Lokpobiri: Africa needs investments to address energy poverty, not loans

Heineken Lokpobiri, minister of state for petroleum resources (oil), says Africa needs strategic investments and partnerships, rather than loans, to address energy poverty and drive economic growth.

Lokpobiri spoke on Tuesday in Abuja, at the 8th edition of the Nigeria International Energy Summit (NIES 2025), themed “Bridging Continents: Connecting Investors Worldwide with Africa’s Energy Potential”.

“In January at Davos, I was in a panel with eight other ministers of different parts of the world and one of the ministers said that Europe has about 300 billion euros available for loans to Africa,” Lokpobiri said.

“I suggested to them that we don’t need loans rather we need investments, we need partnerships. Invest and then make your returns instead of giving us loans.

“I can assure you that the world is ready to invest in Africa, the world has recognised that Africa has enormous resources, but these resources have no value unless we are able to bring them to the market.”

He said the current administration has transformed Nigeria’s energy sector, positioning the country as a destination for new investors and those who had previously considered divesting.

The minister said Nigeria has demonstrated its readiness for business, which has led to the completion of four previously pending major divestments.

Lokpobiri added that Nigeria has significantly expanded its local capacity, allowing indigenous companies to acquire assets and manage them profitably.

‘NO IOC IS LEAVING NIGERIA’

Dismissing concerns about international oil companies (IOCs) exiting Nigeria, Lokpobiri said the IOCs are instead shifting focus to deep offshore operations.

“Nigeria has nothing to lose,” he said.

“No International Oil Company (IOC) is leaving Nigeria, all the IOCs cannot find a better location than Nigeria for business. They told me that Nigeria is still the best destination and they are firm in their commitment to say they are not leaving Nigeria.

“At the worst, they are leaving for deep offshore which is beyond the capacity of Independent Petroleum Producers Group (IPPG) members.”

The minister further disclosed that Nigeria is set to secure investments in the coming months, with $20 billion in investments expected soon.

He urged Africans to come together to provide solutions to the energy poverty challenges affecting the continent.

‘LET’S FIND INTERNAL SOLUTIONS TO ADDRESS AFRICAN CHALLENGES’

Also speaking at the event, Omar Ibrahim, secretary-general of the African Petroleum Producers’ Organisation (APPO), criticised Africa’s over-reliance on foreign loans.

Ibrahim said Africa’s drive to find internal solutions and reduce its reliance on foreign finance led APPO to collaborate with the African Export-Import Bank (Afreximbank) in establishing the African Energy Bank (AEB), which is headquartered in Nigeria.

“We are not against foreign finance, foreign technology and foreign markets, but to do our utmost best to address challenges by looking within first then go out only when internal possibilities are exhausted,” he said.

“The only way we can do this is to collaborate and pull resources together and then we will have all it takes to surmount our challenges.

“Today, Nigeria, through the NNPC Ltd., is the highest contributor to the African Energy Bank fund.”

The APPO secretary-general lamented that 600 million Africans still live without electricity, despite the continent exporting 75 percent of its oil and 45 percent of its gas.

Ibrahim said for Africa to improve, especially for its growing youth population, there is a need to critically examine the perspectives of its leaders across academia, the media, politics, the military, and various industries.