The Federal Government, yesterday, said implementation of the Petroleum Industry Act (PIA) 2021 was yielding positive results in the area of addressing the infrastructure decay that had long plagued the gas sector.
Minister of State Petroleum Resources (Gas), Ekperikpe Ekpo, revealed this at the Second Domestic Gas and Gas Infrastructure Summit, with the theme, “Building a Sustainable, Resilient Gas and Renewable Energy Sector in Nigeria and Beyond,” organized by the Abuja Chamber of Commerce and Industry (ACCI) in the Federal Capital Territory (FCT).
On August 16, 2021, former President Muhammadu Buhari signed the Petroleum Industry Bill (PIB) 2021 into law. The law provides a legal, governance, regulatory, and fiscal framework for the petroleum industry, the development of host communities, and related matters.
The minister said: “In addressing the infrastructure decay that has long plagued our gas sector, implementation of PIA 2021 marks a watershed moment.
“The Act’s framework on strategic intervention such as the midstream and downstream gas infrastructure fund is already bridging the gap infrastructure that has been existing, thereby fostering an environment that attracts investment, and innovation crucial for expanding our domestic gas utilization and infrastructure.
“These advancements are not just in anticipation of domestic growth, but strive towards making Nigeria relevant in Africa’s gas market and indeed the world.”
Ekpo pointed out that the strategies and initiatives adopted by the government were geared at intensifying domestic gas consumption and decisively curbing gas flaring.
This commitment, according to him, is evident in the gas commercialization program and other policies that encourage gas-to-power initiatives, gas-based industrialization, and conversion of flared gas to more economic use.
He said the current administration was also looking at alternative energy sources in its quest for diversification and sustainability
While commending President Bola Tinubu for creating the Ministry of State for Petroleum Resources (Gas), Ekpo observed that Nigeria, with a sustainable gas and renewable energy sector, is a nation with a thriving economy and a stable climate.
Minister of Power, Adebayo Adelabu, lamented that despite being a major global producer of gas and endowed with one of the largest gas reserves in the world, Nigeria has struggled to deliver sufficient products to the domestic market amid growing demand.
He argued that a resilient, efficient, and accessible gas infrastructure, as well as renewable energy, remains the key to unlocking new opportunities and promoting socio-economic growth on a global scale.
According to him, with increasing population growth, Nigeria will need substantial additional gas, generation, transmission, and distribution infrastructure to meet its electricity demands.
Adelabu said the much-needed capacity in generation will come from gas to power and renewable energy. ACCI Director-General, Victoria Akai, said the summit was initiated by the Energy Trade Group of the chamber to brainstorm on the importance of gas and why the sector must be given prompt attention by stakeholders across government and business circles.
She noted: “As we navigate through the complexities of transitioning into a sustainable future, it is imperative that we focus on harnessing our abundant resources in the most efficient and effective manner possible. The domestic gas sector presents a unique opportunity for us to diversify our economy, create jobs, and reduce carbon emissions.”
Source- The Guardian Newspaper.