Stakeholders seek efficient management of gas reserves to improve energy sector

Segun Adaju, president of the Renewable Energy Association of Nigeria and chief executive officer (CEO) of Consistent Energy, says the country needs to maximise its gas reserves to improve the energy sector. 

Adaju spoke on Tuesday during a breakout session on the future of clean energy transition at the 27th Nigerian Economic Summit in Abuja.

He said the country needs to put into consideration its areas of strength in its renewable energy transition drive.

“We need to look at where we are in terms of our competencies and our comparative advantage for us to achieve the transition,” Adaju said. 

“With 200 trillion cubic gas reserves, Nigeria must leverage on the potential for gas to play a big role in the energy sector. We must display efficiency on the huge resources we have to power Nigeria.

“Gas for cooking in rural communities will be more efficient and cheaper than using solar power. Nigeria is the generator capital of the world; with 10 to 14 million generators, the highest in the world. It spends about $16 billion to fuel them every year. So, for me, displacing generators is a way to go.”

Ed Ubong, managing director of Shell Nigeria Gas, aligned his views with that of Adaju, adding that Nigeria has abundant gas and therefore should industralise the sector. 

He said the country can use its abundant gas to improve the electricity situation of the country. 

“Irrespective of electricity challenges that exist, gas is abundant. We must find a way to industrialise the gas sector in the Niger Delta,” Ubong said. 

“We must see what we can do to reactivate the industries, build a viable and affordable electricity sector.

“With over 40 million SMEs in Nigeria registered, if we leverage on gas, we can generate more electricity. Power investment clusters need to be made available in Nigeria like was done in South Africa.”

On his part, Philip Mshelbila, managing director/CEO, Nigeria LNG Limited, said through such processes like efficient pricing and tax holidays, Nigeria can implement effective renewable energy transition.

“Renewable is here to stay. We at LNG are trying to see how we can contribute our quota to power Nigerians via hydro, geo-thermal, solar, wind. These are pilots. We work hand in hand with the government. We partner with the Rural Electrification Agency,” he said. 

“Everything we need to electrify Nigeria is here. All we need to do is to go ahead to execute the policies. However, we must build people’s capacity. We also need the funding but how to access it is an issue that requires an answer.”