Adebayo Adelabu, minister of Power has decried the impact of the rise in the global price of gas on Nigeria’s Power sector, especially as it affects reliable power generation and supply.
Adelabu expressed this concern while speaking during the ongoing African Natural Resource and Energy Investment Summit (AFNIS 2023) in Abuja on Thursday.
According to him, the increase in gas prices may also lead to environmental issues when power companies resort to using cheaper but more polluting fuels.
He said, “In recent times, we have witnessed a significant increase in the price of natural gas in the global market. This surge in gas prices has a profound impact on our power generation subsector.
“Let me mention some of the key consequences which include increased cost of production; reduced reliability; investment challenges; and environmental concerns when power companies resort to using cheaper but more polluting fuels.
“Nigeria with its abundant natural resources, skilled workforce, and vibrant entrepreneurial spirit, is poised to become a regional powerhouse in the energy industry. This summit is a testament to our commitment to harnessing this potential and fostering partnerships that will drive innovation, investment, and prosperity for our nation.”
The Minister, speaking further said that the Tinubu-led administration has recognized the importance of addressing the power crisis and has made it a top priority with the Electricity Act, 2023 recently signed into law.
He said that the government consolidates the laws relating to the Nigerian Electricity Supply Industry as it provides a legal and institutional framework for the power sector in Nigeria in the areas of electricity generation, transmission, system operation, distribution, supply, trading, and consumer protection.
“The Act further provides a holistic, integrated resource plan that compels the utilization of renewable and non-renewable energy sources for power supply in the country and attracts investments into the sector.
“The initiatives to expand access to electricity, upgrade infrastructure, promote renewable energy, and encourage private investment are steps in the right direction. With continued dedication and collaboration between the government, private sector and other key stakeholders, Nigeria can look forward to a brighter future with a more robust and reliable power supply,” he said.
In her remarks, Doris Uzoa-Anite, minister of industry, trade and investment said that
Nigeria has vast potential to become a manufacturing hub for renewable energy technology in Africa. This she said was in line with President Tinubu’s ‘Renewed Hope’ agenda, which aims to create a greener and more sustainable future for Nigeria.
Representing the minister, Ime Ekrikpo, director Investment Promotion & Mineral Trade Department at the Ministry highlighted the nation’s abundance of renewable energy resources including sunlight, wind, and water, and underscored the environmental and economic benefits associated with renewable energy adoption.
“Renewable energy adoption can help in reducing greenhouse gas emissions and stimulate economic growth by creating job opportunities.
“Nigeria is uniquely positioned to become a manufacturing hub for renewable energy technologies due to its skilled labour force, available resources, and entrepreneurial spirit. To realize this vision, the nation must invest in manufacturing facilities, infrastructure, and supportive policies,” she said.
For Mary Ogbe, Permanent Secretary at the Ministry of Solid Minerals Development, the African continent is endowed with abundant natural resources and green energies which are not adequately utilized.
” These Natural resources if harnessed and put to proper use will shape the way the African continent generates and distributes various forms energies for industrial and household uses.
“In recent times, the leaders of Africa have shown commitment and willingness to support and to give this sector the backing it needs. We have to take advantage of this political will. The coming together of great minds like you from all over the world is a testament to the fact that Africa is ready,” she said.