Oil & Energy
Energy Transition: Nigeria Requires Green Hydrogen Investments – Osinbajo
Vice President Yemi Osinbajo says Nigeria, as a nation, needs to consider investments in Green Hydrogen in view of energy transition.
Osinbajo made the call while unveiling a book titled “Understanding Natural Gas: A Nigerian Perspective” on Thursday in Abuja.
The Vice President urged the Nigeria National Petroleum Company Limited (NNPC Ltd) to take into account investments in green hydrogen for clean energy.
The Tide’s source reports that the book with 12 chapters is authored and Co-authored by Dr David Ige and Mr Dapo Akinosun (SAN), respectively, and reviewed by Mr Bello Rabiu and Mr Osten Olorunsola.
The source reports that global demand for green hydrogen, which is an alternative low carbon energy, is anticipated to increase by 700 per cent by 2050.
Osinbajo said already there were a lot of talks about green hydrogen in particular, which required natural gas to produce, adding that its huge investments were being taken advantage globally.
“So we, as a nation, ought to be thinking in terms of this greener gas. I believe that investments in hydrogen is something we should take seriously. I am sure that NNPC Ltd will take that into account as we plan for the future.
“We must embrace the opportunity to harness our vast natural gas resources responsibly and judiciously, and while simultaneously chatting a path towards a cleaner and greener future”, he said.
The Vice President also called for a faithful implementation of an energy transition plan which involved decade of gas proposals.
“Nigeria’s energy transition plan attempts to chart a pathway forward because we see solar and renewable energy as the bedrock of that plan.
“And the plan is to develop about 250 gigawatts of solar plants by 2060, which is when we intend to achieve the Net 0.
“The plan also outlines our decarbonisation strategies in the area of power, oil and gas and transportation.
“But it also seeks to mitigate against the possible long-term job losses in oil and gas sector in particular, because this is an industry that has dominated our economy for decades”, he said.
He said due to global geopolitics, especially Russian-Ukraine war, gas prices skyrocketed and countries were forced to confront the vulnerabilities of their own energy supply strategists giving rise to urgent calls for re-evaluation and diversification.
He, however, commended the authors of the book, which he described as one of the few technical texts that had a strong policy and legal perspective towards gas utilisation.
In a remark, the authour, Dr David Ige, CEO of Gas Invest Limited, a natural gas consulting and investment company, said his personal sojourn in natural gas started 18 years ago.
Ige, former Group Executive Director – Gas and Power at the old NNPC, recalled that there was little or no data on gas at that time but realised as he advanced that the solutions being proposed for gas were inconsistent with the scale of demand in gas.
He said his key drivers and sources of inspiration were his policy work on gas master plan at NNPC, teachings in the universities, quest for holistic approach to gas, infrastructure, commercial framework, among others.
He commended the co-author for ensuring that the content of the book was adopted for its relevance to legal practitioners, particularly the young players who would be entering the natural gas for the first time and industry professionals.
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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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