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OPEC’ll Maintain Steady Flow Of Energy Supplies-Barkindo
The Organisation of Petroleum Exporting Countries (OPEC) says it would remain fully focused on maintaining a steady flow of energy supplies to consumers.The OPEC Secretary-General, Dr Mohammad Barkindo, said this, yesterday, at the ongoing Nigeria Energy Forum (CERA Week 2022 Agenda) in Houston, Texas.
The forum is tagged: “Oil and Gas Investments: The Future of Fossil Fuels Amid the Quest for Decarbonisation”.
Barkindo, in a keynote address, which was made available to newsmen in Abuja, said that OPEC would remain focused on energy supplies in spite of Russia-Ukraine crisis and COVID-19 pandemic which had adverse effects on the energy markets globally.
“Over the past ten days or so, we have seen escalating geopolitical tensions, which are still unfolding and having adverse effects on energy markets across the world, resulting in heightened levels of volatility.
“The tensions have spooked investors and rattled commodity markets. We recognise this and are following developments very closely.
“Our hope in this crisis is that all parties involved can reach positive outcomes that will be acceptable to all,” he said.
Barkindo noted that the COVID-19 pandemic taught OPEC the value of taking a prudent approach to oil supply and demand developments.
According to him, this should be done with the flexibility to adapt strategies as and when needed, ultimately for well-being of global community.
In terms of the market outlook for 2022, the secretary-general said there was evidently some optimism, but it was also cognisant that uncertainties remained and was further complicated by geopolitical developments and exceptional market volatility.
According to him, optimism is being driven by the vaccine rollout, although this needs to filter through to more developing countries, improving mobility, and the continuing economic recovery.
“Uncertainties relate to COVID-19 developments, although at present we see the impact of the Omicron variant on the oil market to be relatively mild and short-lived.“Additionally, the geopolitical challenges already mentioned global supply chain issues, potential effects of rising inflation, consequent rise in interest rates, and knock on-impacts from challenges in gas, coal, electricity sectors, need to be closely monitored,” he said.
Speaking on the theme of the session, he said the unpredictability and volatility brought on by the pandemic had intensified discussions related to climate change and the energy transition.
This, Barkindo said, was clear at 2021 COP26 meeting in Glasgow, Scotland.
He listed a number of positive outcomes such as the U.S. returning to the head of the multilateral table, all parties commitment to the implementation and full operationalisation of the Paris Agreement, and the announcement of the Glasgow Climate Pact.
This, he said was all encouraging, given the pressing need to reduce global emissions, alleviate energy poverty, counter the impacts of the pandemic, and find a sustainable way forward leaving no country, industry, or peoples behind.
Additionally, he said that it was witnessing investors, environmental lobbyists and some corporate boards pressuring oil and gas companies and governments to pursue increasingly radical policies and initiatives that could be more disruptive, than productive for global energy industry.
“There have recently been calls for investments in new oil and gas projects to be discontinued, particularly in the context of discussions around net-zero targets. This is again wrong.
“We understand the move of many developed nations to set net-zero emissions targets. A number of developing nations have too. In fact, some OPEC Member Countries, including Nigeria, have made political pledges on net zero.
“However, it is important to appreciate the massive challenges for developing countries to reach net zero emissions, many of which are acutely focused on priorities such as energy access, living wages, and supplying basic necessities.
“We need to continually keep in mind that access to affordable, reliable, sustainable and modern energy, is a right for all, not a privilege of the few, and is enshrined by the UN in Sustainable Development Goal Seven,” he noted.
According to him, the unfortunate reality for developing countries is that a staggering 759million people worldwide did not have access to electricity in 2019, with about 79per cent of them located in Africa.
Moreover, he said there were roughly 2.6billion people or 34per cent of the global population who did not have access to clean cooking fuels and technologies.
This, he said included a massive 70per cent of Africans, exposing them to high levels of household air pollution.
He further disclosed that from the perspective of Nigeria alone, in 2019, only 55per cent of the population had access to electricity and only 13per cent had access to clean cooking.
He recalled that in the energy poverty debate that Africa was still relatively unexplored in terms of oil and gas.
According to him, this is in spite being bestowed with approximately 125billion barrels of proven oil reserves and 16trillion standard cubic metres of natural gas.
News
RSG Seeks Horticulturists’ Partnership To Restore Garden City Status
The Rivers State Government has called for stronger collaboration with horticulturists as part of renewed efforts to restore the aesthetic appeal and environmental quality of Port Harcourt, in line with its urban renewal agenda.
The Commissioner for Urban Development, Sir Amairagha Edward Hart, made the call during an interactive session with private horticulturists and flower dealers at his office in Port Harcourt, recently.
He said the present administration remains committed to reviving the famed Garden City status of the state capital through deliberate policies and strategic partnerships, noting that professionals in horticulture have a key role to play in achieving that vision.
The Commissioner stressed that the state government is placing high premium on environmental sustainability, beautification of public spaces, and the creation of a serene urban atmosphere that reflects global best practices.
The Commissioner urged horticulturists to align their operations with government’s urban development guidelines, adding that their expertise and experience are essential in transforming Port Harcourt into a model city.
According to him, the collaboration will not only enhance the city’s visual appeal but also contribute to improved environmental health and economic opportunities for practitioners in the sector.
He, however, cautioned against practices that undermine urban order, particularly the obstruction of walkways and indiscriminate occupation of public spaces meant for other uses.
Hart emphasized that while the government encourages business growth, such activities must be carried out in a manner that supports urban planning objectives and promotes public convenience.
In a move to further support the sector, he disclosed plans by the Ministry to establish a dedicated “Flower Village” that will serve as a central hub for horticulturists and flower dealers across the state capital.
He explained that the proposed initiative is aimed at restoring sanity to the use of walkways and road corridors, while also creating a structured environment that will enhance business operations and boost revenue generation.
Responding on behalf of the practitioners, Evang. Caroline Nabo highlighted some of the challenges faced by horticulturists, including theft of plants and materials by scavengers and scrap metal dealers.
She appealed to the state government for intervention to safeguard their investments, even as she and other stakeholders commended the Ministry’s proactive steps and pledged their support towards the successful greening and beautification of Port Harcourt.
King Onunwor
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TUC Demands Subsidy To Cushion Rising Fuel Prices
The Trade Union Congress of Nigeria (TUC ) has called on the Federal Government to deploy excess crude oil revenue to subsidise local refineries as a way of cushioning the impact of rising fuel prices on Nigerians.
President of the Congress, Festus Osifo, who made the call during a press briefing in Abuja, yesterday, warned that the price of Premium Motor Spirit could climb to as high as N2,000 per litre if urgent measures are not taken.
Osifo said the persistent increase in the pump price of petrol, driven by global crude oil price volatility and exchange rate challenges, has worsened the economic hardship faced by Nigerian workers.
The TUC leader attributed the surge partly to international developments, including tensions involving the United States, Israel and Iran, which have affected global oil supply dynamics.
Osifo also linked the rising cost of petrol to the depreciation of the naira, warning that the continued weakening of the currency is compounding inflationary pressures and reducing the real value of workers’ earnings.
To address the situation, the TUC president proposed that the government should utilise excess revenue generated when crude oil prices exceed the budget benchmark to support local refining.
He explained that with the 2024 budget benchmarked at $64.85 per barrel, any price above that threshold results in additional revenue shared by the three tiers of government, adding that at least 60 per cent of such excess funds should be channelled into subsidising crude supplied to domestic refineries, including the Dangote Refinery and other modular refineries.
He also urged authorities to take deliberate steps to stabilise the currency, noting that exchange rate stability would significantly reduce the cost of imported energy and other goods.
The TUC said it would formally communicate its proposals to the Federal Government, including the Presidency, with a view to ensuring the prompt implementation of measures to ease the hardship facing Nigerians.
He said, “Today, the cost of petrol is heading towards N2,000 per litre, depending on the part of the country that you are in. It has deeply affected the purchasing power of the salaries that we earn as Nigerian workers.
“Let the government take that excess fund that was never budgeted for, take at least 60 per cent of it, and use it to subsidise the crude being supplied to Dangote Refinery.
“The same should be done for Dangote Refinery and all modular refineries, where crude is supplied to them at that subsidised rate.
“Take the difference from the excess crude revenue, take about 60 per cent of it, and use it to subsidise the price at which crude is supplied to the refinery.
“When you subsidise crude, it cannot be abused because you are subsidising production directly. When that is done, we are going to see an immediate reduction in the price of petroleum products.”
News
DHQ Confirms Deaths Of Terrorists, Soldiers In Borno Attack
The Defence Headquarters has confirmed that terrorists and military personnel were killed when insurgents launched a coordinated attack on the 29 Task Force Brigade Headquarters in Benisheikh, Borno State.
The military, however, did not confirm or debunk reports that the Commander of the 29 Brigade, Brigadier General Oseni Braimah, was among those killed in the incident.
The Defence Headquarters in a statement by the Director, Defence Media Operations, Major General Michael Onoja, yesterday, said the attack occurred at about 12:30am yesterday when insurgents attempted to breach the defensive perimeter of the military installation.
He said troops of Operation HADIN KAI, led by the brigade commander, responded with “exceptional courage, professionalism, and superior firepower,” forcing the attackers to retreat.
“In continuation of the Armed Forces of Nigeria’s counter-terrorism efforts, troops of the 29 Task Force Brigade in Operation HADIN KAI came under a coordinated terrorist attack on their location at the Brigade Headquarters in Benisheikh, Borno State.
“However, the troops, led by the Commander 29 Brigade, Brigadier General Oseni Braimah, responded with exceptional courage, professionalism, and superior firepower. In a well-coordinated counteraction, the insurgents were decisively engaged and forced to retreat in disarray, abandoning their mission, ”the statement partly read.
The Defence Headquarters described the attack as a sign of desperation by insurgents who had suffered significant losses in recent military operations.
“This attack is a clear indication of the desperation of terrorist elements who, having suffered significant losses in recent operations, continue to resort to futile and ill-fated offensives against well-defended military positions,” the statement added.
The military acknowledged that the encounter resulted in casualties among troops, but did not confirm or debunk reports that the Commander of the 29 Brigade, Brigadier General Oseni Braimah, was among those killed in the incident.
“Regrettably, the encounter resulted in the loss of a few brave and gallant soldiers who paid the supreme price in the line of duty. The Chief of Defence Staff honours their heroism, sacrifice, and unwavering commitment to the defence of the nation,” the statement noted.
It added that the High Command had extended condolences to the families of the fallen personnel and urged the public to avoid spreading unverified information, especially on social media.
The Defence Headquarters also disclosed that clearance operations were ongoing to track fleeing insurgents and prevent them from regrouping.
“The Armed Forces of Nigeria, in collaboration with other security agencies and stakeholders, remain resolute and undeterred in the ongoing fight against terrorism and insurgency. Additional clearance and exploitation operations are ongoing in the general area to track and neutralise fleeing insurgents,” the statement said.
The incident follows a pattern of rising attacks in the region in which residents and security personnel have lost their lives.
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