NUPRC calls for inclusiveness in energy transition

From Abubakar Yunusa Abuja Energy

transition discussions should revolve around the implementation of a fair, equitable and sustainable energy mix that entrenches the principles of inclusiveness and guarantees energy security, the Nigerian Upstream Regulatory Commission (NUPRC) has said.

The NUPRC Chief Executive, Gbenga Komolafe, disclosed this in a statement on Tuesday.

Mr Komolafe said while deliberations on the global transition to renewable and sustainable energy are going on, proponents should consider the right of nations to harness their energy resources for their development goals.

The statement said that Mr Komolafe made the remarks while speaking to participants at the Offshore Technology Conference held in Houston, Texas, United States.

He said policy makers and experts should also consider the freedom of nations to attain the right energy mix in multiple pathways and sustainable energy supply.

In his presentation on the Nigerian upstream sector, he said the perspective was relevant considering the momentum in energy transition,

Nigerian payment startup, Nomba, raises $30 million in pre-Series B funding

From Abubakar Yunusa Abuja

Nomba, a Nigerian payment startup, announced Tuesday that it has raised $30 million in a pre-Series B investment.

The round was led by San Franciscobased Base10 Partners (investors in Nubank, Plaid and Brex), with participation from Helios Digital Ventures, Shopify, Partech, and Khosla Ventures.

With the new funding, the startup said it would deliver payment solutions that have been designed for the specific services that businesses provide. This will enable them to plug gaps in their payment processes and operate more efficiently to deliver excellent customer experiences.

Formerly known as Kudi, the start-up was founded in 2016 by Yinka Adewale and Pelumi Aboluwarin as a chatbot designed to simplify payments.

In 2018, it evolved into a company whose distinct point of sale (POS) technology, partnerships with banks and other licensed financial institutions democratized access to banking products and services for merchants across Nigeria.

This, the startup said, also includes core banking solutions such as opening savings accounts and loans.

According to the startup, it serves over 300,000 businesses and processes $1 billion in monthly transactions.

Speaking on the funding round, the CEO and co-founder, Yinka Adewale, said: “We see payment as a business model, not just a product and we want to make it easier for businesses to take advantage of all that is possible in their payment processes to support their continued growth and success.

“We have a long list of products we have been working on and the funds we have raised as well as the investors that have backed us gives us a lot of confidence about what can be achieved with more effective payment solutions in the hands of business owners.”

Also speaking, Luci Fonseca, Partner at Base 10 said, “Nomba’s track record of innovation and capital efficiency makes it one of the most exciting startups in Africa. We are thrilled to be supporting them to deliver their game-changing solutions to power growth and continued success for businesses in Nigeria and beyond.” the attendant changes in energy economy, as well as the expectations of stakeholders on the implementation of the Petroleum Industry Act (PIA) 2021.

“These perspectives indicate a new direction of travel that fossil fuel dependent economies needed to anticipate and prepare for,” he said

He explained that Nigeria has for long recognised that the global shift towards decarbonised economies will lead to a structural decline in demand for unabated fossil fuels and that the increasing cost competitiveness of renewable energy sources will present key risks and challenges for fossil fuel dependent economies.

“Chief among these are reduction in national revenue and consequential fiscal vulnerabilities that may arise therefrom.

“It was further recognised that reduction in fossil fuel revenue without sufficient time and support to manage macroeconomic risks and the structural transformation required to build a diversified, sustainable and resilient economy, will be disadvantageous to the Nigerian economy,” he said.

Again, as a nation, Mr Komolafe said Nigeria’s performance in terms of the Sustainable Development Goals (SDGs) is a very strong indicator that energy transition policy for Nigeria should equitably be formulated within the context of improving the achievement of the SDGs.

“That is, reducing poverty and hunger, improving good health, well-being and quality education, achieving clean water and sanitation, creating decent work and economic growth, achieving improved environment through deployment of carbon capture technology amongst others.

“Aside from the SDGs challenges, we also have the world’s largest energy deficit, with an estimated 85 million Nigerians lacking access to grid-supplied electricity or clean cooking fuel,” he added.

This, he said, is equivalent to 43 per cent of the population, a situation that results in an estimated annual economic loss of up to 2 per cent of GDP.

Mr Komolafe noted that renewable energy holds significant potential to alleviate these challenges, but absorption capacity issues limit the amount of variable power generation which can be accommodated by the grid.

“There are also issues relating to technology, resource and manpower constraints, dearth of know-how, capacity development and utilization as well as the prohibitive cost of renewable energy which collectively constitute barriers to uptake and deployment,” he said.

He explained that the strength of Nigeria’s economy is closely tied to a volatile oil price, with petroleum exports accounting for 86 per cent of total export revenue.

He added that it becomes self-evident that the nation could not do away with its fossil fuels just yet, noting that a balance had to be struck between the energy transition and the human transition.

“Nigerian government was left with no choice but to reject the notion of a single pathway to net-zero, preferring instead the concept of ‘just’ energy transition which takes into cognisance the specific circumstances of each nation in developing the energy transition pathway that best achieves the environmental, social, political and economic objectives of the transition in that specific nation.

“Multiple pathways to 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. Accordingly, the government then declared natural gas as our transition fuel,” he said.

From Abubakar Yunusa,Abuja

President of the African Development Bank, AfDB, Group, Dr Akinwumi Adesina, says he sees his role as the Bank’s President as delivering hope for millions of people.

Mr Adesina made the remark while addressing Class of 2023 at Calvin University, Michigan, USA.

He said: “In the past seven years, our work has impacted the lives of 350 million people. I am excited that we have helped to connect 20 million people to electricity.

“On a field trip to one of the project villages in Kenya not too long ago, I met one of our beneficiaries. Her name is Grace. She was very excited.

“When she was asked whether she knew AfDB President (that is myself), she said, I do not know the President, I do not even know the AfDB; all I know is that we once were in darkness, now we have light!”

“That is a lesson there! Let your works and good deeds impact the lives of people, especially those who will never know you.”

According to Mr Adesina, the bank is building a Desert to Power initiative, a 25 billion dollars investment to harness the power of the sun and deliver electricity for 250 million people.

He said when completed, it would be the largest solar zone in the world, adding that ”it will be a spark of hope for millions more like Grace”.

Mr Adesina said: “Class of 2023, the present and the future belong to your generation. Your creativity and dynamism will make a difference for good.

“In front of me today, I see builders and shapers of hope. You have been well prepared to go into the world to be the change makers. You have received a world class education.

“You have been exposed to great ideas, and you’ve worked alongside faculty and students from all around the world.

“You are ready and the world awaits you! A world that faces new challenges, many of them happening simultaneously.”

Mr Adesina said top among the challenges was climate change, which posed an existential risk for the world.

“We must do all we can to keep global warming to no more than 1.5 degrees Celsius.

“We need innovations to power the world better with renewable energy.

”We must do all to feed the world. It is not acceptable that over 2.3 billion people in the world go hungry. There must be a hunger free world,” he said.

The AfDB boss said the COVID-19 pandemic taught us the importance of global pandemic preparedness and the need to ensure access to affordable health care for all.

He said a lot was needed to ensure peace in our world with rising geopolitical tensions and fragilities.

“Regardless of ones’ economic, social, or racial background, we must create a level playing field for a more just, fair, and equitable world.

“More than ever, the world needs change makers. Change makers who can carry the love of God into a turbulent world. Change makers with a heart.

“You have a role to play in this unfolding chapter of history. With God’s help and grace, I am confident that you will stand out and do exploits that will make our world a better place,” he said.