of the global energy transition driven by stricter environmental regulations, the recent enactment of Nigeria’s Petroleum Industry Act provides a new vista of opportunities for operators across the industry value chain. However, industry operators are concerned about how existing uncertainties could affect implementation of the new downstream legislations, the impact of the statutory changes, in addition to how global issues relating to energy transition will impact the market.

The OTL Africa Downstream Week 2021 will therefore, provide the platform to address issues along major thematic subjects comprising Clean Fuels and Refining Standards in the Age of Zero Carbon; Safety and Security in Shipping Petroleum Products; What is Changing in the Fuel Retail Landscape; PricingInfrastructure and the Growth of Downstream Gas and Lubricants Markets and the Nigeria Fuels Congress. Speakers include Sir Billy O ko y e G r o u p E x e c u t i v e Director, Ventures and Business Development, Nigerian National Petroleum Corporation; Dr. Bala David, Group General Manager, Renewable Energy, Nigerian National Petroleum C o r p o r a t i o n ; D r. S a m b a Seye, Managing Director of TotalEnergies Marketing Nigeria Plc; Mrs. Sheila Abiemo, Director, Projects Monitoring & Evaluation, National Petroleum Authority (NPA), Ghana; Mr. Femi Adeyemo, Founder, Arnergy; and Mr Ajibola Akindele, General Manager, Sub Saharan Africa – Schneider Electric. Mrs. Elizabeth Aliyuda, Managing Director, NNPC Retail Ltd.; Dr. Billy S. Gillis-Harry, President,

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INDUSTRY EVENT Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN); Mr. Olumide Adeosun, Chief Executive Officer, Ardova Plc; Alhaji Yusuf Lawal Othman, National President, Nigerian Association of Road Transport Owners (NARTO); and Mr. Vishal Premlall, Director, #SouthAfrican Petroleum Retailers Association (SAPRA), will also deliver presentations. Other speakers include Vice Admiral Awwal Zubairu Gambo, Chief of Naval Staff, Federal Republic of Nigeria; Admiral Dele Ezeoba (Rtd.), former Chief of Naval Staff; Mrs Christiana Onabu, Managing Director, NIDAS Group; Dr Bashir Jamoh, Director General, Nigerian Maritime Administration and Safety Agency (NIMASA); and Dr. Mkgeorge O. Onyung, President, Ship Owners Association of Nigeria (SOAN).

Also leading presentations at the event are Mr. Isiaku Abdulahi, Managing Director, Petroleum Products Marketing Company (PPMC); Mr. Tunji Oyebanji, Managing Director, 11 PLC; Mr. Adeyemi Adetunji, Group Executive Director (Downstream), NNPC; Mr. Clement Isong, Executive Secretary Major Oil Marketers Association; Dr. Muda Yusuf, immediate past Director General of the Lagos Chamber of Commerce and Industry; Mr. Damilola Olakunle-Ajayi, Downstream Commercial Executive · IBILE Oil & Gas Corporation; Dr. Mohammed Ibrahim, Chairman, National Gas Expansion Programme; Mr. Nnamdi Obiag wu, Chief Executive Officer, Eterna Plc; and Mr Emmanuel Omujine, Head, Strategy &Business Development, Rainoil Limited among others. Invited special guests include Group Managing Director of Nigerian

National Petroleum Corporation (NNPC) Mele Kyari, to deliver a Keynote Address on the theme of the event – ‘Downstream in Transition – Getting Set’, Senator Sabo Mohammed, Chairman, Senate Committee on Downstream Petroleum Resources; and Engr. Auwalu Sarki, Direc tor/CEO Department of Petroleum Resources (DPR). The annual OTL Africa Downstream Week is the continent’s leading b usiness forum for market insights, emerging opportunities, products’ showcase and recognition of excellence in the African downstream petroleum value-chain. It features a strategic conference and a dedicated industry exhibition. Popularly referred to as The Africa Downstream Week, it is organised in collaboration with key partners in government and the industry.

REA Participates in the Kaduna Economic and Investment Summit, Commissions a 100KWP Solar Hybrid Grid economic growth and development for several sectors in Kaduna State and the entire country.

he Rural Electrification Agency (REA) participated in the sixth edition of the Kaduna Economic and Investment Summit (KadInvest 6.0) with the theme ‘Towards a Sustainable Knowledge Based Economy’ held at the Umaru Musa Yar’adua Hall, Murtala Square, Kaduna State. Also, the Agency commissioned a 100kWp Solar Hybrid Mini Grid at Kasuwan Magani, Kajuru LGA, Kaduna State. The Managing Director/CEO of REA was represented by the Executive Director, Rural Electrification Fund (REF), Dr. Sanusi Ohiare, at this summit which is a major vehicle for job creation,

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The two-day event witnessed the presence of Prof. Yemi Osinbajo, SAN, GCON, Vice President of the Federal Republic of Nigeria, the Executive Governor of Kaduna State, Malam Nasir Ahmed El-rufai, Honourable Minister of Power, Engr. Abubakar D. Aliyu amongst numerous dignitaries who shared their thoughts on developmental opportunities. Dignitaries, investors and stakeholders engaged with various organizations including the REA on their activities and programmes. Furthermore, stakeholders from different sectors had the opportunity to visit the REA booth where a team from the Agency engaged them on the opportunities under the various programmes and initiatives implemented by the Agency such the Rural Electrification Fund, Nigeria Electrification Project (NEP),

Energizing Education Programme (EEP), Grid Extension (Capital Projects), Energizing Economies Initiative (EEI), Solar Power Naija Programme – Enabling 5Million Connections, Energy for All – ‘Mass Rural Electrification’, Research and Innovation Hub as well as the electricity sustainability platform Rural Electricity Users Cooperative Society (REUCS) which are all geared towards providing sustainable electricity to unserved and underserved areas across the country as mandated by the Federal Government. In this view, the Agency aims to attract investment and developmental collaborations. The first day of the summit concluded with the commissioning of a 100kWp Solar Hybrid Mini Grid at Kasuwan Magani, Kajuru LGA, Kaduna State deployed by the REA through a Public Private Partnership with Blue Camel Energy Limited under the Rural Electrification Fund projects. This project provides constant and reliable electricity to over 500 shops in the market, 1 commercial Bank, 1 Police Station and 1 Fire Service Station. With this successful commissioning, the REA continues to deliver on its mandate of providing access to reliable electric power supply to unserved and underserved areas across the country.

INDUSTRY EVENT

Nigeria, Others to Save Over $774b Through LPG Adoption Amid Rising Costs ...Stakeholders raise concerns over the continent’s clean energy outlook

y achieving 50 per cent market penetration, Nigeria and other African countries can save more than $774 billion by intensifying the adoption of Liquefied Petroleum Gas (LPG) as a cleaner cooking fuel alternative by 2030. Insisting that adoption remained key to the achievement of the United Nations S ustainable Development Goal number seven of universal access to energy, the experts who gathered at the 15th anniversary of the African Refiners and Distributions Association (ARDA) yearly conference, noted that the total cost of continuous use of biomass, charcoal and other pollutants as cooking fuels rather than cleaner alternatives like LPG amounted to over $774 billion. Despite the rising costs of LPG locally, exper t s added that continuous use of dirty fuels could lead to premature deaths, increased childhood and adult illnesses, attendant environmental issues and strain on the healthcare system. LPG serves as one of the best nearterm alternatives to reduce Africa’s carbon footprint and switching customers on the continent to utilise

it for up to half their fuel needs over the next decade could enable Africans to enjoy these huge savings. Speaking about the role of LPG in Africa’s energy transition at the event, Executive Director at Sahara Group, Temitope Shonubi said converting just 30 per cent of Africa’s vehicle fleet to run on LPG would result in $3 billion yearly fuel-cost savings and approximately 40 billion grams in CO2 emission reductions. Shonubi also noted that the indirect cost savings (from health and infrastructure) would exceed $15 billion yearly. He further disclosed that only six African nations have combined LPG storage capacity greater than 50,000 metric tonnes (MTs), stressing that such lack of largescale infrastructure would lead to uneconomic cargo sizes thereby resulting in increased landed LPG costs. Stating that Africa consumes only four per cent of global LPG demand, Shonubi noted that affordability, p u r c h a s i n g p o w e r, l i m i t e d infrastructure, safety concerns as well as the cost of cheaper

alternatives have accounted for low LPG penetration on the continent. To grow the continent’s LPG consumption, Shonubi stated that strategies and policies must be implemented to promote investments in LPG storage and distribution infrastructure, encourage financing schemes (e.g. pay-as-you-use) to make LPG more affordable. He said the strategies must also target environmental impact rewards programmes for switching to LPG, enforcement of safe LPG practices and education of the public to counter negative perceptions of LPG use. Executive Secretary of ARDA, Anibor Kragha and other experts had earlier warned of imminent danger if Africa fails to quickly adopt modern clean energy as over 850 million Africans still depend on solid fuels (biomass) for cooking. According to him, without strategic efforts towards energy transition, especially replacement of solid cooking fuels like biomass and charcoal with cleaner alternatives like LPG, over 600,000 Africans yearly will continue to die prematurely due to household air pollution.

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INDUSTRY EVENT Kragha insisted that there should be no going back on the implementation of an actionable roadmap that will effectively transition Africa’s current primary energy mix towards a more sustainable, lower carbon footprint.

PTI Holds 2021 Pre-Conference Lecture ...Stakeholders raise concerns over the continent’s clean energy outlook

Chairman, The Global LPG Partnership, Kimball Chen, who also spoke at the event, said LPG markets are already established in Africa with downstream marketers/ investors in place and interested in the growth of the sector. While adding that functional LPG policies, regulations, standards and market models are being widely implemented across Africa, Chen said global development institutions and multilateral banks continue to hold back on scaling up support for LPG because it is still considered a fossil fuel. Chen stated: “Governments urgently seek LPG sector growth, especially to meet clean cooking needs of growing, urbanizing populations”, but noted that to accomplish this a combination of private sector investment in the LPG sector and support from global development institutions and multilateral banks for green BioLPG projects would be needed. According to him, capital markets and major private sector companies are moving forward on an initial wave of BioLPG production projects as bioLPG is produced from natural sources such as agricultural residue and municipal waste while having the same clean energy benefits as traditional LPG. “Blending of BioLPG into African refinery LPG and imported fossil LPG offers a viable path for continued investment and growth of the LPG sector as the BioLPG proportion of LPG production and consumption grows. ARDA members can benefit from shared research and development into BioLPG technology that can be implemented at scale in the next ten years,” Chen noted.

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Engr. Justice Derefaka T.A to HMSPR

as is seen as the energy of the future and Nigeria has over 200 Trillion Cubic Feet (TCF) of proven gas reserves and over 600TCF of unproven gas reserves, which if properly harnessed will keep the country relevant in the energy space as the world transits from fossil fuels to green and cleaner energy. As part of the Federal Government’s gas revolution agenda, President Muhammadu Buhari, in March, launched the “The Decade of Gas” programme, which aims to make Nigeria a gas-powered economy by 2030. Buhari noted that the current global trend in favour of green and cleaner energy presents the country with an opportunity, adding that Nigeria is a gas nation. He said, “Nigeria is gas nation, rich in oil. But the country has focused on oil over the years. This is a paradox that we have decided to confront by declaring the Decade of Gas. “The rising global demand for cleaner energy sources has offered Nigeria an

opportunity to exploit gas resources for the good of the country. We intend to seize this opportunity,’’ he said. “Global developments have indeed presented Nigeria an opportunity. Gas will become the dominant fuel for generating power, especially in Africa and Asia. The question now is ’Can we rise up to the challenge?” Speaking in this regard at the Petroleum Training Institute, Effuru, International Conference on Hydrocarbon Science and Te c h n o l o g y p r e - c o n f e r e n c e lecture with the theme “Gas Flare Commercialization: From Concept, Design to Commercialization” in mid September, the Technical Adviser (TA) on Gas Business & Policy Implementation to the Honourable Minister of State, Petroleum Resources,

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The rising global demand for cleaner energy sources has offered Nigeria an opportunity to exploit gas resources for the good of the country. We intend to seize this opportunity,

INDUSTRY EVENT Federal Ministry of Petroleum Resources (MPR), Engr. Justice Opelamina Derefaka, noted that the Nigerian Gas Flare Commercialization Program (NGFCP) & the National Gas Expansion Program (NGEP) offer the country a unique opportunity. Derefaka said that prior to 2017, there was the need for a fundamental review of the policy positions of the Federal Government over the last ten (10) years with respect to the country’s gas resources. Notably, he said that the shortcomings of the 2008 Gas Master Plan (GMP) in attracting the needed private sector investment for building critical infrastructure and developing a mature domestic gas market by the target-year of 2015, made the National Gas Policy (NGP or The Gas Policy) set out quite clearly that the government is making Nigeria a “gas play” and not an “oil play”, in view of the volatility of crude oil price. He noted that the Policy aims to move Nigeria from a crude-oilexport-based economy to a gasbased industrial economy; articulate government’s policy thrust and agenda for promoting investment in gas as an alternative means for generating revenue and driving

economic growth. “The Policy notes that while the 2008 Gas Masterplan recorded some successes with growth at 3.1 percent a year, it only barely kept pace with the national population growth of Nigeria which is approximated at 2.8 percent per annum,” he said. “This implies that there was insufficient growth in the development of Nigeria’s gas in real terms. However, the policy still makes growing domestic market its priority while developing a significant presence in international markets.” According to him, the policy revolves around developing national human resources, infrastructure, industry structure, gas resources, building gas markets, and internal and external communication strategies. He informed that the objective of NGEP is “To reinforce and expand gas supply as well as stimulate demand in the country through the effective and efficient mobilization and utilisation of all available assets, resources and infrastructure in the country.“ Derefaka explained that NGEP is

conceived and designed to serve as a catalyst for adding value to the vast natural gas reserves Nigeria is endowed with; identify existing policy, legal and regulatory frameworks, and commercial instruments that are hindering the development of the local gas sector; reform and implement the promotion of a market structure in a manner that will ensure the utilization of gas infrastructure, assets and facilities on a common carrier and co-sharing basis; formulate strategies that will promote cost-effective distribution of the various gas streams by marine, rail and road for achieving the most affordable, available, acceptable and accessible gas to Nigerians; and engage all state and non-state actors in sensitization programmes on all aspects of safety in relation to gas utilization in the country.

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“The Policy notes that while the 2008 Gas Masterplan recorded some successes with growth at 3.1 percent a year, it only barely kept pace with the national population growth of Nigeria which is approximated at 2.8 percent per annum,”

Participants at the PTI Pre-Conference event

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INDUSTRY EVENT He noted that NGEP has the capacity to reduce poverty by making locally available, produced, affordable and accessible fuel to mostly underserved communities in the country, thus contributing to job creation and human capital development through new investments in the gas sub-sector.

Derefaka noted that natural gas is an abundant, secure and flexible source of energy and the high levels of anticipated demand can easily be met by known levels of recoverable natural gas resources, adding that “As technology advances, so does our ability to unlock the world’s and Nigeria’s natural gas resources.”

Gas as a bridge fuel

Citing International Energy Agency (IEA), he said that presently, global proven gas resources stand at circa 769tcf (Nigeria’s share is circa 206tcf), enough to supply global gas demand for 219 years at current levels of demand.

Derefaka stated that meeting growing global demand for energy, while tackling climate change and pollution, is a fundamental challenge facing society. He suggested that a transformation of the global energy system is needed. This, he said, will take place at different paces depending on a range of factors; from national policies to the technologies and products consumers choose. “A major contribution we can make right now is to continue to expand the role of natural gas,” he said. “First, the world needs oil (and gas for that matter). The world needs oil and gas because it is what the world relies on for so much including, often, its most basic needs of heat, food and shelter. And that will not change overnight. Therefore, the FG will continue to invest in oil and gas, even as we work to help speed progress to a lower-carbon future.”

“For countries with large domestic natural gas resources like Nigeria, the impact of developing substantial additional volumes of natural gas can transform economies,” he explained. “Pumped through pipelines, gas can be cost- effectively transported over long distances and as part of an integrated gas transport network (e.g., AKK, OB3 & ELPS I &II).” Derefaka said that despite the promise of renewable electricity, it cannot provide all the world’s energy needs. He argued that after a period of rapid growth, renewables account for around one-quarter of global electricity generation, with wind and solar energy sources accounting for

around 5 percent of global electricity generation presently. “Renewables, such as solar and wind power, are also intermittent, requiring sufficient back-up to ensure reliable electricity supply when there is limited sun or wind,” he argued. “Using natural gas is already helping to reduce carbon dioxide and improve air quality where it replaces coal or diesel. Gas also supports an increasing role for renewables. This will be important as the use of electricity expands.” According to him, “gas will also continue to play a critical role in sectors where demand is anticipated to grow, but which are more difficult to electrify, such as the production of steel, cement and chemicals, as well as long-distance transportation of people and goods,” adding that gas is what the world needs as it faces up to a period of profound change. Gas and renewables Some people would have loved to have fossil fuels to be replaced by renewables, but for technical and economic reasons, this cannot happen overnight, Derefaka said.

Engr. Justice Derefaka T.A to HMSPR

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INDUSTRY EVENT “Some industrial sectors could decarbonize over the coming decades – in particular power generation. Other sectors will need more time. And some will continue to need hydrocarbons. Having said that, as a government, we expect renewables to eventually become the largest component of the global energy mix. We think that their share could double from 20% now to around 30-40 percent of the global energy mix by 2060,” he said. This, he further stated, suggests that hydrocarbons will continue to play an important role for decades to come. According to Derefaka, only hydrocarbons can provide a full suite of energy products and address the shortcomings of alternative energies in terms of availability, storage and energy density. “But, at the same time, the world needs to reduce CO2 emissions. This is why I’m convinced the energy mix needs to be based on a greater share of natural gas in combination with renewables,” he noted. “It is the reason why we have declared 2021 – 2030 as the decade of gas development for Nigeria.” Gas utilized vs gas flared Citing the Department of Petroleum Resources (DPR) 2017 Oil and Gas Report, he said that just 11 percent of the total gas produced was flared. While the country’s proven gas reserves stood at 200.79 trillion cubic feet (TCF), about 8.35 billion standard cubic per day was flared during the period (BSCFD). According to him, gas utilization dashboard as of Sept. 15, showed that , out of 6931 mmsc fd, 1623mmscfd was for domestic market, representing 23 percent, while 2770mmscfd was for export, representing 40 percent. The dashboard further showed that 2003 was used as reinjection fuel, representing 29 percent; industries 830mmscfd; gas flared 471mmscfd, representing 7 percent; WAGP 70; power 880mmscfd; and line pack +44mmscfd.

Derefaka referred to flare gas as essentially Associated Gas (AG), which is gas produced with oil as they both come out of the ground. He explained that historically, AG is regarded as a waste product, and it is separated from the oil and flared in situ. However, he said that progressively, AG has been harnessed and used for power generation, fertilizer, methanol and petrochemical plants production; and for production of liquefied petroleum gas (LPG) and liquefied natural gas (LNG). Derefaka further noted that gas flaring is a tremendous waste we cannot simply tolerate, especially from a climate change perspective. “The gas we flare is an important part of the global energy transition, the closest ally to renewables. In a world where we still have about 1.1 billion (i.e. 1 in 6 people on the planet) people without access to electricity (i.e. more than three times the population of the USA).” He informed that another 1 billion people struggle with unreliable supplies of electricity, 95 percent of whom are from sub-Saharan Africa and Developing Asia. Out of this number, he said that Africa has 588 million. West Africa sub region has the highest with 175million closely followed by Central Africa with 172 million. In Nigeria with a population of over 200mln people, he said only a small percentage of Nigeria’s population has access to power supply. NGFCP – The strategic imperative The NGFCP, according to Derefaka, was designed as the strategy to implement the policy objectives of the Federal Government for the elimination of gas flares from Nigeria’s oil and gas fields in the near term (2-3 years), with potentially enormous multiplier and development outcomes for Nigeria. He noted that the policy on gas flaring is also encapsulated in the

National Gas Policy approved by the Federal Executive Council in June 2017, to eliminate gas flaring through technically and commercially sustainable gas utilization projects developed by competent third party investors who will be invited to participate in a competitive and transparent bid process.

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as a government, we expect renewables to eventually become the largest component of the global energy mix. We think that their share could double from 20% now to around 30-40 percent of the global energy mix by 2060,” According to him, the comm ercialisation ap p roa ch has been considered from legal, technical, economic, commercial and developmental standpoints, adding that it is a unique and historic opportunity to attract major investment in economically viable gas flare capture projects whilst permanently addressing a 63 year environmental problem in the country. Under the programme, he said that third party investors are to access and utilize flared gas and convert same into Flare-Gas-toMarket-Products (FG-2-MP) and demonstrate project development experience and proven technology in commercial application, adding that a structure has been devised to provide project bankability for the Flare Gas Buyers, which he said is essential to the success of the Programme. C o n s i s t e n t w i t h N i g e r i a ’s commitments for reduction of green-house gas (GHG) under t h e P a r is Cli m a te C h a n g e Agreement, Derefaka said the Programme would reduce Nigeria’s CO2 emissions by approximately 13 million tons/year, which could be monetized under an emission credits/ carbon sale programme.

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INDUSTRY EVENT

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“The gas we flare is an important part of the global energy transition, the closest ally to renewables. In a world where we still have about 1.1 billion (i.e. 1 in 6 people on the planet) people without access to electricity (i.e. more than three times the population of the USA).” “NGFCP is the first market-driven program undertaken on this scale globally – Bidders will have flexibility of choosing which flare site(s) to bid for, the gas price, and the end market or gas product, as well as the technology to be used,” he said. NGFCP ticks 13 of the 17 Sustainable Development Goals (SDGs) of the United Nations, according to him. And will stimulate action over the next 2 - 3 years in 5 areas of critical importance to the SDGs’ which he said include: People, Planet, Prosperity, Peace & Partnership. Dirty energy is harmful to the environment In his address at the pre-conference, titled “Challenges of Energ y Transition: Nigeria Perspectives”, Principal/Chief Executive of PTI, Nigeria, Dr H.A Adimula, listed mining, drilling and burning dirty energy as activities harmful to the environment as they cause land degradation, water pollution, release of GHG emissions which leads to global warming. Citing BP’s Statistical Review of World Energy 2018 and International Energy Agency Balances 2017, he said that oil accounts for 34 percent of global energy mix, natural gas 23 percent, coal 28 percent, nuclear 4 percent, hydro 7 percent, and renewables 4 percent. 22

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Dr H.A. Adimula Principal/Chief Executive of PTI

According to him, “…energy transition involves continuous improvements in energy efficiency, the development of a quality market for energy, a continuous increase in the use of renewable energy sources, improved energy management, continuous technological progress, and continuous improvements in citizens’ and the economy’s education and awareness of examples of good practices.”

He attributed the wastage to outdated and inefficient equipment and production processes, and unwholesome practices etc.

Increasing transition

He also argued that “the expected changes in the energy sector, as a consequence of climate and energy policies, call for changes in the education system” as well as increased investment in research and development.

Adimula noted that the increasing transition from primary energy sources to cleaner ones will have serious socioeconomic and political implications for Nigeria because the country is just beginning to take steps to diversify its economy. He stated that gas is the sure way to transit to cleaner energy but in the case of Nigeria, there is an aspect that is yet to be given due consideration, adding that IEA’s reports shows that energy efficiency is ahead of renewables in terms of cutting down emissions. According to him, over 42,160.87 megawatts of electricity out of 88, 566.43 megawatts is wasted. “In Nigeria, a lot of energy is wasted because households, public and private offices, as well as industries use more energy than is actually necessary to fulfill their need,” he said.

The PTI boss advocated for investment into energy efficiency as it can provide additional economic value, stressing that it will result in higher productivity, save cost, influences safety of life and reduces pollution.

Adimula suggested the country looks into Super-fuel H2 Gas as it does not emit CO2, and currently used in refinery and manufacturing of fertilizers. “Green H2 tops the eco-friendly table, and it’s being produced by electrolyzing water using renewables. H2 is currently gaining the attentions of investors and policy makers in the western world,” he said. He explained that what makes H2 gas is that it is not conventional renewables because it has to be separated from H20 and has a high energy content to fuel the aviation, shipping, steel, and concrete industry unlike other conventional renewable.

INDUSTRY EVENT

Renewable Energy Transition will be a mix of several energy types across worlds – OGTAN Daniel Terungwa renewables,” Onyechi said. Mazi Onyechi announced that “OGTAN recently partnered with Energy Training Centre to begin the journey of understanding the multitude of terminologies, technologies, opportunities and risks that must be encountered, understood and applied for positive gains from the new energy thrust of our nation especially against the impactful changes that the new industry law, the PIA brings into all these novelties.” One of the guest speakers, Engr. Justice Derefaka, the Technical Adviser on Gas Business and Policy Implementation to the Honourable Minister of State Petroleum Resources, said the country’s gas reserves is projected at 210tcf by 2025 and 2020tcf by 2030.

resident of the Oil and Gas Trainers Association of Nigeria, OGTAN Mazi Sam Azoka Onyechi has predicted that the outcome of the country’s renewable energy transition will be a mix of several energy types across worlds. He made this assertion in his welcome address at the OGTAN Lectures Series, titled “Nigeria’s Energy Sector, a review of the Decade of Gas and the PIA impacts, Economic and Sustainability Perspective,” which held virtually on the 11th of October, 2021. Mazi Onyechi noted that gas is the way forward for Nigeria as the country is endowed with the resource and despite the clamour for renewables to replace fossil fuels, the transition is a gradual process and cannot happen overnight. “We are now speaking the language of gas, and whereas the clamour is on renewables in place of fossil fuels, the truth as Engr. Simbi Wabote would say, “there is no magic wand, there is no witch around to flip one

type of energy, automatically to another. “The predictable outcome of the renewable energy transition is going to simply be a mix of several energy types across worlds and energy requirements for a very long time with a gradual but definitely steady shift towards the zero-carbon emission goal,” he said. The President of the apex oil and gas institution stated further that, the virtual lecture which is the third in the year, was to access the inherent potentials of the Petroleum Industry Act (PIA) to create the necessary framework to support the gas sector in meeting several long-term energy challenges of the nation, including power generation, domestic gas utilization and supplies, etc. “This class would also review the impact of the PIA and its fate in the current energy environment, where the western world seemingly in opposition to our gas initiatives, are advocating defunding of fossil fuel projects, including gas as a result of the global energy transition to

He emphasised that the gas industry will serve as a propeller for the development of other sectors of the economy through the provision of raw materials and products. “According to DPR, our current gas reserves as of the middle of this year is 206.53 trillion cubic feet of gas with an upside potential of 600tcf of gas. We have a projection to 210 tcf of gas by 2025 and 2020 tcf by 2030. “This industry serves as a catalyst for the development of other sectors of the economy through the provision of raw materials and of course end products such as chemical products, power supply, gasoline to other sectors, such as agriculture, manufacturing, pharmaceuticals and the transportation industries. It is key to our nation’s development.” Engr. Derefaka said the idea about the Nigerian Gas Flare Commercialization is to move towards the direction where the country is in tune with the sustainable development goals of the 17 SDGs of the United Nation.

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INDUSTRY EVENT

NCDMB Holds Workshop on Expatriate Quota Management

He highlighted the significant role digitalization will play as a key enabler towards the actualisation of renewable energy transition.

Magaret Nongo-Okojokwu He noted that “Professional associations like OGTAN have a critical role to play as key energy stakeholders as they build capacity through the development of new knowledge, understanding and insights and can therefore provide effective solutions to complex problems.” Engr. Derefaka urged OGTAN to design its suites of training across the broad spectrum of the oil and gas sector and embed digitalization companies into the process. Other guests who spoke at the lecture include: Mr George Etomi, Principal Managing Partner George Etomi and Partners Law; Charlotte Essiet, Director Government Relationships, AOS Orwell Limited; Dr Abubakar Abbas; Lecturer and Programme Leader, M.Sc Petroleum and Gas Engineering, University of Stanford, UK; Nobert Shailsuk, CEO Energy Projects Limited. While Emokiniovo Dafe Akpedeye, the Managing Partner Compos Marines Legal Practitioners and Afolabi Davidson, Head Business Development and Content Management ETC were both moderators of the panel. They are of the unanimous opinion that the PIA will help deepen local participation in the industry and that it is pivotal to driving interests and investments in natural gas as a tool for economic development. The Speakers called on the government to look inwards, diversify and also address some critical issues such as inadequate infrastructure, the gas debts, electricity distribution issues, security and governance issues among others.

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Engr. Simbi K. Wabote E.S NCDMB

provide an opportunity to educate the stakeholders of the possible benefits of using the NOGIC JQS platform through the different modules.

The workshop was held in Lagos and Port Harcourt and was aimed at creating awareness and extending the Expatriate Quota management initiatives to midstream and downstream sectors and other agencies of government.

Other objectives of the workshop included extending Expatriate Quota Management initiative to midstream/downstream companies operating in the Oil and Gas Industry and strengthening compliance with the NOGICD Act and discussing Expatriate Quota application process, Temporary Work Permit processes and Expatriate Biometric Data Capture Scheme.

Welcoming the guests, the Director, Planning, Research and Statistics (PRS), Mr. Patrick Daziba Obah who represented the Executive Secretary, NCDMB, Engr, Simbi Wabote hinted that the workshop would showcase features on the NOGIC-JQS portal to the industry stakeholders and

Obah commended some of the companies that had successfully received the Board’s Expatriate Quota (EQ) approval and urged other stakeholders’ to constantly update their NOGICJQS Basic information to reflect their company capabilities

h e Nigeria n Co ntent Development and Monitoring Board (NCDMB) recently held stakeholders’ sensitization workshops on Expatriate Quota Management Initiative for midstream and downstream companies in the oil and gas industry.

LOCAL CONTENT

NCDMB Hands Over Ultramodern Technical Workshops in A/Ibom State Magaret Nongo-Okojokwu The Executive Secretary decried the low level of students’ enrolment into TVETs institutions, which is less than one percent of the total enrolment in conventional secondary schools. Noting that youths make up more than 50 percent of the nation’s population, he regretted that the nation is yet to fully harness its potential in driving economic growth as many young people are faced with challenges ranging from lack of practical skills, unemployment and illiteracy, among others. He also challenged youths of the country to acquire marketable skills and competencies that will position them to overcome the high rate of poverty, social vices, unemployment and underemployment in the country.

he Nigerian Content Development and Monitoring Board (NCDMB) recently handed over ultra-modern Wo o d w o r k a n d C a r p e n t r y workshops it renovated and upgraded at the Government Technical College, (GTC) Abak, Akwa Ibom State. The commissioning of the facility was performed by the Governor of Akwa Ibom State, Mr. Udom Gabriel Emmanuel, represented by the Secretary to the State Government, Dr. Emmanuel Ekuwem and the Executive Secretary of NCDMB, Engr. Simbi Kesiye Wabote. In his address, the Executive Secretary disclosed that NCDMB invests in the rehabilitation of Technical and Vocational Education and Training Institutions, (TVETs) because they provide platforms to job creation and self-empowerment. He added that the development of skilled technicians drives the socioeconomic growth aspirations of the President Muhammadu Buhari’s administration and engages youths in productive ventures. He emphasized the need to provide high quality manpower training and skills development for the teeming youths in the country, which was why the Board undertook a study on TVETs in Akwa Ibom, Bayelsa and Rivers states to understand the factors militating against the optimal performance of those institutions.

He mentioned that the Board ha d f inalized plans for the implementation of a public-private in collaboration with the Akwa Ibom State and a specialist modern furniture production firm, owned and managed by an indigene of the Abak community, in which a certain percentage of the proceeds will be ploughed back for the operational maintenance of the facilities to achieve self-sustenance. Wabote commended the Abak community and Akwa Ibom State Government for their cooperation in actualizing the projects, stating that the Board’s decision to have earmarked GTC, Abak as one of the flagship beneficiaries of its institutional upgrade program was not an effort in futility. He thanked all stakeholders for the zero-incidence recorded and the unparalleled hospitality the Abak community extended to the contractors and personnel. He charged the technical institution which is one of the foremost in the region to become a Centre of Excellence in carpentry/woodwork through the provision of highquality training to both teachers and students in an affordable, safe, sustainable and efficient manner, while satisfying the yearnings of the local and international furniture industry as part of efforts to create wealth and diversify the economy while increasing foreign exchange earnings.

He hinted that harnessing and refocusing the creative energies of youths to productive endeavours through an aggressive skills development training in various relevant trades will foster sustainable development. In his remarks, the Governor commended the Board for partnering with the state to renovate and upgrade the technical facility to create job opportunities for skilled manpower, which illustrates patriotism and commitment to national development. He asserted that the project was in line with the administration’s industrialization policy of taking youths off the street through efficient skills acquisition and empowerment, and an incubation process of converting these skills into entrepreneurial gains and self-reliance. The Executive Chairman, Akwa Ibom State Technical Schools Board, (ASTEB), Elder Godwin Udom also stated that the cardinal objective of technical schools is to train persons in diverse practical fields, adding that such schools needed standard and wellequipped workshops with specialized instructors in different Elder Udom expressed gratitude to NCDMB for the project, noting that the project which commenced on January 27, 2019 was now ready for the students to acquire modern skills in furniture making and for the staff to update their knowledge and also assist the unemployed in the community. The Principal-General of GTC, Abak, Elder Friday Emmanson Udoka also expressed appreciation to NCDMB for choosing the school for its demonstration of technical education advancement. He pledged to ensure that the facilities will be put to maximum use, improving the knowledge and skill of the students and staff. The Principal-General enumerated other assistance received from the Board to include training of two science teachers and provision of three computeroriented machines for teaching science subjects and other related subjects to the students.

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LOCAL CONTENT

NCDMB, Partners to Complete 4 Projects in 4th Quarter 2021 Magaret Nongo-Okojokwu Katsina, Kano, Lagos, Nasarawa,Niger Plateau, Rivers, and Zamfara states. The NCDMB boss explained that the Board committed equity investments into strategic projects that align with Government’s policies with a view to catalysing them to success and would exit once those businesses become successful. The investments were also in line with the Board’s vision “to be a catalyst for the industrialization of the Nigerian oil and gas industry and its linkage sectors,” he added.

our major projects being developed by investors in partnership with the Nigerian Content Development and Monitoring Board (NCDMB) would be completed before the end of 2021, the Executive Secretary NCDMB, Engr. Simbi Kesiye Wabote has disclosed. The projects include the Rungas facility in Polaku, Bayelsa State that would manufacture 400,000 units of Composite LPG Cylinders per annum and BUNORR production plant in Port Harcourt, Rivers State, which would produce 48,000 litres of base oil per day. The other two projects include NEDO Gas’ 80 million standard cubic feet per day gas processing facility upgrade and expansion, plus 300 million standard cubic feet per day KGG manifold in Delta State, and DUPORT Midstream Ltd’s Energy Park, which comprises 2,500 barrels of crude oil per day modular refinery, 40 million standard cubic feet per day gas processing plant and 2 megawatts power plant. The Executive Secretary spoke recently in Abuja at the one-day workshop on the “NCDMB Roadmap, A Catalyst for the Industrialization of

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Nigeria 2017-2027,” organised by the Reform Coordination and Service Improvement Department of the Ministry of Petroleum Resources. He also said that five Liquified Petroleum Gas (LPG) storage/ bottling plants and six LPG Depots being developed in partnership with Butane Energy Limited in 10 states in the North and Abuja would be completed in two phases – six in quarter 1 of 2022 and the rest in quarter 4 of 2022, with the opportunity to create 1,900 direct, indirect, and induced jobs. Wabote also hinted that the Board was partnering with the Lagos Deep Offshore Logistics Base (LADOL) to develop a 24 megawatts power plant at Takwa Bay, Lagos State to provide uninterrupted power supply to the free zone which hosts key facilities required to service the oil and gas industry. The project is expected to generate 400 jobs. According to him, the Board’s partnership investments cut across modular refineries, LPG value chain, and other areas. He stated that that the Board had 23 project sites spread across Abuja, Bayelsa, Bauchi, Delta, Edo, Gombe and Imo State. Other locations include, Jigawa, Kaduna,

Commenting on the functions of NCDMB and the Nigerian Content 10-year Strategic Roadmap, Wabote reported that the Board had recorded considerable progress with the implementation of the roadmap and had grown Nigerian Content from 26 percent to 35 percent within four years and was on track to achieve 70 percent by 2027. On the US$350m Nigerian Content Intervention Fund, which provides affordable and accessible credit to qualified oil and gas companies, he described it as one of the most successful funding schemes in the country, hinting that the repayment rate by beneficiaries has been 99 percent. In his comments, the Permanent Secretary, Ministry of Petroleum Resources, Dr. Nasir Sani Gwarzo lauded NCDMB for its achievements, adding that the Board was on the right trajectory in implementing it mandate and impacting linkage sectors. He charged the Executive Secretary to remain committed to the same trajectory of deepening Local Content implementation for the benefit of the economy and Nigerians. He said the workshop was the first edition of enlightenment series conceived to educate personnel in the ministry on the operations of agencies under the ministry. He promised to deliver a report on the workshop to the Head of Service of the Federation and expressed hope that other ministries would inaugurate similar programmes and use them to build an informed and reformed civil service.

LOCAL CONTENT

NCDMB Denies Pressure to Relocate Headquarters Jerome Onoja

he E xecutive Secretar y of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Kesiye Wabote has denied pressures by some stakeholders or authorities of the oil and gas industry to relocate the Headquarters of the Board from Yenagoa, Bayelsa State.

It added further, “The issues do not constitute sufficient grounds to contemplate or yield to any call to relocate the Headquarters of the Board, considering that the people of the Niger Delta region have consistently demanded for oil producing companies to relocate their headquarters to the region.

This was made known in a press release signed by Engr. Ginah O. Ginah, Ph.D, the General Manager Corporate Communications/ Zonal Co-ordination for the Board and shared on the agency’s social media platforms.

“The position of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act establishing our agency is clear and unambiguous about where our head office should be. The Board will abide by the express stipulations of the Act.”

The statement read in part: “Admittedly, there has been unwarranted and disruptive protests and disturbances at the 17-storey Nigerian Content Tower - the Board’s head office; however, the management of NCDMB recognises that individuals and groups have the right to express their feelings and genuine grievances in civil and responsible manners”.

Recall that some publications had recently reported that industry experts were mounting pressure on the Board to relocate its head in order to protect its personnel following frequent protests from indigenous youths in the region. The latest call for relocation of NCDMB from Yenagoa was led by a group of Concerned Indigenous

Service Companies who are bitter about the spate of insecurity and frequency of protests by different groups in Yenaoga. They noted that insecurity is a major element of high cost of oil production at a time that the Honorable Minister of State for Petroleum, Chief Timipre Slyva is leading campaign for cost reduction below $20 per barrel, to enhance Nigeria’s competitiveness. In a separate event, one captain of industry who preferred to speak anonymously also complained bitterly about the harassment of protesting communities at NCDMB Head Office. He suggested an immediate relocation of the Board to safeguard life of oil workers and investors. “If the Federal Government truly cares for oil and gas workers, the National Assembly will not wait for the death of NCDMB Staff or contractor before granting approval for NCDMB relocation to a peaceful location”, he noted.

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LOCAL CONTENT NigerianNewsDirect had reported that the Managing Director of Standard Oil Field Services Limited, Mr Chizim Andrew in an exclusive interview, reacting to the plan by the Senate to compel relocation of oil companies headquarters to host communities of Niger/Delta, urged Federal lawmakers to stop the bill by Senator Bassey as the purposes will not be realizable. He noted that the decision “must be supported by sound commercial and economic consideration,” not by fiat. According to him, “We are fed up with the incessant violent protests and disruption of work by various Bayelsa host communities,” he lamented. Chizim enjoin e d th e s tate government and traditional rulers to call out the groups leading the disturbances against NCDMB operation in Yenagoa. The Senate had, earlier asked oil and gas companies in the country to relocate to their various operational bases in host communities to ensure smooth operations; and mandated its committees on Petroleum Resources Upstream, Downstream Petroleum Sector and Gas to liaise with the Ministry of Petroleum Resources and the Presidential Implementation Committee on the Petroleum Industry Act (PIA), to work on the relocation. “The Senate is concerned that multinational and Nigeria oil and gas companies have over the years been operating from their respective operational bases until militancy and insecurity in the host communities in the Niger Delta became the order of the day,” the sponsor of the motion Senator Bassey Akpan said. “Also, the reason proffered by the oil and gas companies for not relocating to their host communities has always been due to insecurity and hostilities. “Operating outside the host communities and the operational base is the reason for the high cost of production which has been the bane

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of the country’s oil and gas industry, militating against maximum revenue from crude oil and gas sales to the federation account.” Most oil and gas companies operating in the Niger Delta had relocated their headquarters to Lagos, citing insecurity and hostilities in their host communities as reasons. “Aware that operating outside the host communities and operational base is the reason for the high cost of production which has been the bane of the country’s oil and gas industry, militating against maximum revenue from crude oil and gas sales to the federation account,” Akpan argued. Some of the groups identified by the reports in the incessant protests at the NCDMB head office include: Movement for the survival of Ijaw Ethnic Nationality (MOSIEND); Ijaw Youth Council (IYC, Central Zone); Ijaw Youth Council( IYC, National); Host Communities of Nigeria Producing Oil and Gas (Hostcom); Swali Host Community; Elebele Host Community; and countless other amorphous groups, are making endless demands on the Board. It was alleged that they engage in activities such as violent protest, locking up of office gates, preventing ingress and egress to staff, and so on; a trend experts say will elude Bayelsa state of the potential benefits of the call by the Senate. However, Wabote’s statement concludes, “The Board, therefore, distances itself from any call or purported call for relocation. “Stakeholders are therefore reassured that the Board will do everything lawful and expedient within its powers to engender healthy relationship with our host communities and work progressively to ensure that the avoidable spate of disturbances are brought under control.” Partnership Projects by NCDMB in Bayelsa NCDMB has been playing a key

role in the area of infrastructure across the Niger Delta. So far, the Board has committed a total of US$332million under its commercial ventures partnership program, and targets to attract more project developments in-country valued at US$3.7bn, according to the Executive Secretary of NCDMB, Engr. Simbi Wabote, while speaking at the biennial Nigerian Oil & Gas Opportunity Fair (NOGOF) 2021. Specifically, in Byelsa state, the Board has undertaken quite a number of partnership programmes. Some of these partnerships include Azikel Refinery; Eraskon Nigeria Limited for producing 45,000 litres per day of lubricating blending plant at Gbarain; Atlantic Refinery’s 2,000bpd Modular Refinery with 20MW Power Plant and 2MW BiFuel Plant at Energy Park Brass FTZ and; Rungas Prime Limited 400,000 unit per year LPG Composite Cylinder Manufacturing Plant at Polaku. Also, the Board, the Nigerian National Petroleum Corporation and ZED Energy Limited recently signed shareholders agreement on the construction of Brass Petroleum Products Terminal Limited (BPPT), to be located at Okpoama, Brass Local Government Area, Bayelsa State. The NCDMB and NNPC own 30 percent respectively while ZED Energy – a private firm holds 40 percent. ZED would operate the terminal, which is estimated to cost N10.5 billion upon completion. Some of the benefits of the terminal when it becomes operational, is that it would make refined petroleum products available at riverine communities of the Niger Delta at the standard prices, discourage the operations of illegal refineries and create job opportunities for citizens of the Niger Delta and other Nigerians.

POWER

Power Firms’ Quarterly Revenue Hits N181bn on Tariff Hike

uoyed by the hike in electricity tariff, the revenue collected by power distribution companies in Nigeria rose by 42.3 per cent in the first quarter of this year, compared to the same period of 2020. The Punch reports that the revenue collection increased to N181bn in the first three months of this year from N127bn in Q1 2020, according to data from the Association of Nigerian Electricity Distributors. The umbrella body for the Discos, however, said the collection efficiency dropped by three per cent to 65 per cent in Q1 2021. It said the overall aggregate technical, commercial and collection loss had continued to deteriorate as it rose to 50.3 per cent in March this year from 48.5 per cent at the end of last year. “Due to the implementation of the service-reflective tariff, the total billing and total collection in Q1 2021 reached a new record,” ANED said in its latest quarterly report. The Discos had in September 2020 announced what they called ‘new service-reflective tariff’, with the tariffs being charged residential consumers receiving a minimum of 12 hours of power supply rising by over 70 per cent.

But following opposition by labour unions, the Federal Government agreed to suspend the tariff hike for two weeks, effective September 28, to examine the justifications for the new policy “in view of the need for the validation of the basis for the new cost-reflective tariff”. In November 2020, the Discos commenced the implementation of the revised electricity tariff that was jointly agreed upon by the organised labour and the Federal Government. ANED noted in the report that the implementation of the servicereflective tariff aligned the end-user needs with the electricity supply industry’s capabilities, adding that the energy delivered to the market in the Q1 2021 grew by 14 per cent, compared to the same period of last year. It said, “After several years with minor increments in the energy wheeled by the Transmission Company of Nigeria, since the implementation of the new service-reflective tariff, the energy delivered to the market has grown by 14 per cent. “As a result of the service-reflective tariff, the Discos distribute more electricity to the tariff band A, B and C areas.”

The service-reflective tariff is based on the hours of electricity supply available to the customers, according to the Nigerian Electricity Regulatory Commission. Customers are categorised into maximum demand and non-maximum demand customers, with different bands (A to E), depending on the level of supply. According to ANED, the 14 per cent increase in the energy the Discos received in Q1 resulted in an increase in energy billed by five per cent, which in turn brought about the 42.3 per cent jump in revenue collection. It said, “The naira equivalent of the energy billed increased as a result of the removal of the subsidy for the Tariff Band A to C. ATC losses increased from 17 per cent to 23 per cent and collection efficiency decreased from 68 per cent to 65 per cent due to the change in tariff crisis in October 2020. “As a result of the pandemic and the turmoil of the tariff increase in September 2020, the moving average of the ATC&C losses deteriorated from 43.3 per cent in February 2020 up to 48.5 per cent by the end of 2020. It has since increased again and currently stands at 50.3 per cent.”

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POWER

Ikeja Electric Introduces SingleView for Prepaid Meter Management

Soetan said the platform serves as a major touchpoint where prepaid meter customers could access personal information such as energy vending records and consumption history.

keja Electric Plc (IE) has announced the introduction of Singleview, an interactive platform designed to enable prepaid meter customers to access their vending patterns and consumption.

According to her, they can also access month-on-month energy consumption, account number, account status, tariff class and rates.

The News Agency of Nigeria (NAN) reports that the platform was unveiled by Mrs Folake Soetan, Chief Executive Officer, Ikeja Electric recently in Ikeja.

She said it also enables customers to make energy payments, check energy consumption and balance, lodge service enquires, requests or complaints.

She said: “As a customer-centric organisation, Ikeja Electric is always forward-thinking, innovative and committed to its customers in order to enhance their experience. “This solution offers convenience and prompt service. We have further given them power in their hands. “The platform will enable customers to access the necessary information with ease. “With the ability to track and understand their consumption and vending patterns, they are able to plan their energy need efficiently.” Soetan said SinglevIew was targeted at only prepaid meter customers within Ikeja Electric network.

Nigeria: TCN Unveils Port Harcourt Power Transmission Office After 11 Years

he acting Managing Director and Chief Executive Officer of the Transmission Company of Nigeria (TCN), Engr. Sule Ahmed Abdulaziz has commissioned the Port Harcourt Regional Office, in Rivers State, 11 years after it was initiated. In his address shortly before he commissioned the ‘Transmission House’, Abdulaziz said the Port Harcourt Regional Office project was initiated 11 years ago and passed through about four Managing Directors/CEOs without being completed. However, within a little over one year under his watch, it has been completed and commissioned as it offers a conducive working environment for the workers, Abdulaziz said in a statement. 30

Soetan said the Business Unit and Undertaking Office covering their location would respond promptly.

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He said, “I am elated to commission ‘The Transmission House’ today. We are also putting in place similar projects in the other regions of TCN. The new office complex provides a safe working environment to staff, boosts staff morale and productivity, provides a conducive meeting place with other stakeholders and also fits into the image of the new TCN.” The Executive Director, Transmission Service Provider (TSP) at TCN, Engr. Victor Adewumi, said TCN was rehabilitating 10 substations under the World Bank-financed projects, and other projects including the installation of transformers under the Siemens deal. The Regional Transmission Manager, Port Harcourt Region, Engr. Udofia commended the management for creating the Uyo Work Centre, a

new substation office and the new regional office all in the region.

SUSTAINABILITY

Eni Reaches an Agreement for the Delivery of a Carbon Neutral LNG Cargo to CPC Corporation, Taiwan

ni and CPC Corporation, Taiwan reached an agreement for the delivery by Eni of a carbon neutral LNG cargo to CPC Corporation, Taiwan, at the Yung An receiving terminal. The LNG will be sourced from the Bontang liquefaction terminal in Indonesia as part of Eni’s contract with Eni Muara Bakau B.V., the joint venture operated by Eni which owns and operates the Jangkrik gas field. The cargo will be certified as Carbon Neutral according to the internationally recognized PAS2060* standard. As part of the transaction, the overall GHG emissions related to the entire value chain of the LNG cargo, including gas production, transmission,

liquefac tion , shipping , regasification, distribution and end use, will be offset through the retirement of high quality nature based credits. In particular, the credits have been sourced from two REDD+ projects certified by Verra**: Luangwa Community Forest project in Zambia and Kulera Landscape REDD+ project in Malawi. The assessments will include a verification of the Projects’ calculated CO2 reductions and/or removals and the criteria of additionality, permanence, leakage and double counting. This is a milestone transaction for Eni, which shows how the company is moving forward in its decarbonization strategy while creating value for its LNG portfolio through own equity projects. Eni’s

long-term strategy aims to achieve full carbon neutrality in its products and operations by 2050, with intermediate reduction targets of Net Lifecycle GHG Emissions (Scope 1, 2, 3) of 25% by 2030 and 65% by 2040 vs. 2018. The GHG emissions of the LNG cargo will be calculated using Eni’s proprietary methodology, that follows a lifecycle approach for the comprehensive accounting of the GHG emissions related to energy products sold, whether derived from equity or purchased production. This methodology is third-party reviewed and provides an integrated view of emissions along the full value chain.

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SUSTAINABILITY

SEPLAT Energy Summit: “Energy Transition Can No Longer be Limited to Incremental Steps”-- Osinbajo. By Ikenna Omeje

H.E Prof Yemi Osinbajo GCON Vice President, Federal Republic of Nigeria

s the world pushes towards clean and greener energy sources, part of measures to reduce global temperature to 1.5 degree Celsius, the Vice President, Prof. Yemi Osinbajo, has said that energy transition can no longer be limited to incremental steps. Osinbajo sated this while declaring open Seplat Energy Summit 2021, which held recently in Abuja, with the theme,”Global Trends in Energy Transition and the Africa Perspective.” Represented by the Minister of State for Environment, Chief Sharon Ikeazor, the Vice President said that energy transition must be a transformational effort, “... a system overhaul based on rapid upscaling and implementation of all available technologies to innovate for the future and this is the right moment to re- access the long-standing assumptions, perceived barriers and default decisions.”

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Energy transition is the pathway that will provide the transformation of global energy sector from fossil based to zero carbon. He said that at the heart of this transition is the need to reduce energy related carbon emissions to limit climate change, which is the goal of the Paris Agreement that Nigeria is signatory to. Osinbajo noted that transformation of the energy sector offers ample oppor tunities for sustained economic development, social inclusion, energy security, improved health, job creation and other societal benefits, if achieved in a just and inclusive manner. “The emerging energy systems must promote resilient economies and societies for a more inclusive and equitable world. Ambitious and targeted options are needed now and through out the coming decade to ensure the goals of SDG 7 are fulfilled and a decarbonized energy

system achieved by the year 2050,” the Vice President noted. Presenting the key presentation on “Balancing Sustainability Revolution with Energy Poverty -- Lessons from Around the World”, Chief Executive Officer of Sustainable Energy for All, the Special Representative of the Secretary-General for Sustainable Energy for All, and Co-Chair of UN-Energy, Damilola Ogunbiyi, said that Nigeria most especially, and other countries in Africa, need to make sure that the energy transition on the continent is part of the energy transition plan on the way to 2030. Ogunbiyi noted that getting to net zero does not mean zero fossil fuel, as some countries actually need some fossils at least now to integrate their renewables, and in most countries that would be gas, adding that it is not right to tell people to stay in poverty while trying to find an optimal solution.

SUSTAINABILITY At least 400 million out of the 560 million people in Africa do not have electricity. She said that these people can be powered in the least cost way via renewable energy and renewable solutions. “We need to make sure that we are thinking about our building sector, our industrial sector, our power sector, our waste sector. What happens to the oil and gas industry, how do people transition to some other form of energy. There is a need for policies to address all these,” she said. “It is important for you to understand the energy mix in your country, what you are trying to eliminate, who you are trying to provide power for and what is the right mix. Different countries in different stages, but in total, we have been getting very positive yield from African governments.” On his part, Executive Secretary of Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote, said that to achieve zero percent emission means that 90 percent of the global source of electricity has to come from renewables within 30 years. Wabote explained that the transition from coal to oil took 160 years, and argued that to achieve net-zero in a space of 30 years would be challenging. “Now to make zero carbon emission within 30 years, you know what that challenge is and what the globe would face to make that transition. It’s also important today for us to realize that the world is facing energy crisis, particularly Europe; because when you look at the statistics, Europe is the largest consumer of fossil fuel in terms of energy, followed by America, and then you talk about China,” he said. Nigeria has about 206 trillio cubic feet of proven gas reserves and over 600 tcf of unproven reserves. Wabote noted that if the country wants to transit, it has to transit to gas as its destination fuel.

“And if we want to transit successfully as a country, then we must transit our definition fuel as said by the minister of science and technology to the gas. But this cannot happen if we sit down and continue to have the conversation without doing something. Because when it went from coal to oil, we did nothing; and we were forced to follow the oil trajectory,” he said. “Now if it moves from oil to renewable, we would also be pushed to focus on renewable and abandon our natural God-given resources. The gas deposit in Nigeria today, even if we triple the consumption in Nigeria for the next 60, 70 years; we have not gone 50 percent of the gas deposit.” In his goodwill message, Minister of State for Petroleum Resources, Chief Timipre Sylva, said that the recently signed Petroleum Industry Act (PIA) 2021 will undoubtedly assist in harnessing Nigeria’s potential to achieve its plan of increasing oil production to 4 million barrels per day and oil reserves from 37 billion barrels to 40 billion barrels, while also drawing on the country’s estimated 600 trillion cubic feet of natural gas to provide clean and efficient energy. He stated that these resources would be crucial in supplying world market with a broad portfolio of energy options, as well as supporting the global endeavor to alleviate energy poverty as envisioned in goal 7 of the United Nations Sustainable Development Goals; adding that this is Nigeria’s approach to the issue of renewable energy and the energy transition, while acknowledging its commitment to net zero as a nation. “There is no gain saying 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 clamor to emphasis only renewable energy as its soul path way to energy transition is a source of concern for African countries that are still working to achieve base load industrialization address energy poverty and ensure reliable power supply,” Sylva said.

“This is why in Nigeria we reject the concept of a single path way to the energy transition. Indeed we preferred the concept of just energy transition, which takes into cognizance the specific circumstances of each nation in developing the energy transition path way that best achieves the environmental, social, political and economic objectives of the transition in that specific nation.” He argued that multiple energy path ways 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. The key issue is that there must be sustainable and just way of transition so that countries which are left behind can do a catchup, said Group Managing Director of the Nigerian National Petroleum Corporation (NNPC) Mele Kyari. “... there must be a recognition of a transition fuel utilization, which everybody agrees that gas would be the transition fuel. And for us in this country we must take the next practical step to close the energy security gap that we clearly have in our country today. And we can anchor that around the gas resources that we have. We are already doing a lot of work around this, getting infrastructure right in place and lining up partnes.” “We are not out of the oil age, and surely not within those short time frame that we see globally that is been spoken about, but for us what do we do about it? The use of fossil fuel must change, so that they can be much more friendly and much more climate friendly,” he argued.

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SUSTAINABILITY

Shell Donates Subsea Training Facilities to Nigerian Varsity System. Vice Chancellor, University of Port Harcourt, Professor Onwunari Georgewill, commended NNPC and SNEPCo with its co-venture partners for their goodwill to the university and particularly to OTI and canvassed more areas of collaboration between the university and its industry partners. Prof. Georgewell said, “This project’s completion is timely because it latches on to the university’s leadership philosophy, which focuses on advancing education through an integrated learning environment to produce industryready university graduates and workforce.

he Nigeria deep-water arm of global energy giant, Shell, has donated multimillion naira laborator y equipment and software packages to the Offshore Technology Institute of the University of Port Harcourt as par t of th e company ’s Nigerian content human capital development programme delivered in collaboration with the Nigerian National Petroleum Corporation (NNPC). “The donations are aimed at strengthening advanced practical teaching and research in subsea engineering to give the students the required skills and competences for entry level jobs in the oil and gas industry,” Managing Director, Shell Nigeria Exploration and Production Company Limited (SNEPCo), Mrs. Elohor Aiboni, said at a ceremony to hand over facilities to the university. The facilities, valued at over $700,000, are in alignment with the Human Capacity Development Guideline of the Nigerian Content Development and Monitoring Board (NCDMB). Aiboni, represented by SNEPCo’s Social Investment Manager, Dr. Gloria Udoh, expressed optimism

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that with the level of investment by NNPC and SNEPCo in deepwater training via the establishment centres of excellence and donation of cutting-edge information and communication technology centres, among others, Nigerian oil and gas industry would surpass its local content aspiration earlier than projected. “This investment anchored on the maintenance of subsea infrastructure on Nigeria’s pioneer deep offshore field, Bonga, is expected to develop and upskill the cognitive and technical abilities of students who pass through the Offshore Technology Institute for the ultimate benefit of our industry and of our country,” Aiboni added. With the new laboratory and software packages, according to Aiboni, the Offshore Technology Institute is positioned to deliver effective training in engineering design; construc tion and installation of offshore and subsea structures; computer simulations; civil and construction tests; 3D printing/engravement capabilit y; Measurement / Metering Technology and Robotics; Alternative Energy Technologies; and Data Acquisition Learning

“The current administration of the university places a lot of emphasis on university and industry collaboration and partnership. This donation will therefore enhance the achievement of the postgraduate degree-awarding Offshore Technological Institute in the practical context.” Executive Secretary of NCDMB, Mr. Simbi Wabote, described the human capital initiatives of SNEPCo as commendable. “I commend your remarkable and consistent collaboration and partnership with the NCDMB towards the development of in-countr y capacities and capabilities.” Represented by NCDMB General Manager, Corporate Service and Logistics, Mr Halilu Abdulmalik, Wabote said, “Your Nigerian content initiatives are consistent with the objectives and aspirations of NCDMB’s 10-year strategic roadmap, and we hope that necessary adjustments will be made to the curriculum to ensure optimal utilization by students in the university community.”

MARITIME

Tin Can port access road completion will eliminate Apapa gridlock - NPA Daniel Terungwa

he Acting Managing Director of the Nigerian Ports Authority (NPA), Mohammed BelloKoko, has said the completion of the entire stretch of the Tin Can port highway will totally eliminate the perennial gridlock within Apapa and its environs. Bello-Koko, who made this known as a guest on a breakfast programme, monitored recently in Lagos, explained that while the authority is not unmindful of the pains of Apapa residents, what remains is to address the gridlock caused by the failed portion along the Mile 2 – Tin-Can port road. The NPA boss disclosed that the incremental deployment of the electronic call-up infrastructure for cargo trucks, known as “Eto”, which was launched in February this year, has to a large extent, resolved the endemic Apapa vehicular gridlock, even as the authority keeps reviewing and improving the system. Debunking insinuates that the ‘Eto’ system has been compromised, the NPA helmsman said, with the infrastructure upgrades, coupled with the support of the Lagos State Government and other stakeholders, the vehicular gridlock along the Ijora – Apapa axis had reduced by over 80 per cent. He said there will be continuous improvement of the Eto system,

including the deployment of additional physical and IT infrastructure as well as approvals for more transit parks to cushion the excruciating pains of truckers. According to him, as part of efforts to kick-off the electronic call-up system, a fully automated transit truck park was established, while 29 satellite parks were approved to ensure that trucks coming to do business in the port are properly profiled and verified before accessing the port. He said out of the 29 parks, about eight have met the required standards, which include installation of bollards, CCTVs, automated gate systems and relevant IT equipment. He noted that apart from a few isolated cases, where some truck drivers try to subvert the system by not adhering strictly to the truck manifest arrangement with its attendant disruption, the e-call up has been able to streamline cargo evacuation and truck movements, thereby bringing a level of sanity to the roads. The NPA boss declared that a total of 80,000 trucks have so far registered on the ‘Eto’ platform, however, only 16, 000 trucks have met the minimum safety standards.

more work is needed to enthrone safety and prevent accidents within the port area. Bello-Koko equally attributed the elimination of the Apapa gridlock to the new policy introduced by the authority, which compelled shipping lines to ship out no less than 80 per cent of the number of containers shipped in, for every voyage be it empty containers or export cargo. “Over time, we discovered that most shipping lines were storing their empty containers in Nigeria, which was cheaper for them, but we have introduced a policy whereby shipping companies should take back 80 per cent of the laden containers they brought into the country from the stock of empties and export cargo, without which such operators would not be allowed to sail out of the ports. This has also reduced the number of trucks with empty containers waiting on the roads,” he said. The NPA boss stated further that the authority has fully embraced multimodal transportation by encouraging better use of barges and port-rail, for the movement of laden and empty containers in and out of the ports, a development that has brought a significant reduction in the cost of doing business at the ports.

He said this is an indication that

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MARITIME

NPA repositions Seaports to Prioritise Intra-Africa trade

he management of the Nigerian Ports Authority, NPA , has commenced moves to reposition the nation’s seaports in a bid to ensure that Nigeria benefits from the African Continent Free Trade Agreement AfFTA, and to optimize Nigeria’s trade interconnectivity with other African countries. Acting Managing Director of the Authority, Mohammed Bello-Koko, who made this known in his goodwill message at the maiden edition of the Nigerian International Maritime Summit, NIMS, which held recently in Lagos, also said that NPA has keyed into the Federal Government’s agenda to lift 100 million Nigerians out of poverty within a decade just as it has prioritized the expansion and improvement of port infrastructure, including ICT and security systems, in order to significantly bring down transportation costs of Nigeria’s trade within the continent and globally. Bello-Koko who was represented by the Executive Director, Marine and Operations, Hon. Onari Brown, also said that given the urgency with

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which the new vistas of opportunity of the AfCFTA beckons, the Authority is eager for actionable ideas and synergistic partnerships that the agreement promises to deliver. “The promotion of the African Union agenda of well-interconnected and integrated networks of transport infrastructure to boost opening of markets and increase intra-regional trade, will serve to complement our ongoing aggressive efforts at attaining seamless port hinterland connectivity through multi-modalism,” he stated. The NPA boss further showered words of praise to the organizers of the summit for taking steps to promote Nigeria as a centre of maritime excellence in the region. He assured industry stakeholders and port users of the unwavering commitment of the Management of Nigerian Ports Authority under his watch to effectively address all the identified bottlenecks in port operations and harness the opportunities AfCFTA avails especially in the area of non-oil export trade.

Maritime, Blood of National, Global Economy – Jamoh

h e D i r e c t o r- G e n e r a l of Nigerian Maritime Administration and Safety Agency, NIMASA, Basir Jamoh has described maritime as the blood of the nation and global economy without which there would not be global trade as it is known today. Jamoh who gave his goodwill message at the 2021 World Maritime Day celebration organized by the Federal Ministry of Transportation with the theme: “Seafarers: At the Core of Shipping’s Future” held in Lagos, said, “Over the centuries maritime has been contributing tremendously to the wellbeing of our lives, but a little out of the people know that without maritime, the existence of the human lives might be more or less difficult. Maritime is the blood of global economy. “Over 90 per cent of our own cargoes are being driven by the maritime industry and it is cost-effective, spacious and environmentally friendly,

MARITIME effective in performance and most importantly, they are much safer and these seafarers have ensured to provide comfortability to the lives of individuals. The DG NIMASA reiterated the importance of Seafarers in the nation’s global trade and called for the prioritization of seafarers. “The seafarers have become a huge significance in the daily lives

of individuals and also a form of value in our transportation sector. Various stakeholders expressed their worries over the foreign dominance of indigenous seafarers despite challenges faced by these seafarers such as low and unpaid salaries by ship owners. They stressed the huge gap in the salary structure of the local and foreign seafarers despite doing the same number of duties and obtaining the same qualifications.”

Dr Jamoh stated that their organization has continued to merge paths with the International Maritime Organization IMO on all matters concerning seafarers. “Our role as a regulatory agency is to ensure that Nigerian seafarers are treated fairly by ship owners and employers through the implementation of approved conditions of service and agreed on collectively bargained agreement”.

Turkey, Nigeria Plan to Sign Mining, Hydrocarbons, Energy Deals – Minister

urkey’s energy and natural resources minister Faith Donmez has said that Turkey and Nigeria are planning to sign three agreements in the hydrocarbon, mining and energy sectors during Turkey’s President Recep Tayyip Erdogan official visit to Nigeria.

Nigeria joint economic commission meeting.

The countr y ’s president is scheduled to pay an official visit to Nigeria later this month during which the agreement will be signed.

The minister said that the officials from the two countries discussed cooperation opportunities in the fields of energy and mining as well as industry, technology, agriculture, transportation, health, education, culture, tourism and sports.

Donmez disclosed this recently after the fifth term of the Turkey-

“We reviewed existing trade and economic relations and future investment opportunities and exchanged views on developing bilateral trade and improving the investment environment.”

“We have identified areas of work for cooperation in the coming period, exchanged ideas on what we can do about them and started preparations,” he added. The oil companies of the two countries will evaluate their investments and cooperation options for future projects together. Nigeria, Africa’s largest oil producer, is among turkey’s oil and gas suppliers as Nigeria continues to be the country’s largest trading partner in Sub-Saharan Africa.

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East African Crude Oil Pipeline Project Takes Shape Daniel Terungwa

ganda has started to line up pipe suppliers and land acquisition processes in Tanzania ahead of the kick-off of the construction of the East African Crude Oil Pipeline (EACOP). The EACOP General Manager Martin Tiffen revealed the progress during the Uganda International Oil and Gas Summit (UIOGS) held virtually. Mr Tiffen said the main contracts with suppliers will be signed once the legal and commercial framework is completed. “We have identified four key contractors who are working under conditional award,” he said, noting that EACOP has a number of mills and steel suppliers around the world lined up and ready to meet our specification and delivery schedule. Regarding land acquisition, the General Manager stated that, the focus is on priority areas, such as construction yards, the main camp, piping yards and the thermal insulation plant. His statement has come hardly a week after EACOP Tanzania held a local content workshop in Dar es Salaam with around 500 business people where the government said it had already paid a total of 2.2bn

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being compensation for priority areas. The Director General of Tanzania Petroleum Development Corporation (TPDC) Dr James Mataragio said some 25bn/- others will be paid in the next phase that will involve the construction of the pipeline. “Those who have received the money have already been served with the notice to vacate the premises,” he said. For his part, the Minister for Energy Mr January Makamba said the government is working hard to create an enabling environment for local entrepreneurs to participate in the construction of the project. He said, since 80 per cent of the construction work of the 1443 km long pipeline will be done in Tanzania, then it was the government’s expectation to see a good number of local entrepreneurs take part in the project. The construction of a much awaited project will source 17 types of products from Tanzania, as part of implementation of the local content requirement. “Some of the services that have been reserved for Tanzanian

companies during the project execution include transportation, security, food and beverage and hotel accommodation as well as catering,” he said. A list also has office supplies, land survey, lifting equipment, locally available construction materials, civil works, communication services and waste management. The minister also explained that, during construction, the project will create over 10,000 employment opportunities for Tanzanians, while 1,000 others will be hired after the project becomes operational. On his part, the EACOP Head of Local Content, Olivier Foulonneau, said the company will give priority to Tanzanian nationals and ensure all the contractors promote employment and exceed minimum requirements as stipulated by the law. The law requires that Tanzanian citizens must acquire a minimum of 15 per cent in the management team, 30 per cent in the technical team and 70 per cent for other tasks. “We will generate a total of 300 employment opportunities from the thermal insulation application workshop that will be built in Sojo village, Nzega District in Tabora Region,” he said.

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Equatorial Guinea Proposes Restructuring National Gas Company and National Oil Company with a Potential Merger

n a move to enhance domestic capacity, streamline processes, and position the state-owned companies to better deal with the challenges faced in the oil and gas industry a new hydrocarbon law will be passed in Equatorial Guinea. Recognizing the realities around building a resilient hydrocarbon sector while dealing with energy transition, Gabriel Mbaga Obiang Lima, Minister of Mines and Hydrocarbons, has proposed a National Oil Company (NOC) restructuring process as part of energy industry reform, whereby GEPetrol and SONAGAS will merge into one company. Speaking at the Leadership Insight Series: Equatorial Guinea webinar hosted by the Bilateral Chamber in Houston, recently, Minister Gabriel Obiang Lima provided insight into the possible NOC restructuring, emphasizing that the Ministry is positioning state-owned enterprises as a driving force of the country’s energy sector growth. With emerging large-scale projects, new sizeable discoveries, and significant infrastructural developments anticipated in the sector, the Ministry has emphasized the role that NOCs will play in accelerating progress. This move is central to increasing exploration and production and making

the NOC into a more integrated energy company that will move beyond its responsibility as state asset manager. The move is likely to see the NOC supporting major ef forts toward economic diversification, raising capital to engage in merger and acquisition and operation of assets, at the same time actively driving the energy sector growth in Equatorial Guinea. According to the Minister, the NOC will be a key player in supporting the development of ESG targets in Equatorial Guinea that are transparent, objective, and accessible to IOC partners and other multilateral institutions. The development of local content and building a workforce that leverages the progress that has been made in the past and restoring oil and gas as an attractive destination for younger people. “H.E. Gabriel Obiang Lima is taking huge steps to advance the country’s oil and gas industry. Having a strong National Oil Company while developing competitive fiscal regimes should be done in concert with other measures, such as fine-tuning local content laws and working to ensure greater government transparency — anything that can be done to make Equatorial Guinea more appealing choices for oil and gas companies is welcomed by the Chamber. NOCs have a valuable role to play in Africa, and Equatorial Guinea

should position this new NOC as both a driving force and key facilitator of oil and gas exploration, production, and development. Now is the time to act.” Leoncio Amada NZE; President of the African Energy Chamber, CEMAC Zone and CEO of Apex Industries SA At African Energy Week (AEW) 2021 in Cape Town, a strong emphasis will be placed on current regulatory and structural reforms taking place across the continent, with a spotlight placed on Equatorial Guinea. Africa is in the process of transforming itself into a highly competitive and growth-oriented energy industry, and there are many lessons to be learned from Equatorial Guinea. Leading an Equatorial Guinean delegation to Cape Town in November, H.E. Minister Gabriel Lima will drive a strong discussion on oil, gas, and reform, promoting the country to international stakeholders and accelerating Africa’s energy progress. AEW 2021, in partnership with South Africa’s Department of Mineral Resources and Energy DMRE, is the AEC’s annual conference, exhibition and networking event. AEW 2021 unites African energy stakeholders with investors and international partners to drive industry growth and development and promote Africa as the destination for energy investments.

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.ACROSS AFRICA

Angola Foresees Production of 14 Million Carats Of Diamonds Daniel Terungwa

A year.

ngola has predicted a production of 14 million carats of diamonds per

This was announced by the country’s Minister of Mineral Resources, Oil and Gas, Diamantino de Azevedo. Azevedo announced this after the signing of a contract on mining investment related to the concession of the Chiri, in Angola’s eastern Lunda Norte province, between the diamond firm Endiama and Rio Tinto Group. 40

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The contract was signed by CEO of the diamond firm “Endiama ” Ganga Júnior and Kennerhbe Tainton for Rio Tinto. Under the Presidential Decree no 298/18 of December 05, the exploration area, covered by negotiations with Rio Tinto since April 2019, has an extension of 108 km2 with an exploration period of 35 years. The Mining Investment document foresees, in an initial phase, participatory

interests of 75% for Rio Tinto and 25% for Endiama E.P. and the constitution of a joint venture. Under the five-year contract, there is also the possibility for Angola to increase its stake by 49 percent. Rio Tinto Group is an AngloAustralian multinational company headquartered in London (UK) and in Melbourne (Australia) with representations in more than 20 countries.

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Majorwaves Energy Report OCTOBER 2021, Vol 4 No 10

Alternative Pathways to Net Zero ....a sneak peek at COP26 Intrigues; any hope for Africa?

By Ikenna Omeje, Jerome Onoja

he effects of climate change is being felt by everyone. It’s going to be more devastating for the regions that are least prepared; and Africa among others, tops that list of continents with very little adaptation and mitigation measures in place. While the leaders of oil producing nations in Africa need more time to transit from oil due to lack of capacity before the growing energy needs of a poor population, there are numerous reasons put forward by members of OPEC, its allies and coal-dependent nations. The need for Net Zero isn’t contestable but the pathway and period allowed for transition seems to be the challenge. While climate scientists have strongly advised that immediate actions be taken, the reality before

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the stakeholders speaks otherwise.

Introduction

Is the short supply of gas across Europe and other parts of the world a deliberate ploy to influence the outcome of discussions at the forthcoming United Nations 26th Conference of Parties to take place in Glasgow, Scotland.

Largely due to population growth, the U. S Energ y Information Administration predicts that the current world energy consumption will increase by 56% between 2010 and 2040.

Should stricter measures like penalties be introduced, will the same approach be deployed to ensure sustainable support for poorer nations? Will the UN make room for individual nations to pick later dates for achieving carbon neutrality based on their peculiarity and be allowed to follow them through? This article tries to find answers.

Currently, our civilization consumes around 17.7 Terawatts of power taken from all sources of energy, namely oil, coal, natural gas and alternative energies such as solar, wind, hydropower and others. To paint a clearer picture of 17.7 Terawatts, a single Terawatt can power 10 billion, 100 watt bulbs at the same time! Today, as a result of the effects of green house gas emission (GHG), there is a more serious effort to

COVER STORY

“

our civilization consumes around 17.7 Terawatts of power taken from all sources of energy, namely oil, coal, natural gas and alternative energies such as solar, wind, hydropower and others. IEA Roadmap Furthermore, the agency also articulated several hard-line milestones that would be necessary to reach netzero, including: no approvals of new oil and gas field development and no new coal mines or mine extensions by this year; electric vehicles reaching 60 percent of global car sales by 2030; and nearly 70 percent of global electricity generation produced from solar and wind by 2050. In its report in May on the global pathway to net-zero emissions by 2050, IEA noted that the commitments made to date fell far short of what is required by that pathway.

find an energy source that will not damage the environment and be more easily sustainable and therefore, cheaper. The goal is to to keep energy supplies balanced with the ever growing needs of the world’s growing population. Climate Change scientists have identified the sources and pattern of global energy consumption as the major contributor to global warming of the earth. According to the International Energy Agency (IEA), “The energy sector is the source of around three-quarters of greenhouse gas emissions today and holds the key to averting the worst effects of climate change, perhaps the greatest challenge humankind has faced.”

political pathway on how its targets can be reached. “Our Roadmap shows the priority actions that are needed today to ensure the opportunity of net-zero emissions by 2050 – narrow but still achievable – is not lost. The scale and speed of the efforts demanded by this critical and formidable goal – our best chance of tackling climate change and limiting global warming to 1.5 °C – make this perhaps the greatest challenge humankind has ever faced,” said Fatih Birol, the IEA Executive Director while commenting on the IEA report “Net Zero by 2050: a Road Map for the Global Energy Sector” released in May. “The IEA’s pathway to this brighter future brings a historic surge in clean energy investment that creates millions of new jobs and lifts global economic growth. Moving the world onto that pathway requires strong and credible policy actions from governments, underpinned by much greater international cooperation.”

“The number of countries that have pledged to achieve net-zero emissions has grown rapidly over the last year and now covers around 70 percent of global emissions of CO2. This is a huge step forward. However, most pledges are not yet underpinned by near-term policies and measures. “Moreover, even if successfully fulfilled, the pledges to date would still leave around 22 billion tonnes of CO2 emissions worldwide in 2050. The continuation of that trend would be consistent with a temperature rise in 2100 of around 2.1°C. “Global emissions fell in 2020 because of the Covid-19 crisis but are already rebounding strongly as economies recover. Further delay in acting to reverse that trend will put net zero by 2050 out of reach,” IEA said. Unlike Copenhagen Accord, which did not provide political pathway on how to reach its targets, Net-zero provide

Fatih Birol

The May report, according to IEA, “... is the world’s first comprehensive study of how to transition to a net zero energy system by 2050 while ensuring stable and affordable energy supplies, providing universal energy access, and enabling robust economic growth. It sets out a cost-effective and economically productive pathway, resulting in a clean,

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COVER STORY dynamic and resilient energy economy dominated by renewables like solar and wind instead of fossil fuels. The report also examines key uncertainties, such as the roles of bioenergy, carbon capture and behavioural changes in reaching net zero.” It further noted that “a deep transformation of the way we produce and use energy would need to occur to achieve the 66% 2°C Scenario. By 2050, nearly 95% of electricity would be low-carbon, 70% of new cars would be electric, the entire existing building stock would have been retrofitted, and the CO2 intensity of the industrial sector would be 80% lower than today. The fossil fuel upstream sector may, besides the power sector, also carry risk not to recover investments. Delaying the transition by a decade while keeping the same carbon budget would more than triple the amount of investment that risks not to be fully recovered.

Different Starting and Finishing Points According to a 2021 study by IEA, ‘Net Zero by 2050 A Roadmap for the Global Energy Sector,’ “There has been a rapid increase over the last year in the number of governments pledging to reduce greenhouse gas emissions to net zero. Net zero pledges to date cover around 70% of global GDP and CO2 emissions. However, fewer than a quarter of announced net zero pledges are fixed in domestic legislation and few are yet underpinned by specific measures or policies to deliver them in full and on time”. The report further noted that, the majority of pledges, covering 35% of global CO2 emissions in 2020, target net zero emissions by 2050, but Finland aims to reach that goal by 2035, Austria and Iceland by 2040 and Sweden by 2045. Among others, the People’s Republic of China (hereafter China) and Ukraine have set a target date after 2050”.

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It highlights the priority actions that are needed today to ensure the opportunity of net zero by 2050 – narrow but still achievable – is not lost. Considering a global view, the IEA report didn’t start allcountries in the same place or finish at the same time: advanced economies have to reach net zero before emerging markets and developing economies, and assist others in getting there. The IEA also recognizes that the route mapped out in the report is path, not necessarily the path, and so it examines some key uncertainties, notably concerning the roles played by bioenergy, carbon capture and behavioural changes. Without deliberate, planned and sustained efforts, the IEA report noted that the earth will surpass 2 °C and eventually have to face the resultant effect. It said, “commitments made to date fall far short of what is required by that pathway. The number of countries that have pledged to achieve net zero emissions has grown rapidly over the last year and now covers around 70% of global emissions of CO2. This is a huge step forward. However, most pledges are not yet underpinned by near term policies and measures. Moreover, even if successfully fulfilled, the pledges to date would still leave around 22 billion tonnes of CO2 emissions worldwide in 2050. The continuation of that trend would be consistent with a temperature rise in 2100 of around 2.1 °C. “The Stated Policies Scenario (STEPS) takes account only of specific policies that are in place or have been announced by governments. Annual energy related and industrial process CO2 emissions rise from 34 Gt in 2020 to 36 Gt in 2030 and remain around this level until 2050. If emissions continue on this trajectory, with similar changes in non energy related GHG emissions, this would lead to a temperature rise of around 2.7 °C by 2100 (with a 50% probability).

“The Announced Pledges Case (APC) assumes that all announced national net zero pledges are achieved in full and on time, whether or not they are currently underpinned by specific policies. Global energy related and industrial process CO2 emissions fall to 30 Gt in 2030 and 22 Gt in 2050. Extending this trajectory, with similar action on non energy related GHG emissions, would lead to a temperature rise in 2100 of around 2.1 °C (with a 50% probability),” IEA noted.

“

The scale and speed of the efforts demanded by this critical and formidable goal – our best chance of tackling climate change and limiting global warming to 1.5 °C – make this perhaps the greatest challenge humankind has ever faced,”

Dr. Xiaoli Tang

Dr. Xiaoli Tang, a Senior Economic Advisor, at the Ontario Ministry of the Environment, Conservation and Parks, Canada opines that the transition process takes time. This she made known on the official page of IEA, citing the process of phasing out coal by Canada in Ontario.

COVER STORY “The phase out of coal generation in Ontario, Canada represents the largest GHG reduction initiative in North America and a significant achievement for the electricity sector. On the other hand, however, the entire effort took 12 years to complete, with $4 billion in additional costs to ratepayers. It was not a snap decision for Ontario, and should not be for other developing countries”, she said Africa’s Miniscule GHG Emission Compared with Developed Nations China emits more greenhouse gas than the entire developed world combined, a new report has claimed. The research by Rhodium Group says China emitted 27% of the world’s greenhouse gases in 2019. The US was the second-largest emitter at 11% while India was third with 6.6% of emissions, the think tank said. Also, the integrated Carbon Observation System, publishers of Global Carbon Projects 2020 reports that, as regards a major component of GHG, CO2; in 2019 China emitted 10.2 billion metric tons of CO2 — nearly twice as much as the United States (5.3 billion metric tons) — representing nearly 28% of global emission On the contrary, in total, Africa’s CO2 emissions were just 4% of global fossil fuel emissions in 2017, or 1185 MtCO2. Africa’s Compliance - Nigeria’s Case Regardless of the numbers, African countries commit to their emission reduction targets, despite the lack of capacity and inadequate technologies. Recently, in its effort to mitigate the effects of climate change, Nigeria committed to planting 25 million trees in an attempt to restore 4 million hectares of forest. Nigeria made the commitment to Paris Agreement on carbon reduction along with 196 other countries as climate change adversely impacts

the world. A Carbon Brief report notes that Nigeria is part of three negotiating blocs at international climate talks. These include the G77 and China; the African group and the Coalition for Rainforest Nations. It is also a member of the Organization of the Petroleum Exporting Countries (OPEC). Nigeria ratified the Paris Agreement in 2017. Through this, it pledged to reduce its greenhouse gas emissions by 20% in the year 2030, when compared to “business-as-usual” levels. This pledge rises to 45% on the condition of international support. The Nigerian President said, “On climate change Nigeria stands resolutely with the international community in observing agreed carbon emission targets which I signed in 2015. In other words, if Nigeria were to follow a “business as usual” pathway, it would expect its emissions to reach around 900m tonnes of CO2e a year by 2030. However, it has pledged to reduce this to around 720m through actions to tackle climate change. And, if it receives international support, it will try to keep its 2030 emissions to around 495m tonnes (Carbon Brief). I n t h e s u b m i t te d u p da te s of Nationally Determined Contributions (NDCs) document as at August 2021, Nigeria has proposed stronger and ambitious targets than it last did in 2015 sequel to the endorsement of the Paris agreement. According to Climate Action Tracker, an independent global scientific analysis organisation tracking climate action since 2009, 84 countries have submitted new NDC targets. Of this, Nigeria is one of the five countries (China, Japan, Nigeria, South Africa and South Korea) that proposed stronger NDC targets; 17 countries submitted stronger targets, nine countries did not increase their ambitions, five proposed new targets, while 75 countries out of the 196 parties that signed the Paris pact have not updated their targets as of August 27. In the updated NDC, the Nigerian government has proposed to mitigate four greenhouse gases (GHG), namely, carbon dioxide (CO2), Methane (CH4), nitrous oxide (N2O) and hydrofluorocarbons

(HFCs), as against the three GHG (CO2, CH4 and N2O) proposed in the previous NDC submitted.

“

If emissions continue on this trajectory, with similar changes in non‐energy‐related GHG emissions, this would lead to a temperature rise of around 2.7 °C by 2100 (with a 50% probability).

Natural Gas Shift, Gas Flares Conversion A key indicator among the measures proposed by the IEA report include short term policies which align with long term commitments towards carbon reduction. The Nigeria’s National Gas Policy was launched by President Muhammadu Buhari in Dec 1, 2020. At the 2021 Petroleum Training Institute organised International Conference on Hydrocarbon Science and Technology (ICHST) pre-conference lecture, the guest speaker and Technical Adviser on Gas Business and Policy Implementation to the Honourable Minister of State for Petroleum Resources, Engr. Justice Derefaka assured of the commitment of the Federal Government of Nigeria to the Nigerian Gas Flare Comm ercialization Program (NGFCP) & the National Gas Expansion Program (NGEP) as offering a Unique Opportunity, unlocking all gas molecules as “a favourable combination of solutions.”

“

the entire effort took 12 years to complete, with $4 billion in additional costs to ratepayers. It was not a snap decision for Ontario, and should not be for other developing countries”,

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COVER STORY Africa’s biggest oil producer, however, believes it could use its huge gas resources to achieve its goal of cleaner fuel supply while aiming to complete a full gasoline fuel specification change by 2021. NNPC estimates domestic demand for natural gas rising from current levels pf 1.5 Bcf/d to 7.4 Bcf/d by 2027.

Muhammadu Buhari

The guest speaker said that consistent with Nigeria’s commitments for reduction of GHG under the Paris Climate Change Agreement the Program would reduce Nigeria’s CO2 emissions by approximately 13 million tons/year, which could be monetized under an emission credits/carbon sale programme. NGFCP is designed as an important “climate change action plan” for the nation. NGFCP is the first marketdriven program undertaken on this scale globally. Bidders will have flexibility of choosing which flare site(s) to bid for, the gas price, and the end market or gas product, as well as the technology to be used. The government’s National Gas Expansion Programme (NGEP), aims at the distribution of autogas (CNG) and liquefied petroleum gas (LPG) across gas stations operated by state energy company Nigerian National Petroleum Corporation (NNPC). “ T h e [M uha m ma d u] B uha ri administration is focused on developing the country’s natural gas resources, as part of the government bid to key into the global shift from crude oil to gas,” the country’s oil minister said in a statement. “The plan to develop CNG into alternative automobile fuel will also afford Nigerians cheaper, cleaner and additional fuel.” The government hopes to get up to 1 million vehicles converted from gasoline to CNG by the end of 2021.

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Nigeria is currently ranked as having the 9th largest global gas reserves with over 200 Tcf, according to government estimates.

it has been captured, and believe CCS must play a significant role in the global climate response. CCS projects are happening around the world and the technology is proven but more projects need to be built, the company said. The company has keyed into what the Intergovernmental Panel on Climate Change (IPCC) has said in its latest report in 2018 that the early scaling up of industry CCS is essential to achieving the stringent global warming target of 1.5 degrees Celsius. CCS technology can capture CO2 from existing power infrastructure and heavy, energyintensive industries like cement and steel, the company said.

Carbon Capture and Storage Technology

Companies and Emission Reduction Targets

In an official report of the Joint Workshop held on Carbon Capture and Storage, CO2 for enhanced oil recovery, and gas flaring reduction, by OPEC and the World Petroleum Congress at the OPEC Secretariat in Vienna, Austria, on 8–9 July 2004, the overriding message that emerged from that Workshop was that big reductions in carbon dioxide emissions are possible with the continued use of petroleum, through the application of a technology for CO2 capture and sequestration. Carbon dioxide emissions from power plants and stationary industrial sources account for more than 60 per cent of global greenhouse gas emissions. However, this CO2 can be captured and stored, and, if injected into depleting oil reservoirs, can increase recovery through an “enhanced oil recovery” (EOR) process. Thus, CO2 capture and storage and EOR present opportunities for the oil industry to participate in activities that will substantially reduce emissions, and, in the case of EOR, increase the recovery from oil fields.

The IEA had described its 2050 net zero target as very ambitious and needing every stakeholder to participate. While the activities of government and its policy makers go a long way, the national pathway won’t be successful without active participation from the private sector.

Shell has said that it is investing in carbon capture and storage (CCS) projects which use a combination of technologies to capture and store carbon dioxide (CO2) deep underground. The company said they are also working with partners to find new ways of using CO2 once

Engr. Justice Derefaka

“

“On climate change Nigeria stands resolutely with the international community in observing agreed carbon emission targets which I signed in 2015.

COVER STORY In that light, companies are also making commitments to net zero. But according to IEA, “most companies account for emissions and set net zero pledges based on the GHG Protocol (WRI, WBCSD, 2004), but the coverage and timeframe of these pledges varies widely. “Around 60% of pledges aim to achieve net‐zero emissions by 2050, but several companies have set an earlier deadline of 2030 or 2040,” the agency stated in its recent report on net zero. It further added, “Around 40% of companies that have announced net zero pledges have yet to set out how they aim to achieve them. For those with detailed plans, the main options include direct emissions reductions, use of CO2 removal technologies, such as afforestation, bioenergy with carbon capture, utilisation and storage (CCUS), or direct air capture with CO2 storage, and purchasing emissions (credits generated through emissions reductions that occur elsewhere). “ The use of offsets could be a cost‐ effective mechanism to eliminate emissions from parts of value chains where emissions reductions are most challenging, provided that schemes to generate emissions credits result in permanent, additional and verified emissions reductions. However, there is likely to be a limited supply of emissions credits consistent with net‐zero emissions globally and the use of such credits could divert investment from options that enable direct emissions reductions.

Shell’s Playbook In 2017, Shell announced a longterm ambition to reduce the Net Carbon Footprint of their energy products. In early 2019, they decided to set a Net Carbon Footprint target for 2021 of 2-3% lower than their 2016 Net Carbon Footprint level of 79 grams of carbon-dioxide (CO2) equivalent per megajoule. Within the framework of lowering their net Carbon Footprint, Shell’s strategy

is to keep increasing the share of low-carbon energy products in their portfolio, such as natural gas, biofuels, electricity and hydrogen. The Shell Petroleum Development Company (SPDC) Joint Venture (JV) Afam VI Power Plant in Rivers State, Nigeria is a good example of economic growth and development working side by side with Carbon emissions reduction. Afam VI is a Combined Cycle Gas Turbine (CCGT). It generates electricity from gas turbines and uses the waste heat to produce steam and generate additional power via a steam turbine. The design reduces the carbon emission of the plant and enhances efficiency of electricity generation. The United Nations Framework Convention on Climate Change (UNFCCC) issued the 650-megawatt plant some 541,537 Certified Emission Reductions (CER) credits for its first crediting period between November 1 2012 and October 31, 2013. This made the plant the first energy efficiency project on power generation registered from Nigeria and also the first UN registered Clean Development Mechanism (CDM) initiative in the Shell Group (Shell Nigeria). On the global level, Shell Aviation recently announced its ambition to produce around 2 million tonnes of sustainable aviation fuel (SAF) a year by 2025. It also aims to have at least 10% of its global aviation fuel sales as SAF by 2030. This follows the oil and gas company’s revelation that it is to build a 820,000-tonnes-a-year biofuels facility at the Shell Energy and Chemicals Park in Rotterdam. “Currently, sustainable aviation fuel accounts for less than 0.1% of the world’s use of aviation fuel. We want to help our customers use more SAF,” said Anna Mascolo, President of Shell Aviation. “With the right policies, investments and collaboration across the sector we can accelerate aviation’s progress towards net zero by 2050.

“Last week we announced that we have taken a final investment decision for a new biofuels plant at our Rotterdam Energy and Chemicals Park. Shell also offers certified nature-based carbon credits to offset emissions, and we are exploring other ways to help aviation get to net zero, including hydrogen power.” The announcement came as Shell published two reports looking at how the aviation sector can accelerate its progress towards decarbonisation.

Total/NAPIMS Monetize Carbon Credit The General Manager of National Petroleum Investment Management Services (NAPIMS), Bala Wunti, announced that Nigerian National Petroleum Corporation, NNPC, working with Total Nigeria, was able to market and monetize Nigeria’s carbon credit, earning about one million Euros for the country. According to him, “Through our partnership with Total, we are able to market our credit position, and monetize it. And we have an overall €1 million so far. “This is the first recorded carbon credits proceeds we are receiving on behalf of the Government of Nigeria by the partnership between NNPC and Total”. He explained further that soon the world will know exactly what potential Nigeria can make from carbon credit as the entire industry transitions.

“

NGFCP is the first marketdriven program undertaken on this scale globally. Bidders will have flexibility of choosing which flare site(s) to bid for, the gas price, and the end market or gas product, as well as the technology to be used. Majorwaves Energy Report OCTOBER 2021, Vol 4 No 10

COVER STORY Wunti added that the Group Managing Director of NNPC, has already “directed that we’ll do whatever we can with our partners to make sure that we monetize that credit position for the benefit of Nigerian people. “The business model is simple, any project that allows you the opportunity to have a reduced emission, you get a positive credit for it. You accumulate this credit. You can use it in several ways, two major ways is either you use your positive carbon credit position to offset your negative position in our businesses.

Mele Kyari

“

CCS projects are happening around the world and the technology is proven but more projects need to be built, Leaked UN Draft Report: the Deal Breaker Countries have continued to lobby ahead of COP26 to ensure that stricter measures are not enforced. The scientific “assessment report” which is prepared every six years is due to be published again this year, and the UN scientists haven’t been spared by lobbyists. Australia which stands as one of the highest exporter of coal globally, was named alongside Russia, Saudi Arabia and China as trying to remove every

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trace of strong recommendation to move rapidly away from fossil fuels. BBC reports a credible leak which was released to Greenpeace movement that, UN scientists are being influenced to remove certain recommendations. “The cache of comments and the latest draft of the report were released to Greenpeace UK’s team of investigative journalists, Unearthed, which passed it on to BBC News.” For Af ric a an d developing economies, at the least, these benchmarks postulated by IEA seem overly ambitious and abrupt with the potential to plunge the continent further into poverty if unassisted. The report further stated, “A senior scientist from India’s Central Institute of Mining and Fuel Research, which has strong links to the Indian government, warns coal is likely to remain the mainstay of energy production for decades because of what they describe as the “tremendous challenges” of providing affordable electricity. India is already the world’s second biggest consumer of coal. “One senior Australian government official rejects the conclusion that closing coal-fired power plants is necessary, even though ending the use of coal is one of the stated objectives the COP26 conference.

They noted that, “there is large ambiguity in the extent to which fossil fuels with CCS would be compatible with the 2C and 1.5C targets” as set out by the Paris Agreement. Failing Commitment to Climate Finance Speaking on, “Global Oil Market Dynamics in a Decarbonizing World” at the Nigeria Oil and Gas Conference and Exhibition (NOG) 2021, the OPEC Secretary-General, Mohammad Barkindo, stressed the need for more dialogues and more cooperation in an inclusive fashion.

“The achievement of the net-zero 2050 goals would assume that developing countries will receive the required financing and technological know-how they require to build and readjust their energy systems in line with the net-zero ambitions by 2050,” Barkindo noted. “However, climate financing for adaptation and mitigation is an extremely complex process, and questions continue to be raised as to how the $100 billion per year committed in the Paris Agreement will be secured, much less the even more ambitious $5 trillion annual funding needed globally as set out by the net-zero 2050 plan.

While Saudi Arabia is the one of the largest oil producers in the world, Australia is a major coal exporter. Saudi Arabia, the world’s biggest oil exporter, requests the UN scientists delete their conclusion that “the focus of decarbonisation efforts in the energy systems sector needs to be on rapidly shifting to zero-carbon sources and actively phasing out fossil fuels”. Again, several oil producing countries showed support for carbon capture and storage (CCS) technology but the UN scientist think differently.

Mohammad Barkindo

COVER STORY

“

“Around 60% of pledges aim to achieve net‐zero emissions by 2050, but several companies have set an earlier deadline of 2030 or 2040,”

“According to the United Nations fact check on climate change, Africa is the continent most vulnerable to the impacts of climate change. “Another issue of concern is that climate financing is increasingly being administered as loans, which means that developing countries are required to borrow at interest rates that can sometimes be prohibitively high, effectively leading them to defer or cancel their clean energy projects. “These important factors all point to the fact that an energy transition on such a massive scale and within such a short timeframe will take time and patience to achieve, especially if it is done responsibly, in an equitable and inclusive manner.”

Dire Consequence of Underinvesting in Oil Moody, a credit rating agency, in a report carried by Bloomberg recently, estimates that global annual upstream spending needs to increase by as much as 54 percent to $542 billion if the oil market is to avert the next supply shortage shock. Currently, oil exploration and production (E&P) companies around the world are underinvesting in supply as they continue to keep capital expenditure (capex) low after the 2020 price crash and crisis, Moody’s notes. According to Moody, annual upstream investment crashed by around 30 percent in 2020 and has only slightly recovered since. The current drop in investment is not also

unconnected with harsh policies of governments in various countries, in a bid to discourage more exploration and Production of fossil fuels. OPEC, a group of some of the world’s largest producers, said recently that the world is projected to require $11.8 trillion in oil-and-gas investment through 2045 to meet growing demand. In 2020, Barkindo said oil-and-gas investment fell 20%. That came despite the industry not fully making up for a previous period of underinvestment amid low prices between 2015 and 2016. “We need to buckle up more investment in capital to revive the production cycle,” he said. “On top of that contraction, you have the energy transition,” he said, which has added more pressure on governments and oil companies to divert money from oil-and-gas development to renewables. Mr. Barkindo said there has been “a global campaign against the oil industry to crowd out investors out of oil and gas.” Barkindo said recommendations to cut oil-and-gas investment risk steering the conversation in Glasgow toward drastic measures that could contribute to price spikes and exacerbate energy poverty around the world.

For long, oil companies have captured carbon from their operations, only to re-inject it in order to produce more oil. However, with the mounting concerns on climate change , that technology can be improved upon and the service sold to heavy polluting industries like cement, steel and others.

Should the UN delegates come out of COP26 offering countries and fossil fuel major players the option of acquiring the CCS technology, to curb emissions from their activities within a period of time, while exploring new projects under the same conditions, then it would be a big win first for Africa who needs it most. Unfortunately, Professor Corinne le Quéré of the University of East Anglia, a leading climate scientist who has helped compile three major reports for the IPCC, has no doubts about the impartiality of the IPCC’s reports. She believes no lobbying or pressure can change the report of the scientists. “If the comments are lobbying, if they’re not justified by the science, they will not be integrated in the IPCC reports”, she said.

“In our regions of the world, energy poverty is endemic,” he quipped. “Not one source of energy will meet the energy thirst in the developing world,” he said. “We hope that Glasgow will bring back this issue to the front burner. Climate and energy poverty will have to be addressed.” The aim of the Glasgow summit should be to “contain greenhouse emissions, but not at the exclusion of any source of energy,” Mr. Barkindo said.

Conclusion:

Corinne le Quéré

“

“Through our partnership with Total, we are able to market our credit position, and monetize it. And we have an overall €1 million so far. Majorwaves Energy Report OCTOBER 2021, Vol 4 No 10

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ENERGY WOMAN

Damilola Ogunbiyi Joins CGEP Advisory Board to Drive Energy Transition

s the world pushes forward to find ways to reduce carbon emissions and transition to net-zero, hundreds of millions of people still lack access to reliable energy sources like electricity and the basics in life it affords. To bolster its work around this and help ensure the energy transition is just, the Center on Global Energy Policy is pleased to announce Damilola Ogunbiyi, CEO of Sustainable Energy for All, has joined as a member of the board. “I am delighted to join the board of Columbia’s Center on Global Energy

Policy,” said Ms. Ogunbiyi. “The Center’s data-driven approach and objective analysis to support policy makers is key to ensuring equitable solutions within the energy sector. I am particularly passionate about including voices from different regions to ensure a just transition that considers the realities of both developing and developed economies.” Ms. Ogunbiyi also serves as Special Representative of the UN SecretaryGeneral for Sustainable Energy for All and Co-Chair of UN-Energy. She brings a wealth of experience and

perspective from many parts of the world including from her home country Nigeria. “I can’t think of a better person to help guide CGEP, and the entire energy industry for that matter, through what an equitable future must look like if we’re to achieve netzero,” said Jason Bordoff, Founding Director of CGEP. “It’s not talked about enough; we need to ensure no one is left behind as we build out a global carbon-free economy. Damilola will help get us there.”

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ENERGY WOMAN SEforALL is an international organization that was founded in 2011 by the UN Secretary-General Ban Ki-moon, who recognized that energy is the critical link that connects economic growth, social equity, and environmental sustainability. “The mandate of delivering Sustainable Development Goal 7 is to ensure access to affordable, reliable, sustainable and modern energy for all,” said Ms. Ogunbiyi. “With a UN mandate to deliver SDG7, SEforALL has become a trusted global energy leader. As millions more people fall back into energy poverty under COVID-19, SEforALL’s role has never been more crucial. SEforALL advocates for an energy transition that is just and inclusive and that prioritizes energy access for developing nations enabling them to take differentiated paths towards the same net-zero goals by 2050.”

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Before joining SEforALL, Ms. Ogunbiyi was the first woman Managing Director of the Nigerian Rural Electrification Agency. She was also responsible for the Energizing Education Programme, which will provide uninterrupted electricity to 37 federal universities and seven teaching hospitals through off-grid captive power. “The global energy transition is upon us and its success will depend on making sure we have the right policies in place and sufficient resources invested in developing economies,” said Matt Harris, Chairman of CGEP’s Advisory Board. “Damilola’s experience and leadership will be instrumental in achieving this. We are thrilled to have Damilola join the board.” Ms. Ogunbiyi entered public service as the Senior Special Assistant to the Lagos State Governor on

public-private partnerships. She also worked as a Senior Special Assistant to the President on Power and Head of the Advisory Power Team in the Office of the Vice President of Nigeria. Before joining the Federal Government of Nigeria, Ms. Ogunbiyi was the first woman to be appointed as the General Manager of the Lagos State Electricity Board. Under her leadership, five independent power projects were completed to deliver over 55 megawatts of power to Lagos State hospitals, schools, streetlights and the Government secretariat. Ms. Ogunbiyi has also worked for the United Kingdom Department for International Development (DfID) on public-private partnerships. Source: https://www.energypolicy. columbia.edu

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ENERGY WOMAN II

Lydia Balogun-Wilson clinches AFBE-UK’s Leader of the Year Award

Lydia Balogun-Wilson

perations Support Team Leader at the North Sea Headquarters of BP Plc, Lydia Balogun-Wilson, has received the BME (Black Minority Ethnic), “Leader of the Year” award, at the 2021 Association for Black and Minority Ethnic Engineers (AFBE), UK, Scotland Diversity and Inclusion Awards. The award ceremony which was held recently at The Marcliffe Hotel and Spa, Aberdeen, had in attendance; Aberdeen Lord Provost, Barney Crockett, industry stakeholders and leaders, professionals and students. Chairman of AFBE-UK Scotland, Dr Ollie Folayan in his remarks,

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commended the awardees, and stakeholders present for their active roles towards ensuring diversity and inclusion in the energy and engineering sectors. “The awards event was a huge success, a real celebration of achievements during unprecedented times. We are delighted to have been able to recognise diversity and inclusion successes for underrepresented groups in the energy and engineering sectors.” “All of the award winners and those shortlisted absolutely deserve our appreciation. A great night was had by all and we look forward to our next awards event.”

Reacting to the award which was presented to her by Air Marshal Ian Gale, of the Royal Air Force, RAF, Balogun-Wilson expressed her delight with the association for deeming her worthy of such prestigious award. She applauded AFBE-UK for its initiatives especially in the space of STEM, yielding fruitful results. “I am still speechless from the AFBE BME leader of the year award that I received. To be nominated along Tony Fong and Ibiye Iyalla PhD CEng MIMechE was just humbling. The work they do as leaders and their accomplishments is just amazing.

ENERGY WOMAN II

Lydia Balogun-Wilson presented a plaque by Air Marshal Ian David Gale, MBE and senior officer in the Royal Air Force.

“The AFBE-UK, under the leadership of Dr Ollie Folayan CEng FIChemE and Dr Nike Folayan MBE (PhD, CEng., FIET), has created something good in the space of STEM. Thanks to AFBE, DE&I awareness and recognition can only get bigger,” she said. Balogun-Wilson in appreciation, dedicated the award to her company, BP, for their support, her family and all who were influential towards the achievement. She noted that the award was a motivation for her to do more. She said; “I want to thank God who has given me the grace to get to where I am today. My husband, Dr Wilson E. Balogun, kids, parents and siblings have each played a vital role to shape my accomplishments. My leadership journey has been moulded by each leader and colleague that has crossed my path. “I want to thank BP for giving me the

platform to be myself and for being a company that lives and breathes DE&I in every way possible. The support I received, for the award night, from my colleagues, has been tremendous and I am deeply grateful.

Award for Reneth McKenzieSchoetz for her services to diversity and inclusion. Reneth has led the AFBE-UK STEM programme Making Engineering Hot for the past 12 years.

This award is a motivation for me to keep doing more. I dedicate it to everyone who has crossed my path to make me the leader and person that I am today.”

The Association for Black and Minority Ethnic Engineers (AFBEUK) is a registered not-for-profit organisation founded in London in 20 07. It promotes higher achievements in education and engineering particularly among people from black and minority ethnicity (BME) backgrounds.

Other winners of the AFBE-UK Scotland Diversity and Inclusion Awards include; IMRANDD and Baker Hughes, emerging joint winners of the Company of the Year award while Helen West, of Thames Water, won the Outstanding Mentor of the Year Award. Vanessa Burton, of Mott MacDonald and Thaddeus Anim-Somuah, of Croda, both won the Young BME Professional of the Year award. There was also a Special Appreciation

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