TheCable

Mele Kyari, group chief executive officer (GCEO) of the Nigerian National Petroleum Company (NNPC) Limited, says African countries must adopt a strategic approach to address energy transition challenges.

Kyari spoke at a luncheon and panel session organised by the Petroleum Technology Association of Nigeria (PETAN) at the offshore technology conference (OTC), on Tuesday in Houston, Texas, United States.

The NNPC GCEO reiterated the need for the African Union (AU) to adopt a common position on energy access and equitable transition, which he described as a comprehensive approach that charts the continent’s short, medium, and long-term energy development.

Kyari, represented by Adokiye Tombomieye, executive vice-president, upstream, NNPC, said despite having some of the largest oil and gas reserves in the world, Africa has had difficulty in adequately utilising these resources to promote sustainable development.

He said the lack of affordable and dependable electricity on the continent has seriously hampered economic expansion and development, especially in rural regions.

The NNPC boss said the oil and gas sector in Africa has contributed to the continent’s economic growth for several years, adding that its sustainability must be guaranteed.

“As we gather here today, it is essential to acknowledge that Africa is at the forefront of the global energy transition,” Kyari said.

“The journey towards a sustainable, low-carbon energy future presents challenges and opportunities for the continent.

“The energy transition is driving changes in the global energy mix, and it presents significant challenges for Africa (financing, infrastructure, policy/regulatory frameworks, skills, and capacity).

“We must adopt a strategic approach to address them to ensure that we remain competitive, sustainable and relevant in the years to come.

“Despite these challenges, Africa has several opportunities for energy access, economic growth, environmental sustainability, and regional integration in energy transition.”

In his presentation at the event, Gbenga Komolafe, chief executive officer (CEO) of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), said the Nigerian economy is closely knitted with volatile international oil price, adding that it is obvious that the country cannot completely phase out its use of fossil fuels yet.

He said a ‘just’ energy transition was needed in a country like Nigeria. 

“Nigerian government was left with no choice but to reject the notion of a single pathway to net-zero, preferring instead the concept of ‘just’ energy transition which takes into cognisance the specific circumstances of each nation in developing the energy transition pathway that best achieves the environmental, social, political, and economic objectives of the transition in that specific nation,” he said.

“Multiple pathways to energy transition should, and must exist in order to ensure that no country is left behind in the process of achieving net-zero by 2050. Accordingly, the government declared natural gas as our transition fuel ”