The seven protesting communities occupying Shell Petroleum Development Company (SPDC) Estuary Area (EA) in Bayelsa State have indicated to maintain a peaceful occupation of the facility while awaiting favourable mediation.
Bayelsa State
Mr Timothy Geregere, Chairman of Bisangbene, one of the host communities, disclosed this on Sunday, May 26, 2024, at Bisangbene.
The communities in Ekeremor Local Government Area of Bayelsa took the protest to the EA oilfields, off the Atlantic coastline, on Tuesday.
The protesters arrived at the facility on speedboats chanting solidarity songs in the Ijaw dialect.
Geregere says although they have received appeals to vacate the facility, they would rather stay back but maintain a peaceful disposition until the matter is resolved.
According to him, they have assured they will remain peaceful, keeping vigil and helping the military to secure the facility.
He said this would continue until the oil firm reverts the composition of the EA Host Community Development Trust (HCDT) to seven in reflection of the cultural affinity of the people.
He maintained that the plot by SPDC to foist five other communities in the HCDT was unacceptable.
The Petroleum Industry Act (PIA) 2021, he says, mandates oil firms to set aside three per cent of their operational expenses for community development to be managed by HCDT.
Geregere regretted that they were compelled to resort to a peaceful protest having made efforts to no avail to resolve the dispute on the negotiating table.
The community leader said it was regrettable that despite making the position of the seven settlements clear in several letters to the company, SPDC ignored them.
“We have been compelled to go this far by mobilising the communities to draw the attention of all stakeholders to our simple demand; we want to be treated separately in the EA oilfield and have written several letters to SPDC.
“We have come here to draw attention to the delay tactics of foisting ‘strange bedfellows’ together, which is a grand plan to retard development.
“We will not allow divide-and-rule in our communities, so we are telling the world that we should be allowed to operate a separate trust.
“We will remain here until our demand is met, and earnestly hope they will not push us to shut down the facility,” he said.
He explained that the separation became necessary because the 12 communities in the EA, including five other communities, could not work together.
The seven communities that have resolved to work together are Bisangbene, Amatu I, Amatu II, Letugbene, Orobiri, Ogbintu and Azamabiri.
According to the community leader, four different clans initially operated the Global Memorandum of Understanding (GMoU) before the advent of the Petroleum Industry Act (PIA) in 2021.
He said when the PIA came, SPDC indicated intentions to merge the different clusters but that the seven communities rejected the proposal of adding five other communities with them.
They insisted on having a separate trust from the five other communities, which are Bilabiri 1, Bilabiri 2, Ikeni, Izetu, and Agge.
When contacted, SPDC Spokesperson, Mr Michael Adande, said the matter was already in court.
“The EA Host Communities Development Trust is a subject of intra-communal litigation, the outcome of which is being awaited before any further steps by the SPDC.”
Global talks ahead of the 2024 COP29 climate summit must find a way to boost the share of clean energy investments in emerging economies, which has “remained flat” over the last 10 years, IEA Executive Director, Fatih Birol, said in an interview with Bloomberg.
Fatih Birol, Executive Director of the International Energy Agency (IEA)
Discussions about increasing funds to help poorer countries fight global warming and how the money will be divided among them are still ongoing, “with different if not opposing views on the topic,” he noted.
Ahead of COP29 in Baku, Azerbaijan in November, countries are working out details of a new annual climate finance goal, which is likely to be at least hundreds of billions of dollars. The topic has become controversial at UN summits, as a previous climate finance goal set in 2009 to deliver $100 billion per year by 2020 to poorer nations was only hit once, in 2022, according to the Organisation for Economic Co-operation and Development.
Birol said overall global clean energy investments are growing significantly, but the amount of money going to emerging and developing countries has “remained flat” at 15% of the total amount since 2015. It is currently about $250 billion, he said.
“So, this, in my view, is the fault line of our journey to reach our climate target,” he said. “This will be the key topic for our high-level dialogues with our colleagues from Azerbaijan and the rest of the countries.”
OSCE and Azerbaijan are already co-operating in the field of ecology and climate change, OSCE Chair-in-Office, Malta’s Minister for Foreign, European Affairs and Trade, Ian Borg, said in an interview with Report.
He welcomed Azerbaijan’s active participation in a project on climate and security, which is facilitating cross-border cooperation between Azerbaijan and Georgia on wildfire risk reduction for climate resilience.
Borg said: “With Azerbaijan preparing to host COP29, there is a significant opportunity for deepening this cooperation even further and developing meaningful discussions on the nexus between climate change and security. These discussions could be highly beneficial and align with ongoing conversations within the OSCE on this critical intersection.”
The step taken by Armenia to hold the 29th session of the Conference of the Parties to the UN Framework Convention on Climate Change (COP29) in Azerbaijan was a very good sign, Deputy Minister of Energy of Azerbaijan and Chief Executive Director of COP29, Elnur Soltanov, said.
He made the remark at the presentation ceremony in Lachin regarding COP29 with the participation of members of diplomatic corps accredited in Azerbaijan, including military attachés.
According to him, the decision to hold COP29 in Azerbaijan was made possible with the support of the entire international community:
“It is a very responsible task to lead the most important negotiations on climate change and climate crisis in the world as the host of COP29. We need to take measures to fight the global climate crisis. But for this we need some tools. The main tool of implementation is finance. Thus, we must come up with an ambitious action agenda, and we have started work on this path. In this way, we will inspire and revive the world community.”
The Deputy Minister said that Karabakh and Eastern Zangazur have been declared green energy zone.
“Thus, Karabakh and Eastern Zangazur become a testing ground for Azerbaijan’s green technology and green energy. Therefore, the importance of this region coincides with the great task we have undertaken. Because Karabakh and Eastern Zangazur are the places where we test the best technologies for the green world. If it is successful, we will apply it in other regions of Azerbaijan. We will produce more green energy than is consumed in this region, and it could be exported to other regions of Azerbaijan.”
Baku, the capital of Azerbaijan, will become the world centre of climate policy November 2024 by hosting the 29th session of the Conference of the Parties to the UN Framework Convention on Climate Change (COP29). The decision to hold a climate conference for the first time in a South Caucasus country was made at the COP28 plenary meeting held in Dubai on December 11, 2023. Baku is expected to receive about 70,000-80,000 foreign guests as part of the event.
In an interview with Report, Ulrik Lenaerts, Deputy Director for Environment and Climate Policy and Cooperation of the Federal Public Service for Foreign Affairs, Foreign Trade and Development Cooperation of Belgium, spoke about the importance of COP sessions in the fight against climate change, emphasised the main tasks that should be paid attention to when preparing for COP29, underlined the possibility of establishing cooperation between Belgium and Azerbaijan in this direction and much more.
Ulrik Lenaerts, Deputy Director for Environment and Climate Policy and Cooperation of the Federal Public Service for Foreign Affairs, Foreign Trade and Development Cooperation of Belgium
How would you characterise the importance of these sessions as a man who has been taking part in the COP sessions for many years?
The Paris Agreement works with the five-year ambition cycle and also has defined clear goals on the temperature goals, not tackling climate change. So, the temperature stays far below two degrees and possibly 1.5 degrees.
The annual COP meetings are that once-in-a-year opportunity to bring everyone together in bringing those goals closer. COP meetings are very unique, and you won’t find something similar in other policy areas.
Firstly, you have the actual negotiations between governments for an agreed global consensus on how to move forward with the implementation of the Paris Agreement.
Next, you have the climate action agenda, that is the different stakeholders, trade unions, businesses, youth and others that showcase certain initiatives that present targets from their side, and that very often interrelates with the issues that are under negotiation. So, they create a kind of a further expectation on what that negotiated outcome needs to look like.
And thirdly, a COP is a kind of global gathering where all the actors active on climate have this convening space.
Because of the fact that energy transition and also adaptation involve so many different actors, these actors became very eager to join COP meetings, to have COP meetings as a meeting point, to share their experience, their know-how and to build partnerships with others, also putting pressure on negotiations. And that makes the COP meetings so special.
What are your expectations from hosting a climate conference here in Baku? What issues will be on the agenda of COP29?
COP in Baku is facing very much a challenge of taking forward what we agreed in Dubai when there was a political finalisation of that five-year ambition cycle.
It was prepared for two years with a lot of scientific reports, with a lot of technical negotiations, and it resulted in clear guidance for the new NDCs. These are the national climate goals that have to be introduced in the latest by the beginning of 2025.
And it’s very important that in that respect, COP29 is that enabling COP that really strengthens international cooperation on developing those national goals.
It’s common knowledge that climate funding will become the main topic at COP29. What can you say about that?
There’s a high-level expert panel on finance that also has been created to support the preparations for the new finance goal.
But what this analysis shows is that the amount of finance and investments that you need for the ambitious and diseased energy transition and adaptation is in a magnitude of trillions annually.
What is very important, I think, for everyone in the preparatory discussions it was obvious that all countries want to see a goal that lives up to that challenge that responds to actually what is needed to achieve the goals.
A large proportion of climate finance comes from domestic national resources. And there it’s very important that the enabling environments are encouraging, attracting climate investments. You can do so by setting clear goals on where you want to go on renewables, on energy efficiency.
You can also do so by introducing cap and trade or carbon pricing instruments. There are lots of ways to do so, but it’s very important that you have a framework at the national level that is supportive of investments for climate.
If you look, for instance, at the numbers from the International Energy Agency, their analysis shows that 87% of the newly installed capacity in 2023 was renewable energy. So, a lot of the international energy investments at present and in the near future are in the areas of energy efficiency and renewables.
Unfortunately, what you also see in the analysis of the International Energy Agency and IRENA – International Institute on Renewables, is that you have a very uneven spread of the investments on renewables and also on energy efficiency. What they show is that you have a concentration of investments in developed countries, also in China. And that to some part has to do with the high costs of investments in those countries, where it’s certainly important that the COP also encourages for more risk appetite by the international actors, while also minimising that risk by having nationally the enabling environments that can attract the finance.
How can Azerbaijan and Belgium cooperate in implementing climate change initiatives?
Belgium has a rather small territory in the North Sea, but with the investments that have been made in the North Sea and the additional investments that we expect, and we have been in close cooperation with all the actors in renewable energy and particularly offshore wind and green hydrogen, we will be able to generate the amount of offshore wind energy that equals the total household energy consumption from Belgium by 2030.
And I’m mentioning this because you, and this region is certainly considering and has embarked on similar regional energy cooperation initiatives. So, I think it’s certainly interesting to really share notes on how countries pursue that kind of regional integration of networks. It’s a very challenging.
And, for instance, within the North Sea, it’s not just about identifying zones where you will have offshore production, attracting investors, but also creating an energy island that would work as a kind of buffer when you have overproduction of energy at some point, and then you can use it at moments that you have lesser production. But it’s also setting up the transmission networks and the connection to the continent and so forth.
It involves a lot of expertise and bringing a lot of actors together. I think that is certainly an area where both Azerbaijan and Belgium, as a North Sea country, can have areas to cooperate and exchange ideas.
How can you assess the work done by the COP29 team and preparations for this large-scale event?
Those exchanges were very positive. Since we have the EU presidency during this semester, one of the first things that we decided, was coming to Baku and to connect with the COP29 team. We were impressed by the state of the preparation, also because it was very short after the actual decision on the host for COP29 was passed. That was in December. And we came at the end of February, beginning of March.
And everyone we spoke was perfectly aware of the topics, the challenges, what the role of the COP presidency is. So, we have a lot of confidence in Azerbaijan for hosting and presiding the COP.
We hope to have the result on climate finance, cooperation on NDCs and there are other deliverables that we are looking at. For instance, we hope to get a result on the market mechanism in a way that supports climate ambition. There’s a review of the gender action plan. We hope that that will be concluded.
On assumption of office, the President Bola Tinubu-led administration embarked on an ambitious transformation to revitalise Nigeria’s economy and improve the lives of its citizens.
Minister of Water Resources and Sanitation, Prof. Joseph Utsev
Central to this vision is an 8-Point Agenda targeting key areas such as food security, poverty alleviation, economic growth, inclusivity and national security.
A cornerstone of this plan is the Federal Ministry of Water Resources and Sanitation, which has been tasked with several critical initiatives.
One of the immediate priorities is ensuring that both food and water availability and affordability are considered national security issues.
This integrated approach mandates collaboration between the Federal Ministry of Agriculture and the Federal Ministry of Water Resources and Sanitation to promote year-round agricultural productivity through effective irrigation.
The government says it recognises the need for a secure environment where farmers can work without fear of attacks.
By engaging the nation’s security architecture, the government says that efforts are underway to protect farmlands and ensure the safety of those who cultivate them; thus encouraging farmers to return to their fields.
It may be recalled that the twelve River Basin Development Authorities (RBDAs) are pivotal in supporting continuous farming.
By implementing irrigation schemes, these bodies are enabling the cultivation of crops even during the dry season, thereby mitigating seasonal fluctuations in food supply.
For instance, the Graduate and Youth Empowerment programme in these river basins has supported young people in acquiring improved farming skills using water resources from dams and irrigation facilities.
A beneficiary at the Benin-Owena River Basin scheme, Michael Salami, said he had been trained in beekeeping techniques and had found more opportunities to expand his business and become self-employed by exporting honey.
Other beneficiaries were trained in aquaculture, palm oil production, and rice farming, among other areas.
To align with the Renewed Hope Agenda and the Declaration of State of Emergency on Food Security, the ministry has unveiled several flagship projects.
These include the Water for Expanded Irrigated Agriculture Programme (WEIRPRO), the Partnership for Expanded Irrigation Programme (PEIRPRO) and the River Basin Strategy for Poverty Alleviation (RB-SPA).
These initiatives aim to revolutionise irrigated agriculture, boost food security, alleviate poverty, create jobs, and spur economic growth.
The ministry says it is committed to adopting innovative water resource management practices.
This involves partnering with state and local governments, as well as communities, to enhance agricultural productivity.
According to the ministry, by transitioning from traditional methods to scientific approaches, the goal is to achieve year-round farming, frequent cropping cycles and higher crop yields.
While new initiatives are critical, the ministry also prioritises completing existing projects.
Given the significant capital investments already made, it is essential to ensure that these projects deliver value for money and contribute to the socio-economic wellbeing of the citizenry once operational.
It may be recalled that the theme of the 30th Meeting of the National Council on Water Resources and Sanitation, “People, Planet and Prosperity: Promoting Water Governance for National Food Security,” reflects the administration’s comprehensive plan.
The meeting offered a platform to review progress since the last council gathering and make strategic decisions to meet presidential and Sustainable Development Goals (SDG) targets in the water and sanitation sectors.
In his submission, the Minister of Water Resources and Sanitation, Prof. Joseph Utsev, said efforts to enhance the food security agenda included the construction and rehabilitation of dams and associated infrastructure.
The minister said the agenda supported water supply, sanitation, irrigation, and hydropower generation; thereby contributing to the nation’s socio-economic development.
In response to frequent flooding, Utsev said it was done with the development of a comprehensive plan to prevent flood disasters.
According to him, it includes designing buffer dams and conducting feasibility studies for flood detention dams to manage excess water from major rivers.
He said effective collaboration among federal, state, and local governments is essential to maximise the benefits of existing water infrastructure.
This cooperation, he added aimed at harnessing the full potential of dams and irrigation systems for socio-economic growth.
It is worthy to note that irrigated agriculture is key to Nigeria’s economic vibrancy, with completed irrigation schemes, handed over to farmers through the World Bank-sponsored Transforming Irrigation Management in Nigeria (TRIMING) project.
The project has significantly boosted agricultural productivity in regions like Jigawa and Kano states, while sustainability strategies and planning to expand 500,000 hectares of irrigable land by 2030 have been developed by the ministry.
Agriculture stakeholders believe that climate change is another significant problem affecting Nigeria’s agricultural sector, as changes in temperature and rainfall patterns have affected crop yields.
Mrs Liyatu Ayuba, a member of the Small Scale Women Farmers Organisation in Nigeria (SWOFON), called on the Nigerian government to extend financial facilities to farmer cooperatives and processing companies.
She said that such support was crucial for procuring the technologies and inputs needed for business growth.
Ayuba highlighted the need for the Nigerian Meteorological Agency (NIMET) to increase efforts in providing farmers across different agro-ecological zones with seasonal rainfall predictions.
According to her, it is vital for farmers to plan and operate their farms effectively in response to expected rainfall patterns.
Ayuba urged the Ministries of Agriculture at both state and federal levels, along with the Central Bank of Nigeria, to facilitate agricultural insurance for small-scale farmers.
She said such support was necessary to mitigate losses caused by climate change-induced events such as floods, droughts, and erosion.
“State Ministries of Agriculture should be encouraged to ensure farmers have access to essential inputs.
“This would optimise harvests, enhance resilience to climate change, secure food supply, generate more demand for farm products and open market channels for moving food from rural areas to cities,’’ she said.
Ayuba underscored the need for continued collaboration and support from stakeholders in formulating policies to achieve the Renewed Hope Agenda.
Mr Kabir Ibrahim, the National President of the All Farmers Association of Nigeria (AFAN), noted that addressing the food crisis without tackling security issues is futile.
Ibrahim said that many farmers had been killed on their farms, and numerous others were currently seeking refuge in various IDP camps.
He acknowledged the current administration’s efforts to ensure food security but raised a vital concern.
“The primary objective is to get our people back to their farms, which can only happen when they feel safe and assured of returning home alive; therefore, security must be the starting point,” he said.
Corroborating further, a Water Resources expert, Dr Inuwa Kuta, said that achieving water governance for food security was essential and about deliberately putting programmes that would improve the lives of the population.
According to him, effective water governance is acknowledged as a key factor to impactful food security and socio-economic development of any nation.
He said by prioritising the availability and affordability of food and water, the administration addressed the critical resources as national security issues.
“The focus on innovative water resource management, completing existing projects, and proactive climate measures underscores a commitment to sustainable development.
“To enhance food security, Nigeria should strengthen farmer security, expand irrigation, and promote climate-resilient practices, while also providing financial support, fostering government collaboration, and encouraging public-private partnerships,’’ he said.
Kuta said implementing the aforementioned recommendations would help Nigeria achieve its food security goals and ensure a resilient and prosperous future.
All in all, experts say the focus on innovative water resource management is laudable.
They hold that the completion of existing projects, as well as proactive measures against climate change and flooding underscore the administration’s commitment to sustainable development and socio-economic well-being of Nigerians.
A former federal lawmaker, Chief Sam Onuigbo, has commended President Bola Tinubu for recognising the opportunities that abound in implementing the Climate Change Act.
Rep. Sam Onuigbo
Experts say mitigating the impact of climate change and protecting the environment will make the earth safer for humans, animals and plants.
Onuigbo, who sponsored Nigeria’s Climate Change Act in the National Assembly, is also the Chairman, Committee on Security and Climate Change, North East Development Commission.
He gave that commendation on Friday, May 24, 2024, at the launch of Nigeria’s Nationally Determined Contributions (NDC) Implementation Framework in Abuja.
He said through his actions and official pronouncement, Tinubu had demonstrated that he appreciates what the country stood to gain from mitigating the impact of climate change.
Tinubu has supported the movement of electricity generation from the exclusive list to the concurrent list.
He has also thrown his weight behind to conversion of vehicles to Compressed Natural Gas (CNG).
The president has also ordered Ministries, Departments and Agencies to patronise CNG in their procurement of vehicles.
He also said the launch of the NDC was a strategic milestone and a sure path towards attaining Nigeria’s 2050-2070 net-zero target as provided in the act.
The former lawmaker also commended other stakeholders working assiduously to tackle climate change in the country.
“I am happy because what we started on a small scale when there was little or no awareness, is truly moving in the right direction in a gradual but steady manner.
“I would like to congratulate the Director-General and the leadership of the National Council on Climate Change (NCCC), the Federal Ministry of Environment, NDC Partnership, and other facilitators – local and international.”
The Minister of Environment, Balarabe Abbas Lawal, launched the Long-Term Low Emission Development Strategy (LT-LEDS) at COP28 in Dubai, UAE.
The LT-LEDS is a strategic milestone that translated the net-zero presidential pledge made at COP26 into a vision for the transformation of Nigeria’s economy and society by 2060.
Onuigbo said the event on the global stage was followed by several other activities in Nigeria, including the high-level presentation and socialisation of the LT-LEDS on May 8, 2024.
He also expressed satisfaction that Nigeria now has a clear pathway towards attaining Section 1 of the Act he sponsored, which aims “…achieving low greenhouse gas (GHG) emission, inclusive green growth and sustainable economic development”.
He further noted that Nigeria ranks among the top countries where climate change badly impacts children; a reason why women, youths, and children were prioritised in the act.
He cited Section 26 of the act, which provides “for the integration of climate change into the various disciplines and subjects across all educational levels”.
Speaking at the event, Director of Country Engagement, NDC Partnership, Ms. Mariana Panuncio-Feldman, said the launch of the NDC reflected an effort on the part of Nigeria to tackle climate change through an integrated whole-of-economy, whole-of-society approach.
She also said the NDC Implementation Framework adopted a dynamic results-based approach to Nigeria’s coordination of climate action.
The NDC Implementation Framework translates Nigeria’s 2030 climate commitment into an actionable plan, encompassing the mitigation and adaptation actions to be taken by seven major sectors of the Nigerian economy.
The sectors include agriculture, forestry and land use, water, energy, transport, waste and industry, as well as critical cross-cutting enabling actions.
Such actions include the development of measurement, reporting and verification (MRV) systems, the integration of gender considerations and the institutionalisation of more effective collaboration mechanisms.
President Bola Tinubu has reiterated his government’s commitment towards the sustainable development of the Niger Delta region.
President Bola Tinubu of Nigeria
Tinubu made the statement at the inauguration of the 27km Ogbia-Nembe road in Bayelsa.
The Niger Delta Development Commission (NDDC) and the Shell Petroleum Development Company (SPDC) jointly funded the multi-million-naira road project which has seven bridges.
Speaking at the inauguration ceremony, Tinubu said that his administration was serious about delivering democracy dividends to Nigerians.
Represented by Mr Abubakar Momoh, the Minister for Delta Affairs, Tinubu urged Nigerians to make meaningful inputs towards the success of his administration.
He said that the road project which took 18 years to complete had brought relief to the 14 communities within its corridors.
He said that similar funding model should be deployed by other international oil companies to implement more development projects in the region.
Also speaking, Dr Samuel Ogbuku, NDDC Managing Director and Chief Executive, commended Tinubu for his renewed vigour in funding development projects in the Niger Delta.
Ogbuku said that the project exemplified the inherent potential in using public private partnership for development funding.
“The president is committed to the development of the Niger Delta region; his leadership style has renewed our hopes.
Mr Osagie Okunbor, Managing Director, SPDC, said that the oil firm was delighted over the completion of the project.
He applauded the NDDC for religiously implementing its part of the funding arrangement.
Baylesa Governor, Gov Douye Diri, said that the state was delighted that the road, which was conceived in the 1940s, had been completed.
Represented by his Deputy, Lawrence Ewhrudjakpo, Duoye said that the Nembe-Brass Road was stalled in 2007 until the state government commenced funding in 2013.
“We found out that the contractor was having three challenges such as insecurity, community agitations and funding gaps.
“We brought all parties to the table and provided N3 billion, reinforced security and spoke to the communities to support the project.
“Sadly, our inputs are not reflected in the narrative here today,” he said.
He urged stakeholders to join the state government in the ongoing 21km Nemba-Brass Road which aims to hit the Brass Oil Export Terminal.
First Bank of Nigeria Ltd., in partnership with Proparco, a development finance institution, has begun mainstreaming climate initiatives into business operations and strategy.
Mr Segun Alebiosu, Acting CEO, FirstBank
This is aimed at achieving a holistic integration of climate action on Greenhouse Gas (GHG) emissions reduction to strategically position First Bank as an African Climate Bank.
Ms Folake Ani-Mumuney, Group Head, Marketing and Corporate Communications, First Bank, said this in a statement on Saturday, May 25, 2024, in Lagos.
Ani-Mumuney said that First Bank’s climate journey across all areas of implementation was reviewed during a two-day partnership strategy workshop session.
She said that the partnership was with IPC and Valoris, consultants from Austria, engaged by Proparco in the climate mainstreaming project.
The spokesperson said that the review was to determine progress and empower various departments of First Bank to deepen their understanding of climate risks in their processes.
She listed six workstreams for the implementation including the identification of financed and avoided emissions to support reporting as well as supporting the measurement and analysis of operating emissions.
Others were the integration of physical climate risk assessment; opportunity analysis; climate strategy and policy development; and capacity building amongst staff to support strategy implementation.
Also, Dr Martin Steindl, Managing Director, Valoris, Austria, said that First Bank was the most organised financial institution on climate mainstreaming.
“Amongst our various engagements with financial institutions on climate mainstreaming, FirstBank is the only organisation that has been able to provide data both on the assets’ location of their portfolio and head offices of their clients.
“I am impressed with the progress we have collectively achieved,” he said.
Also, Acting Chief Risk Officer, FirstBank, Patrick Akhidenor, reinforced the bank’s commitment to mainstreaming climate initiatives.
Akhidenor said, “First Bank is intentional about redefining its climate footprint. We are identifying opportunities in climate finance to improve our portfolio and reduce the carbon emissions associated with our processes and operations.
“The bank is executing a financed emissions calculation mechanism as well as creating climate finance opportunities, such as renewable energy and energy efficiency products for our customers,” he said.
Nigeria has committed to reducing its GHG emissions to 20 per cent by 2030 and net zero emissions by 2060.
While this is ambitious, it sets the tone for businesses in Nigeria to at least support their GHG emissions reduction strategy with national plans and targets.
First Bank, a signatory to the Africa Business Leaders’ Climate Statement released in 2022 at COP27 in Sharm El Sheikh, Egypt by the Africa Business Leaders Coalition (ABLC), is committed to achieving the goals.
For over a decade, Nigeria Liquefied Natural Gas Ltd. (NLNG) has been improving rural gas use in Nigeria through its Domestic LPG (DLPG) scheme.
Minister of State Petroleum Resources (Gas), Mr Ekperikpe Ekpo
It ensures steady supply of LPG, otherwise known as cooking gas, affordability and growth across the value chain. NLNG supplies 40 per cent of Nigeria’s LPG demand, delivering over 400,000 tonnes.
NLNG’s focus on the domestic market solidifies its reputation as a top-tier global player. After 35 years, NLNG stands out as Africa’s largest LNG plant and a top sixth player globally. It was once the world’s fastest-growing LNG plant.
Nigeria LNG Ltd. (NLNG) was incorporated as a limited liability company under the laws of the Federal Republic of Nigeria on May 17, 1989, to harness its natural gas resources and produce Liquefied Natural Gas (LNG) and Natural Gas Liquids (NGLs) for national income.
These details are contained in an annual fact-book of the NLNG, a production of its External Relations and Sustainable Division.
However, as the world tackles the dilemma of energy security, energy transition and energy poverty, Nigeria perceives an opportunity to secure a leading position for NLNG and the country as a leading energy player in the future.
In the meantime, in straddling the path of transition, NLNG embarked on a campaign slogan: “It is time for gas.”
In deepening the resolve for domestic LPG intervention, NLNG has received the support and approval of its Board of the organisation to commit 100 per cent of its LPG production to the Nigerian market. while it struggles to compete globally with other LNG companies.
NLNG has always been at the forefront of stakeholder partnerships that strengthen the country, inspire the people and build a sustainable future as the actual volume of the business is expected to grow with the commissioning of Train 7, to continually contribute to the growth to build a better Nigeria.
It is interesting to note that the company’s first domestic propane cargo was also delivered in 2021 just as the NLNG commenced plans for the supply of LNG within the Nigerian domestic market in support of the Federal Government’s Decade of Gas Initiative.
The initiative is expected to stimulate industrial growth in the sector, with conditional SPAs already executed with Nigerian companies as counterparts in the domestic LNG scheme.
Explaining signs of growth in the industry, Mrs Fatima Adanan, NLNG’s General Manager, Finance, at the 7th Nigeria International Energy Summit (NIES) held in Abuja, said the company had been producing over 1.5 million metric tonnes (MT) of Liquefied Petroleum Gas (LPG), solely for domestic consumption.
Adanan said that the company sells LPG to its customers using the Naira denomination while the country uses Butane.
“We decided to make sure that 100 per cent of what we produce in terms of butane is going to be sold in Nigeria-not only in Nigeria-but in Naira so that it is easy for accessibility,’’ she further said.
She explained further that when NLNG started the production of butane, the company was producing 70,000 metric tons as against the present 1.5 million metric tons of LPG.
‘’Our sole designated distribution point is Nigeria. So, part of our vision as a company is to make sure that we make Nigeria a better place,” she added.
Also, Mr Ekperikpe Ekpo, Minister of State for Petroleum Resources (Gas), said the ministry’s action was part of a deliberate attempt to increase the availability of LPG in the domestic market to lessen the financial burden on customers due to the hike in the price of the commodity.
The company was owned by four shareholders with the Nigerian Government represented by NNPC (49 per cent), Shell (25.6 per cent), Total LNG Nigeria Ltd. (15 per cent) and Eni (10.4 per cent).
Economy watchers regard the company as one that had played a pivotal role in the affairs of Nigeria and considered as one of the most important economic projects in the country.
Since the company began operations in 1999 when it shipped its first LNG cargo, the company has brought significant economic benefits to Nigeria, according to finance experts.
NLNG has paid over $40 billion as dividends to stakeholders, out of which 49 per cent accrued to the Nigerian Government courtesy of its shareholding in the company, through the Nigerian National Petroleum Company, NNPC.
Some stakeholders in the oil and gas sector, including Dr David Ige, the Chief Executive Officer of Gas Invest Ltd., have commended NLNG’s impacts on domestic gas utilisation and penetration in rural areas, revealing that the NLNG now supplies about 40 per cent of the total domestic LPG.
From his view, Ige described the contribution of NLNG as a worthy venture, pointing out that: “There is scope in my view in the optimisation of the logistics costs and overall landing price structures to further insulate the domestic market from the inherent volatilities that are inherent in external markets and the application of such international market indices.”
On the social side, NLNG has consistently demonstrated leadership in its corporate social responsibilities while its annual price for literature, amongst others, has continued to promote excellence in literature and creative writing.
Ige, a former Group Executive Director, Gas-to-Power, NNPC, queried the rationale, despite its achievements, Nigeria’s market share in global LNG had continued to slide.
Ige lamented that from an enviable of over 15 per cent some years ago, the country currently accounts for less than two per cent and potentially lower if one factors the prolonged force majeaur by NLNG.
“The next 10 years in the global LNG space will be crucial for NLNG and Nigeria. Supply capacity is expected to surge with many new LNG projects maturing, particularly from low costs and efficient locations such as the U.S. Gulf Coast.
“Many emerging African countries are also showing up in the global LNG space. The bottom line is that competition will intensify,” he noted.
The NLNG, he suggested, would need to examine its business model to ensure continued competitiveness and growth in this evolving market while its approach to feedstock access in particular will be crucial to sustained operations.
Perhaps, he added, that NLNG may need to consider making some of its liquefaction capacity available on an open access tolling basis to attract more gas supply and better utilisation of the capacities, meaning that NLNG will need to address the two issues of sustained capacity/market share and competitive cost.
He said NLNG remains Nigeria’s icon of corporate governance, operational excellence and shareholder value creation.
Also, Dr Ayodele Oni, Partner, Bloomfield Law Practice, viewed that NLNG operations, particularly in its supply of LPG, have significantly contributed to the domestic gas markets and have consequently improved annual domestic consumption in the country.
Oni said: “NLNG as of 2023, supplied about 30 per cent of Nigeria’s domestic LPG demand and remains the highest single supplier of LPG in the domestic market.
“In 2022, NLNG promised to supply 100 per cent of its LPG production to the Nigerian domestic gas market to increase LPG utilisation in the country.
“As of 2023, NLNG supplied about 500,000 metric tonnes of butane to meet the market demand, thus fulfilling its commitment.
“These reflect the commendable efforts taken by NLNG to improve domestic LPG consumption in the country and the significant impact its operations also have on the market.”
He noted that one of the problems associated with the supply of LPG by the NLNG, particularly propane gas, was that the company had alleged that the Nigerian gas domestic market had a lesser demand for propane than butane.
On the contrary, he said that local LPG suppliers had complained that they did not receive sufficient gas supply from NLNG but noted that the resolution lies in NLNG selling propane at affordable prices.
According to him, NLNG also needs to boost its campaign to increase demand for propane, therefore improving gas supply in the market.
Oni said that it was envisaged that, within the next 10 years, NLNG is expected to record an increased global demand for Liquefied Natural Gas, significantly recognised in the world as an energy transition fuel.
By implication, NLNG can be one of the primary exporters of LNG in the world, provided it also improves its efficiency to meet the envisaged demand as it also utilises gas which would otherwise have been flared by gas production companies.
However, it is envisaged that the operations of NLNG will also significantly reduce environmental pollution and further influence the quest for cleaner sources of energy.
NLNG is expected to improve its infrastructure by investing in better technological innovations to improve the quality and efficiency of its operations.
These will reflect in efficiency of NLNG’s operations, improve its production and supply of gas products to domestic and international gas markets and allow NLNG to establish itself as a credible supplier of Natural Gas products.
This will ultimately improve the Nigerian gas domestic market as NLNG has indicated its commitment towards deepening its entry into the market, making gas products, particularly LPG available and affordable to Nigerians.
Commending the NLNG for its investment in local content development in Nigeria, Mr Francis Simon, an oil and gas expert, said NLNG had always expressed commitment to ensuring that Nigerians benefit maximally from all its operations.
This, he added, was beyond mere compliance with local content targets as set out in the Nigerian Oil and Gas Industry Content Development Act (NOGICD) 2010.
He said that NLNG considered Nigerian content as a core part of its strategy in line with its corporate vision of being ‘a globally competitive LNG company helping to build a better Nigeria’.
“The company also expresses its commitment to 100 per cent in-country supply of its liquefied petroleum gas (LPG) volumes within the context of the global energy transition.
According to him, NLNG is critical to ensuring access, availability and affordability of energy for domestic consumption.
He encouraged NLNG to plug into the ongoing efforts by NCDMB to widen LPG distribution and storage across multiple zones in the country.
Climate change poses a significant challenge for humanity, with wide-ranging impacts on our planet’s ecosystems and future generations’ welfare. Although carbon dioxide (CO2) tends to receive the most attention in conversations about greenhouse gas emissions, it’s also important to acknowledge the significant impact of methane (CH4).
Methane emission: Gas flare site
Methane is a powerful greenhouse gas, with a warming potential more than 25 times higher than CO2 over 100 years. Therefore, it is essential to prioritise effective methane management to address the challenges of climate change. This article delves into the impact of methane management on climate change and highlights essential strategies for reducing methane emissions.
Methane emissions contribute significantly to global warming and climate change hastening. Although methane’s atmospheric concentration is lower than that of CO2, its ability to trap heat is much stronger. As per the Intergovernmental Panel on Climate Change (IPCC) findings, methane contributes to around 16% of total global greenhouse gas emissions. Some major contributors to methane emissions are the energy sector, agriculture (specifically livestock and rice cultivation), landfills, and natural gas production and distribution.
Energy sector: Leaks in oil and gas production, transportation, and distribution systems significantly impact global methane emissions. We can significantly reduce methane leaks by implementing robust monitoring and detection technologies and adhering to top-notch infrastructure maintenance practices. Furthermore, adopting cleaner energy sources, such as renewable energy, can help reduce methane emissions from burning fossil fuels.
Agriculture: Livestock farming, especially cattle and sheep, contributes significantly to methane emissions because of their digestive processes. Making dietary changes, like incorporating specific supplements to decrease methane production in livestock, can be a successful approach. Enhancing manure management systems, like anaerobic digestion, has the potential to capture methane emissions and transform them into valuable energy.
Landfills: When organic waste decomposes in landfills, methane emissions are released. Implementing landfill gas collection systems that capture and utilise methane for energy generation can significantly reduce these emissions. In addition, advocating for waste reduction, recycling, and composting can help decrease the amount of organic waste in landfills, reducing methane emissions.
Methane emissions can occur during natural gas extraction, processing, and distribution. By adopting cutting-edge technologies like leak detection systems and enhanced well designs, we can substantially reduce methane leaks during these operations. Furthermore, advocating for renewable energy sources and shifting away from fossil fuels can help reduce methane emissions associated with natural gas.
The advantages of Methane management:
Addressing climate change: By taking steps to reduce methane emissions, we can significantly mitigate global warming and minimise climate change’s consequences. Reducing methane emissions can have a more immediate impact on temperature reduction, as methane has a shorter lifespan in the atmosphere than CO2.
Ground-level ozone, which can cause air pollution and negatively impact human health, originates from atmospheric methane. Effectively managing methane emissions can enhance air quality and mitigate the prevalence of respiratory diseases and other health concerns.
Emphasising the potential economic benefits, implementing methane management strategies can lead to developing innovative technologies, job creation, and producing renewable energy through captured methane. This transition can also contribute to a more diverse range of energy sources and decrease our reliance on fossil fuels.
Effective methane management is essential to tackling climate change and curbing the release of harmful greenhouse gases. We can make substantial progress in reducing methane emissions and addressing the challenges posed by global warming by implementing well-planned strategies across various sectors such as energy, agriculture, landfills, and natural gas production.
There are numerous advantages to managing methane beyond reducing climate impacts. These include better air quality, enhanced human health, and increased economic prospects. As we work towards creating a sustainable future, it is crucial to prioritise methane management to safeguard the health and resilience of our planet for future generations.
By Olumide Idowu, Executive Director, ICCDI Africa
Vice-President Kashim Shettima on Friday, May 24, 2024, expressed readiness of the Federal Government to tap from the $130 billion global hydrogen market through partnership with the Republic of Germany.
Vice-President Kashim Shettima and his team with members of the German delegation at the Presidential Villa in Abuja
Shettima stated this when he hosted a German delegation led by a member of the German Parliament and Hydrogen Commissioner, Federal Ministry of Education and Research, Mr Till Mansmann, at the Presidential Villa, Abuja.
The vice-president said that the move would enable the government to develop its green energy sector.
The idea, according to him, is the advancement of the country’s hydrogen market in line with its renewable energy objectives and the global energy transition plan from fossil to green sources.
“We cannot run away from the fact that sooner than later we have to do away with fossil fuels and resort to green energy for a sustainable world and inclusive economic growth.
We appreciate you and there is ample opportunity for us to partner towards the development of the $130 billion global hydrogen market projected by the World Bank to grow at 9 per cent per annum.”
On the potentials in hydrogen development, Shettima expressed optimism that if Nigeria gets its acts right, the entire African continent will equally get it right.
“Hydrogen has the potential of revolutionizing a lot of industries in Nigeria, including fertiliser production.
“The Federal Ministry of Science and Technology is ready to partner with authorities in Germany to drive the process towards developing the hydrogen market in Nigeria and beyond.
“Partnering to develop the hydrogen market in Nigeria will positively impact the rest of the African continent given its potentials and position.
“The potentials are here in Nigeria. When Nigeria gets its acts right, Africa will get it right too. You have a partner in Nigeria, In President Tinubu, you have a partner that you can trust.
“Leadership is about the ability to provide ideas to the problems of a nation,” he added.
Shettima commended Germany for the sacrifice and empathy the European country showed towards other countries in different areas.
Shettima said, “Though not endowed with a lot of natural resources, Germany is blessed with the human capital that has made the country a global leader across diverse fields, including technology and devotion to ethics.”
Earlier, Mansmann said collaboration with Nigeria and institutions like the University of Nigeria, Nsukka (UNN) was crucial for achieving the goals outlined in Germany’s National Hydrogen Strategy.
He said, “Nigeria is a very important partner for the global transformation of energy. If you want to fight climate change, it makes no sense if one country alone goes its own path.
“We need to come together with a lot of corporations in technology, science and human resources.”
He acknowledged Nigeria’s significant potential in the field of green energy, particularly hydrogen production.
The Envoy added, “About 30 countries in Africa have the potential for green energy, especially hydrogen, and Nigeria is one of the most powerful countries in this field.”
Mansmann also emphasised the role of universities in fostering innovation and nurturing future talent.
He recalled his recent visit to UNN, saying, “We visited the University of Nigeria, Nsukka, and it was really interesting to see the programmes coming from there in renewable energies”.
He stressed the importance of cooperation in the field of science with universities.
“A lot of young, well-educated people are the ones that will transform the world in the future. Because of that, we think cooperation in the field of science with universities is most important,” Mansmann added.
He added that Germany’s transition to carbon neutrality by 2045 requires a significant shift towards green energy imports.
“Germany will be an energy importing country for the next decades in huge amounts. Currently, we import 70 per cent of our energy in the form of fossils, and we want to get out of fossils by 2045.
“That means in 20 years all imported energy needs to be green. And we know there are great potentials in Africa and Nigeria,” he added.
