Former Minister of Power and Chairman/ Chief Executive Office (CEO), Geometric Power Group, Prof. Barth Nnaji has stressed the need for government to urgently provide a well-articulated and sustainable programme that would motivate investors to increase natural gas production.
Speaking at the American Business Council Economic Update held in Lagos, he said: “I have called for emergency treatment of the gas sector in Nigeria. I was happy to see that the President recently inaugurated gas projects in Ohaji, Imo State and in Kwale, Delta State. These are steps in positive direction but much more will be required to support the domestic and foreign market demands.”
Specifically, he added: “Even the Nigeria Liquefied Natural Gas company, which makes a huge contribution to our foreign reserves, produces at about 60 percent despite the ready markets. While the authorities must be commended for exploring overseas markets for Nigeria’s natural gas for the nation’s benefit, they need to bear in mind that charity starts at home. It is not just local power producers that are currently bleeding owing to insufficient gas; there is not sufficient Liquefied Petroleum Gas (LPG) for our kitchens. People are now resorting to firewood and coal for cooking, thus worsening the environmental crisis.”
In terms of vehicular transportation, he observed Nigeria seems to be embracing CNG and Electric Vehicles. To him, “there are challenges to these two solutions. On the CNG solution, the gas must be available to be compressed into CNG. Unfortunately, the non-availability of adequate gas for power and industrial processes will also afflict the CNG initiative.”
It is difficult to understand that Nigeria has proven natural gas reserves of over 206 trillion cubic feet with an estimated recovery of 139.4 Trillion cubic feet, but many of the gas-fired power plants in Nigeria, including Geometric Power in Aba, have inadequate gas supply.”
