TheCable

Ambrosie Orjiako, chairman of Seplat Energy, says the transition to renewable energy cannot happen overnight.

There have been efforts across the world to transit from fossil-based to zero-carbon energy such as solar, as part of efforts to address climate change impact.

Speaking at the Milken Institute’s 24th annual global conference in Los Angeles, USA, Orjiako said current renewable energy transition plans are driven by “mere policies” instead of innovations.

He said those advocating for renewable energy have not been able to come up with a coordinated energy transition plan. 

“Everyone wants transition that will happen overnight. I think that is really the issue: Where this transition is being driven on the one hand by mere politics, activism, and policy whereas indeed, what the whole players should be looking at will be more around the technology, innovations and the right policy so that you can have a coordinated transition globally,” he said. 

“One of the biggest challenges in energy transition is continuous discordant tunes that people are beginning to sing. And what you’re seeing today with the bull in commodity prices is because there are completely uncoordinated plans where there is a heavy race towards transition.

“But the real message is that energy transition, zero or net carbon emission, is not the same as zero fossil fuels. I think that’s where the players got it wrong. So, there is a massive withdrawal of investible capital from fossil fuel investments. Quite a lot of funds go into renewable energy.”

AT the event, which held on October 17, he also called for better investments in technology, innovations, and policies to address carbon and greenhouse emissions in the process of fossil fuel production.

“How do you prioritise to transit to renewable energy overnight when you have the abundance of fossil fuels in that environment that can leapfrog the provision of power?” he asked.

“So, when you talk about the SDG 7 — access to sustainable universal electricity in an affordable and reliable manner — there is absolutely no way you leave almost 200 trillion cubic feet of gas reserves that can give you this electricity and power very quickly and then you transit and start using renewable energy.”