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‘Without Alternative Energy, Petrol Price’ll Rise on Subsidy Removal’

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The Department of Petroleum Resources (DPR) has warned that the pump price of petrol in the country may rise up to as much as N1,000 per litre when petrol subsidy regime comes to an end without an alternative energy source.

The DPR stated this just as some oil and gas experts have advocated for a measure from the government that will ensure that Nigeria gets commensurate value from its abundant oil and gas resources like its fellow oil producing nations.

The Director of DPR, Mr. Sarki Auwalu, said this while responding to questions and comments generated by a paper he delivered in Lagos, recently, at the Second Quarter, 2021 Business Dinner of Petroleum Club, Lagos.

The topic of the paper was, “A Discussion on the Future of the Nigerian Petroleum Industry.”

The questions and comments came from a former Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mr. Funsho Kupolokun; political economist and Founder of Centre for Values in Leadership, Prof. Pat Utomi; Production Geologist at Shell Nigeria, Mr. Adedoyin Orekoya; and Chairman of AA Holdings, Mr. Austin Avuru; amongst others.

Responding to the subsidy concerns and the disparity in the petrol consumption figures given by NNPC and the DPR, as raised by Orekoya, Auwalu, acknowledged that Nigeria was spending so much on petrol subsidy.

He said eliminating it would require making alternative fuel available to Nigerians and that failure to do that will plunge Nigerians into paying higher petrol prices when subsidy is removed.

He stated that Nigerians may be paying as high as N1, 000 to buy one litre of petrol in the country when subsidy on petrol is removed and when the alternative energy or autogas gas policy becomes fully operational.

He, however, said the alternative fuel regime comes with initial cost as it will lead to spending $400 to convert one vehicle from running on petrol or diesel to running on either Liquefied Natural Gas (LNG) or Compressed Natural Gas (CNG).

Auwalu maintained that converting eight million public vehicles currently present in Nigeria to gas-powered will cumulatively cost $3.2billion to achieve.

He said, “So, to eliminate subsidy, they don’t call it subsidy anymore now, it’s under-recovery of purchase. So, to eliminate under-recovery, what you need is alternative fuel. Without alternative, you will subject people to higher prices and that is why we go for price freedom.

“As at today, there are 22 million cars in Nigeria. Eight million are for public use. Imagine if you want to convert every car into gas, the average cost of conversion is $400. Converting eight million cars requires $3.2billion. To do that, there are a lot of environmental investors which can invest and recover from the sale of gas and we are encouraging that.

“Once that is achieved, you will see that PMS can be sold at N1,000. After all, the average distance covered by one gallon equivalent when you compare it with LNG or CNG with respect to energy for mobility, is 2.7 against one; one for PMS, 2.7 for LNG or CNG.

”So, with that advantage, you will see that it creates opportunity for this industry again. The issue of subsidy, volume will all vanish and that is what we are working towards.”

He, however, warned that the rise in Nigeria’s local refining capacity as seen in the coming on stream of a number of refineries in the country without a corresponding increase in the country’s oil production volume may threaten the country’s membership of the Organisation of Petroleum Exporting Countries (OPEC).

The director lamented that out of Nigeria’s over 7,100 reservoirs and its mature basins, the country was recovering just as low as about 1,000, a situation he said, needed the collaboration of all industry players to find a solution to before Nigeria gets evicted from OPEC due to low contribution.

“How do we now get the national production capacity so that we export more, we consume more? Today, we have huge additional capacity in domestic refining. If we don’t increase the production, we have to get out of OPEC, because you can’t be a net consumer to stay in exporting countries.

“So, the challenge is for all of us. As the refining capacity is increasing, we have to now get production capacity to increase so that we remain the net exporter. We believe this will guarantee and fortify the future,” he said.

Responding to Kupolokun’s question on the need to address the low contribution of the oil and gas sector to the country’s Gross Domestic Product (GDP), which is less than 10 per cent, Auwalu attributed the abysmal contribution to lack of deep investment into the value chain of the sector as well as the export mentality of the players.

According to him, only few players, mostly indigenous companies, have the mentality of ensuring that more output, especially with respect to gas, was given to the domestic market to power the country’s economic growth.

He said there was need to focus on domestic market in order to grow the sector’s contribution to GDP.

He explained what the department and the Federal Government were doing to address the two-pronged challenge of energy transition and the transition from the international oil companies (IOCs) operating in Nigeria, who are divesting out of the country, leaving the indigenous oil companies to take over from them.

Auwalu said the department had foreseen such situation and had planned ahead by setting up the Oil and Gas Excellence Centre to equip local companies to be able to fill the gap created by such transition.

“Now, we are saddled with two transitions: energy transition and transition from IOCs to NOCs. Why did we establish Nigerian Oil and Gas Excellence Centre? It’s because of this. We’ve seen this coming; we thought it twice before now.

“It is our duty to make those companies functional, and to do that, we need to establish a centre of excellence that will help in the migration from IOCs,” he explained.

Also reacting to the need for scenario planning and the possibility of galvanising the private and public sector to work together to increase the value of oil and gas to the economy, as proposed by Utomi, the DPR henchman noted that the agency had transformed from mere regulator to business enabler and opportunity provider and was working to maximise the value of the sector to the economy.

Auwalu maintained that as a business enabler, DPR was after creating an enabling environment for operators to work, produce, make returns on their investments and pay taxes and royalties to the government as while providing employment to Nigerians.

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HYPREP Reaffirms Support For Ogoni Youths …Organises Workshop For Undergraduates

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In pursuit of its strategic human capacity development initiatives, the Hydrocarbon Pollution Remediation Project (HYPREP) has restated its commitment to supporting Ogoni youths to maximally benefit from its projects and programmes that align with their visions and aspirations.

The Project Coordinator of HYPREP, Prof Nenibarini Zabbey, who gave this indication during the second edition of the international career enhancement and employability workshop organised by the Project for undergraduates and fresh graduates of Ogoni ethnic nationality in Port Harcourt, assured the participants of its commitment to continually initiate programmes that support their visions and aspirations.

He noted that the workshop reaffirms the Project’s commitment to inclusiveness and continuous skills development, as strategic pillars in its efforts to restore and improve livelihoods in Ogoniland.

He said the workshop was aimed at equipping the Ogoni youths with relevant career skills and empower them with employability tools, to ensure that HYPREP’s gains extend beyond remediation into long-term transformations, stressing that the Project is committed to supporting their dreams.

”HYPREP is committed to supporting your dreams through targeted initiatives, such as this workshop and we will explore ways to empower you with the skills and knowledge necessary to succeed.
I want to emphasise that this workshop is not just about enhancing your career prospects; it is also about building a community of young people and equipping you to make a positive impact in your communities. As you benefit from HYPREP’s interventions (and the experiences of the facilitator), I challenge you to take the message of peace and constructive engagement to your communities and live accordingly,” he said.

Zabbey further assured that HYPREP would continue to stand with Ogoni youths by supporting their aspirations through targeted workshops and broader livelihood initiatives that prioritise their development, noting that the Project believes in them and remains committed to creating platforms where their potential can be nurtured and realised.

The Project Coordinator enjoined them to continue to contribute to the success of HYPREP.

The second edition of the career enhancement and employability workshop had Dr Akanimo Odon and Dr Chioma Okonkwo as facilitators, while the participants were drawn from the four Ogoni local government areas.

Among other modules, participants at the two-day workshop were provided with tips on ways to explore opportunities in seemingly challenging situations, discover themselves, convert hobbies and interests into passion and profits through three career e-routes and understand the power of networks and partnerships.

Participants were also given useful nuggets, career resources of time and skills, and career resources of funding, especially how to access foreign scholarships and funding.

At the closing, HYPREP’s Director of Technical Services, Prof Damian-Paul Aguiyi, urged the participants to earnestly pursue their passions and commit to their dreams.

Meanwhile, the participants expressed gratitude to HYPREP for organising the workshop, which they described as impactful and transformative.

HYPREP has continued to be intentional in its efforts to prioritise human capacity development in Ogoni through such workshops and trainings. This year, the Project will be rolling out trainings in high demand skill areas like mechatronics, underwater welding, commercial diving, full-stack development and GIS, targeting the youths as major beneficiaries and giving them a fair head start and comparative advantage in a highly competitive environment.

 

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NIPR Practitioners Urge To Go Beyond Traditional Media Relations To Strategic Leadership Functions

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The Public Relations practitioners across Nigeria have been charged to go beyond the perceived roles of media relations and protocol services to strategic leadership functions that is crucial to shaping and transforming the nation.

 

In his message at this year’s (2025) World Public Relations Day, with the Theme: ” Building Bridges, Navigating Polarisation” In Port Harcourt, The National President of the Nigeria Institution of Public Relations Dr. Ike Neliaku expressed delight to address members and guests on this special day, pointing out that the day offers a an opportunity to reflect on the journey over six decades since Public Relations formally birthed in Nigeria.

 

He maintained that this year’s world Public Relations day gives opportunity to members to reflect on the actions and inactions towards the development of the profession and to boldly develop new frontiers for a greater institution.

 

The NIPR president explained that the values of Public Relations particularly in areas of fostering relationship, strengthening leadership and advancing good governance remain a key -through effective and goal- oriented communication.

 

Earlier, The Vice Chancellor of Rivers State University, (RSU) Prof. Isaac zep-Obipi being represented by the Deputy VC admin Prof. Victor Akujuru throw challenge to NIPR members to rebranding and portray the state in good light, standing that RSU remains a state owned institution that have not witness any strike in the passed fifteen years.

 

Also in his speech, the state chairman NIPR Rivers Chapter Rev. Francis Asuk described world Public Relations day as a day set aside to pay attention to the works of public relations globally indeed that relationship is important that the world is crying about in rebuilding relationship due to the collapsed of the value systems at family, society and world level of human existence.

” At the highest level of human existence relationship has become imperative for all practitioners to come together and build bridges to navigates those Polarisation” he said.

 

In a related development,the keynote speaker Rev (Fr.) Prof. Walter C.Ihejirika, said the media has a lot to do especially on its role of enlightenment to the public about the role and function as a key element in the development of a better society.

 

Prof. Ihejirika who is the Dean faculty of Communication and Media Studies , University of Port Harcourt, stressed that when media practitioners navigate on the area of strategic communications with a goal, then the public will be better informed and know that they have a responsibility for the large society, “because if the large society is not good, the organization cannot function effectively.”

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Alumni, Others Launch Campus Care Initiative In Port Harcourt

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The Madonna University Alumni Association Rivers State Chapter in partnership with Rotary Club of Rumuomasi, Port Harcourt Downtown and Nigerian Immigration Service have launched Campus Care Initiative at the Captain Elechi Amadi Polytechnic Rumuola Port Harcourt.

 

Speaking with newsmen on Wednesday in the inaugural edition of the Campus Care Initiative, at Captain Elechi Amadi Polytechnic the Chairman of Madonna University Alumni Association Rivers State Chapter (MUAARIV) Dr Iheanyichukwu Wopara said that the program is aim to empowered the youth of Nigerians and also to give them the right direction in life.

 

He said Campus Care Initiative is a testament to the association commitment to giving back to the society and empowering the next generation of leaders.

 

According to him the program is designed it demands across all sectors, physical health, mental health, sexual health and even the environment adding that the focus of the Association is to give back to the society the best way they can.

 

” We have been carrying out different humanitarian activities and outreach which includes medical outreach and the girl child campaign.

 

” We gave academic support to three students and also three international passports, free medical outreach, pads to girl child and condoms to the boy child and there is also introduction to ICT training that will commence soon in the campus, “he said.

Kiadum Edookor

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