In its determination to shift away from fossil fuel to cleaner energy alternatives, the Nigerian National Petroleum Company Limited, Group Chief Executive Officer, Mallam Mele Kyari has said that the role of energy as the key driver for any nation to achieve its economic growth and sustainable development can never be overemphasized.
“To achieve sustainable growth of any economy, energy is the fulcrum as it powers most sectors of the economy and defines the extent to which economic activities strengthen the development of a country”.
NNPCL GCEO made this known while delivering his speech at the ongoing 17th African Refineries and Downstream Association (ARDA) Week taking place from 13 – 17 March in Cape Town, South Africa with it theme as, “Balancing Energy Transition and Security for the African Downstream”.
Mele Kyari, ably represented by the EVP Downstream, Engr Adeyemi Adetunji, said while global energy needs continue to increase with a sustained demand of 100mbpd, population growth, an expanding middle class, industrialization, trade, urbanization, and climate change continue to a play a major role as drivers of energy demand.
He however, stressed that Africa’s rapid demographic change will continue to drive up demand for energy services in the coming decades as it population growth rate hits over 2.45% and real GDP is projected to keep a stable and constant growth trend of around 4%, according to African Development Bank in 2023.
“Even though Africa has the world’s lowest levels of per capita use of modern Energy, its demand is set to increase with growth in population and incomes. As its population and incomes grow, demand for modern energy expands by a third between 2020 and 2030 in Sub Sahara Africa (SSA). Today, 970 million Africans lack access to clean cooking gas.
“With heightened campaigns on the use of sustainable energy sources and a match into a net-zero world, the energy mix needs to become more diverse. Africa’s current energy mix is still dominated by fossil fuel with hydropower making the only meaningful renewable energy contribution. It is imperative for African nations to consider cleaner energy sources that are accessible and affordable. To do this, intensive research and innovations is required to support investment decisions, improve operational efficiency, minimize impact on the environment and give players competitive edge”, the GCEO emphasized.
While exploring on Energy Transition: NNPC Limited’s path to Net-Zero Emissions”, Malam Kyari revealed that Nigeria’s declaration of the years 2021 – 2030 as the Decade of Gas is a clear indication of her resolve to drive economic growth with natural gas exploitation while deepening Domestic gas utilization to monetize the over 208 tcf of proven gas reserves.
He said, “The acceleration of natural gas utilization and implementation of our energy sector reform will not only help in reviving oil and gas production but will serve as a catalyst to foster gas-to-power, industrial development, and expansion of the gas network to Gas Based Industries.