The Nigerian National Petroleum Company Limited (NNPCL) has called for more collaboration and transparency among parties in the quest by the global energy industry to ensure decarbonisation across the oil and gas value-chain and achieve net-zero by 2050.
Group CEO NNPCL, Mele Kyari, made the call, on Tuesday, while speaking at the on-going Abu Dhabi International Petroleum Exhibition & Conference (ADIPEC 2024) in Abu Dhabi, United Arab Emirates.
He spoke at the Strategic Panel Session of the ADIPEC 2024, titled “Decarbonising Operations across Upstream, Midstream and Downstream.”
Kyari said beyond collaboration, transparency and openness are also important at the decarbonisation efforts, and not by vilifying those lagging behind, but by ensuring that the gaps between all parties are bridged.
Kyari was represented by NNPC Ltd’s Executive Director, Upstream, Mrs. Oritsemeyiwa Eyesan. He said Africa is currently faced with the challenge of tackling the twin-problem of decarbonisation and energy poverty.
He added that, to deal with such challenge, Nigeria made two fundamental policy shifts to support the nation’s decarbonisation process.
“One is declaring the decade of gas as transition fuel from a predominantly diesel and fuel economy to a gas-driven economy, while the second is the removal of fuel subsidy.
“NNPCL has relied on these two policies to drive the nation’s decarbonisation agenda,” Kyari said.
He added that as a signatory to the Oil & Gas Decarbonisation Charter (OGDC), Nigeria is focused on achieving gas flare-out by 2030 through the utilisation of gas for automotive and power generation.
Kyari said Nigeria sits on huge gas reserves of up to 209 trillion cubic feet (tcf). He explained that access to capital for funding gas projects has been a challenge.
He said the balance sheet, which could be easily used for raising money to fund gas projects, comes mostly from the International Oil Companies (IOCs), which is also largely focused on gas export.
“It is important to know that if we must solve this existential problem, then, there should be a provision for the Global South (less energy endowed countries) to access capital to enable them address their problems,” he observed.
Kyari decried how all parties are placed in the same bracket in the quest for decarbonisation, saying, because the pace of progress is based on current state of the countries, the OGDC must continue to provide a level playing field for all.
“It is in understanding the differences cliat exist among us, even though we are trying to solve the same problem,” he added.
Kyari described the level of collaboration in the quest for decarbonisation as
“phenomenal”. He cited the example of Total Energies, which took the challenge to partner with NNPCL through its methane measurement and detection technology.
With over 180,000 participants in attendance, ADIPEC is adjudged to be the world’s largest and most inclusive gathering of energy professionals.
This year’s edition, the 40th in the series of the annual event, holds with the theme, “Connecting Minds. Transforming Energy”.
This was as global energy leaders continue to find ways of accelerating innovation and collaboration towards
fast-tracking global energy transformation, NNPCL Chief Corporate Communications Officer, Olufemi Soneye, stated in a release on Tuesday.
