…End petrol subsidy now, IPPG urges FG •NNPC hopeful of oil find in Nasarawa
By Obas Esiedesa
VICE President Yemi Osinbajo said yesterday that the $2.8 billion Ajaokuta-Kaduna-Kano pipeline project has reached 43 per cent completion, with NNPC Limited saying gas from the pipeline would lead to generation of 5 gigawatts of electricity to the country.
Prof. Osinbajo, who disclosed this shortly before declaring open the 2023 edition of the Nigeria International Energy Summit, NIES, in Abuja, said the current government had done a lot to reform the oil and gas industry, particularly with the enactment of the Petroleum Industry Act, 2021.
The summit has the theme: Global perspective for a sustainable energy future.
Represented by the Secretary to the Government of the Federation, Mr. Boss Mustapha, the Vice President explained that when President Muhammadu Buhari administration came in 2015, the petroleum industry was faced with several challenges and was not where it ought to be.
“We dismantled some of those challenges. And a lot of people in this room work closely with us to make things happen. Energy was and would remain a top priority of this administration till my last day in office. That is the reason we paid close attention to a lot of reforms in the sector.
“We embarked on all these reforms not just because it is good for the energy industry, but because it is also good for the overall economy. And our efforts indeed, helped grow our economy and created a lot of jobs”, he added.
He stated that the Federal Government raised N200 billion and $7 million (about N3.2bn using import and export window of N460.93 to a dollar) from the marginal oil field licencing round held last year.
The Group CEO of NNPC Limited, Mele Kyari, said when completed, the AKK pipeline would boost gas supply to factories and industries along the corridor, with power generation set to be improved by additional 5GW.
Kyari, who was represented by Executive Vice President, Gas, Power and New Energy, NNPC Ltd, Mohammed Ahmed, said, “NNPC Limited is also investing heavily in critical gas infrastructure such as the Ajaokuta-Abuja-Kano (AKK) gas pipeline and the OB3 gas interconnector to support 5 Bscf/d of domestic gas utilization including 5 GW of power generation capacity by developing power plant projects along the AKK pipeline corridor and across the country to complement the existing ones.
Kyari expressed optimism that “the recent spud-in of the EBENYI – A in Nasarawa State will yield positive results as well”.
On his part, the Chairman, Independent Petroleum Producers Group, IPPG, Mr. Abdulrazaq Isa, urged the in-coming administration to urgently tackle the issue of oil and immediately end the subsidy on petrol.
He tasked the in-coming administration on “Improving investor confidence through effective implementation of the PIA and strengthening of regulatory institutions and dealing with crude theft across the Niger Delta, which still lingers despite recent successes recorded by the Federal Government. (Vanguard)