The Minister of State for Gas and Petroleum Resources, Mr Obongemem Ekpo says financing models are being restructured to enhance the Liquefied Natural Gas, LNG and Compressed Natural Gas, CNG insustry for domestic markets and regional energy dynamics.
The Minister disclosed this during the opening of the 2nd Domestic Gas and Gas Infrastructure Summit organised by the Abuja Chamber of Commerce and Industry, ACCI, Nigeria Gas Association and the Association of Local Distributors of Gas in Abuja Nigeria’s Capital.
Mr Ekpo noted that the ministry’s strategies and initiative are aimed at
intensifying domestic gas consumption and decisively curbing gas flaring.
“This commitment is evident in the logical Nigerian flare gas commercialization programme, as well as in policies that encourage gas to power initiatives.”
“Gas based industrialisation and conversion of flare gas to more economic use, thus turning environmental challenges in to economic opportunities,” he stated.
The President of the Abuja Chamber of Commerce and Industry, ACCI, Mr Al-Mujtaba Abubakar while speaking said the aim of the summit with the theme, “Building a Sustainable, Resilient Gas, and Renewable Energy Sector in Nigeria and Beyond” is to promote the critical discussion of various issues centred on rejuvenating the Nigerian gas industry.
Mr Abubakar who was represented by
chairman of ACCI Energy Trade Group, Mr Chinedu Maduakoh explained that the primary objective of the summit is to enhance both domestic gas utilization and the infrastructure needed to make the Nigerian gas industry globally competitive.
He said, “this conference brings together stakeholders in the energy and business sectors to discuss countless topics in the gas sector with the primary objective of enhancing both domestic gas utilization and the infrastructure needed to make the Nigerian gas industry globally competitive.”
Also the Managing Director, Falcon Corporation Ltd. Prof Joseph Ezigbo, said the Nigerian financing landscape needs to transition to one where single digit and long-term local currency credit can be accessed through intentional policies.
He also disclosed that regulated gas price limits investors’ confidence on the commercial viability of projects and promotes inefficiency as pegged price may not be reflective of actual cost.
Prof. Ezigbo stated that “there should be provision of the Midstream and Downstream Gas Infrastructure Fund and other incentives to enhance the development of Gas infrastructure and supply of more volumes to the domestic market.”
“The implementation of the Host community fund is another innovative provision for resolving insecurity issues, give the host communities a greater sense of ownership and responsibility in curbing vandalization of gas assets,” he added.
