Oil & Energy
Modular Refineries: Stakeholder Harps On FG, N’Delta Collaboration
In a bid to actualise the Modular Refinery Scheme of the Federal Government , a renowned trade unionist and stakeholder in the oil and gas sector, Comrade Chika Onuegbu, has called for dialogue and active consultation between the Federal Government and the Niger Delta. Comrade Onuegbu, who featured on a current affairs programme in Silverbird Television last weekend, said the modular refinery project will only be feasible when issues of doubts are completely erased from the process.
He said, “the partnership with the Niger Delta has to be direct, not through proxies, government should sit down and dialogue with the people, work out a modality that will be acceptable to all parties, without these, the project will not succeed.
On the $1million dollar benchmark fixed by the Federal Government to secure license for the operation of the Modular Refinery, Comrade Onuegbu said the amount was unrealistic to be raised by the target beneficiaries of the project in the Niger Delta.
Alternatively, he said government should encourage the people of the Niger Delta to participate in the process by galvanizing them into cooperative and raising the fund for them.
This initiative, he noted will help to stem the devastating effect of illegal refineries on the Niger Delta environment.
Onuegbu, who is the immediate past chairman of the Trade Union Congress (TUC) in Rivers State, disclosed that those involved in illegal refineries were already consummated in the process, regardless of the dangers they constituted to the environment.
He pointed out that only proper negotiation and re-engagement into the new model which is skill based can address the issues in the state.
He listed the gains of the modular refinery to include, “reduction of the natural environment, reduction of crude oil theft and pipeline vandalism, development of skilled operators in the oil and gas sector, reduction of death as a result of strange disease caused by reckless gas flaming and environmental pollution”.
He warned that lack of proper representation of the Niger Delta in the management of the proposed modular refineries would generate doubts on the mind of the people and hamper the successful implementation of the project. “Government need to be sincere, by coming up with a policy framework to include the Niger Delta in the management of the modular refineries, Government has to help in building the capacity of the local operators to make the project realistic.
Comrade Onuegbu commended the Acting President, Prof Yemi Osinbajo to the Niger Delta and also lauded the Niger Delta leaders for their understanding which has led to relative calm in the area.
Taneh Beemene
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Oil & Energy
Delta Targets 120MW Power Boost, Moves To Cut Reliance On National Grid
The State Commissioner for Works (Rural Roads) and Public Information, Charles Aniagwu, disclosed this at a press conference in Asaba, weekend, noting that the initiative was part of wider reforms aimed at opening up the power sector to private investors.
Aniagwu, who was accompanied by the Executive Assistant to the Governor on New Media, Felix Ofou, said the state was exploring alternative sources of electricity to support businesses, households and communities while reducing pressure on the national grid.
He said the government was particularly interested in exploiting Delta’s abundant natural gas resources for power generation, pointing to the Kwale Free Trade Zone, which is part of the state’s special economic zone, as a major opportunity for investors.
According to him, prospective investors were taken to the zone during the state’s recent economic summit to enable them to assess the availability of gas as a key raw material for electricity generation. ComparePower Rates
The commissioner explained that generating more electricity locally would not only increase supply in Delta but also free up power on the national grid for use by other consumers.
Aniagwu cited the 8.5MW Independent Power Plant located behind the state secretariat in Asaba as an example of what could be achieved through alternative power sources.
He said the facility had enabled the secretariat complex to operate independently of the national grid, thereby making the electricity that would otherwise have been consumed there available to other users.
He added that the planned 120MW partnership with Supply Power would further strengthen the state’s electricity supply capacity and provide a more reliable power base for small and medium-sized enterprises.
Aniagwu said the state government was also intervening in areas traditionally regarded as the responsibility of electricity distribution companies because inadequate power supply could no longer be allowed to constrain economic development. LearnQuantum Physics
He identified the extension of the electricity grid from Abraka towards the Ndokwa axis as one of the interventions being undertaken to connect more communities to electricity.
The commissioner, however, raised concerns over the burden placed on communities that are often required to provide transformers and other electricity infrastructure, only for distribution companies to take over the facilities and subsequently collect electricity bills without adequately accounting for the investments made by the communities.
He said the state would continue to support efforts aimed at energising communities, noting that improved electricity supply would stimulate businesses, create jobs and help tackle social problems associated with unemployment and idleness.
On regulation, Aniagwu said the government was working with the Ministry of Energy and a committee set up to develop an appropriate regulatory framework for the state’s emerging power sector. SwitchEnergy Plans
He said the proposed energy commission would be responsible for regulating new electricity producers, determining appropriate tariffs and overseeing distribution networks.
The commissioner stressed that liberalising the sector required effective regulation to protect consumers and investors, adding that decisions on power distribution infrastructure, including the use of overhead or underground lines, must take into account the peculiarities and safety requirements of each location.
He warned that power expansion without adequate regulation could expose residents to electrocution and other hazards, stressing the need to protect electricity infrastructure while ensuring consumers were not subjected to unfair pricing.
Aniagwu said the state government’s broader objective was to build an efficient and sustainable electricity market driven by private investment and capable of powering businesses, households and communities across Delta State.
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