Energy demand in Africa to increase by 35% – Kyari

Malam Mele Kyari, Group Chief Executive Officer, Nigerian National Petroleum Company Ltd., says energy demand in Africa is expected to increase between 30 per cent to 35 per cent in the next 20 years.

Kyari said this at the seventh edition of Sub-Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) on Tuesday in Lagos.

According to him, the increase will support the projected increase in population and industrialisation.

The News Agency of Nigeria reports that the conference was organised by the Petroleum Technology Association of Nigeria (PETAN).

The conference has its theme as “Harnessing a Sustainable African Energy Industry through Partnerships”.

Kyari, who was represented by Mr Adokiye Tombomieye, Executive Vice President (Upstream), NNPCL, said that the conference came at a time when the Nigerian oil and gas industry was experiencing a significant transformation, following the passage of the Petroleum Industry Act (PIA 2021).

The NNPCL helmsman said the need for partnership was more reinforced as more African countries continue to make hydrocarbon discoveries.

”We should collaborate and share knowledge and help each other in critical areas, including technology, exploration and production, research and development, technical expertise and human capacity development to spread the wealth within the continent.

“This would in no small measure assist in achieving energy independence and also aid the transition to cleaner energy sources such as gas to sustain the region.

“This presents an enormous opportunity for us to form partnerships across the continent and build a sustainable future,” he said.

Kyari said that the Act had provided role clarity in governance, rule-based administration, attractive and flexible fiscal terms and direct benefits for the host communities.

According to him, all these are targeted at creating enablers for investor confidence in the Nigerian oil and gas sector, where ample opportunities exist.

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“Ironically, our restructuring is happening at a time when the Energy transition discussion is gaining momentum, and major fund providers for petroleum upstream investment are now activists and anti-fossil fuel.

”As I have always canvassed, decreasing investments in hydrocarbon ventures cannot guarantee global energy security in the near future.

“Rather, an inclusive policy that guarantees access to finance and low-carbon technologies are key to sustaining global energy security and equitable growth,” he added.

He said that Nigeria needs to capitalise on the advancements made in the industry to meet its energy demand, being geographically situated in the sub-African region and as a leader in the oil and gas industry in sub-Saharan Africa.

Kyari said the country also needs to guarantee energy supply, expand its economies and overall, build a sustainable future for millions of people beyond its shores.

“At NNPC Limited, we understand the importance of partnerships in achieving a sustainable energy industry in Africa.

“This is why we have been working closely with countries, companies and other stakeholders to develop innovative solutions that meet the energy needs of the continent.

“We must acknowledge that this new era of automation and artificial intelligence is focused on the application of cutting-edge technologies.

“Such as the use of robotic drilling systems for unmanned operations, the deployment of cognitive computing in upstream operations, super specialised sensors for real-time monitoring and maximisation of reservoir yields,” the GCEO explained.

In his remarks, Mr Nicolas, Odinuwe, PETAN’s chairman, said SAIPEC I, one of the premier annual energy conferences within the sub-Sahara Africa, brings together hundreds of local and international companies, including technology providers.

Odinuwe said the conference also facilitated regulators to inform on domestic and international energy sector developments, business transactions and cross border collaborations.

According to him, energy is core to the economies of 55-member states that constitute Africa.

He said, “As part of ways to harness and sustain the Sub-Sahara energy market, PETAN has continued to reach out to other regions and bodies for partnerships, collaboration and support.

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“This includes an African local content business e-platform, a one-stop collation of available opportunities, capacities and capabilities within the Sub-Sahara. It is currently being developed by the local content associations and will be launched by third quarter 2023.

“It is integrated one-skill passport for welding and related practices with TWF, African local content funding (coordinated by NCDMB).

“PETAN Seal of Quality (PSQ) launched few years ago is being expanded to be industry inclusive in partnership with NCDMB and relevant stakeholders. Our collaborations have also extended to Uganda, Mozambique, Tanzania, Senegal, Ghana, Angola, Guyana etc.

With the African Continental Free Trade Area (AFCFTA), Odinuwe noted that African Union should consider a unified or integrated African certification and standard as practiced in America, European Union, Britain etc.

“We should seriously consider eliminating multiple certifications domiciled outside our sphere and the associated huge foreign exchange impact.

”These institutions outside Africa is supported by their governments have made respective standardisation agencies confined to just names. The TWF personnel certifications/skill passport is a step in the right direction,” he added.

According to Odinuwe, human capacity development is very fundamental in the growth of any economy and local content.

He added that as technology is evolving, it is important to constantly acquire new knowledge and skills through training and retraining.

NAN reports that the conference recorded about 800 conference delegates, 50 participating countries, 200 exhibitors and 6,000 exhibition visitors.

Source – NAN

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