Written by Adewale Sanyaolu
There is growing concern in Nigeria’s energy sector over the slow uptake of compressed natural gas (CNG) and liquefied petroleum gas (LPG) plants across the country. As the country looks to diversify its energy sources and introduce cleaner alternatives, industry players point to a critical lack of gas infrastructure as a pressing issue.
According to recent data provided by the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the number of CNG plants operating across the country is less than 50 and the number of LPG plants less than 3,000. For a country of over 200 million people, these numbers are shockingly inadequate, raising questions about Nigeria’s ability to meet growing energy demands and fully transition to cleaner fuel sources.
The Chief Executive Officer of NMDPRA, Farooq Ahmed, shared these figures at an industry event held recently in Lagos.
He said Nigeria will develop a strong gas sector not only to meet its domestic energy needs but also to position itself as a reliable energy supplier to neighboring countries, thereby strengthening regional energy security. and emphasized the need to promote economic partnership.
Mr. Ahmed added that the country needs to ensure diversification of energy sources and reduce dependence on a single fuel while investing in gas infrastructure.
The NMDPRA CEO said the President’s CNG initiative is one of the federal government’s policies aimed at promoting energy security and reducing dependence on oil.
He noted that the global transition to clean energy presents both challenges and opportunities for Nigeria.
Mr. Farooq asserted that Nigeria stands ready to be a reliable partner as Europe and other regions explore alternatives to traditional gas suppliers. With projects such as the Nigeria-Morocco Gas Pipeline and the West Africa Gas Pipeline, Nigeria is positioned to meet regional and international gas needs while strengthening its influence on the world stage.
However, he stressed that Nigeria, a developing country and OPEC member, is perceived to be slow on climate action aimed at achieving net-zero targets.
According to him, Nigeria needs to navigate the complexities of loyalty and strategic commitment to advocate for gas as a key element in Africa’s energy transition and ensure long-term supply contracts are favorable. .
He noted that Nigeria is at a crossroads and faces the challenge of resolving its economic and social crisis while transitioning to a new energy future.
Recounting, he said Nigeria’s Energy Transition Plan (ETP) was launched in 2022 with the aim of addressing the challenges of energy access, reliability and climate change while promoting economic growth.
“Gas is an important transition fuel to guide the country from carbon-based energy sources to less carbon-intensive fuels such as LPG, CNG, LNG, ethanol, and biodiesel before transitioning to renewable energy in the near future. Chosen to play a role in the future.
He said that while the ETP serves as a blueprint and broad spectrum for coordinating the transition, the trilemma of finance, energy security and international politics poses hurdles that must be confronted head-on.
He said Nigeria is endowed with proven reserves of associated and non-associated gas of over 209 trillion cubic feet, which is the largest in Africa and among the top 10 in the world.
But despite its immense potential, gas has often taken a backseat to crude oil.
Mr Ahmed said that natural gas is a cleaner-burning fuel with about 50 per cent less CO2 emissions than coal and 30 per cent less CO2 than oil, making it the ideal bridge to a low-carbon future. He argued that there was a chance to change the theory. while still meeting immediate energy needs.
He said switching to gas also helps manage the intermittent challenges faced by renewable energy sources such as wind and solar.
“By embracing gas, we are not just talking about an energy transition; we are securing a reliable, cleaner and more sustainable energy supply for Nigeria. ”
The implications of this rollout delay are wide-ranging, according to officials. On the one hand, this reflects the federal government’s broader commitment to promote CNG and LPG as viable alternatives to traditional fossil fuels, which remain essential to reducing carbon emissions, improving air quality, and ensuring energy security. jeopardize your strategy.
However, the limited reach of these gas plants leaves millions of households and industries dependent on more expensive and less sustainable energy options, further exacerbating the economic burden. I am.