Theme: Energy Transition: the Prospect of Decarbonization in the Nigeria Gas Master Plan

Energy transition and climate change are undoubtedly the most discussed topics in recenttimes. Decarbonization is adjudged by many world leaders and scientists as a veritable pathway towards the reduction of carbon footprint on planet Earth. In order to achieve the above objective, many oil companies have continued to divest and invest in portfolios that will ultimately lead to reduction in the amount of greenhouse emissions as a result of their operations. Natural gas is generally believed to be a transition fuel that would serve as a catalyst towards the realization of the goal of net zero emission because it is cleaner and more environmentally friendly than oil.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) revealed that Nigeria’s proven natural gas reserves have risen to 209.5 trillion cubic feet (tcf) as at January 1, 2022. The above figure excludes the associated gas which is usually flared or vented during production activities. Flaring and venting, regardless of the circumstances, pose an environmental and resource management concern. Gas flaring and venting have been practiced in Nigeria since the start of oil production in 1956. Flaring and venting of natural gas has a lot of detrimental effects on the environment, human health, and the Nigerian economy. According to studies, Nigeria loses roughly US$2.5 billion each year due to flaring. This yearly loss in revenue may soon be reversed with the recent declaration of January 1, 2021 to December 31, 2030 as the decade of gas development to properly position the country to take advantage of the energy transition; with gas serving as the transition fuel to a cleaner environment.

The Nigerian Gas Master Plan (NGMP) should be strengthened to encourage the domestic utilization of, and the commercial exploitation and management of Nigerian gas resources; develop gas-to-power projects; catalyze gas based industrialization and gas export market. Energy from gas will spur development of gasbased industries such as petrochemicals, fertilizers and methanol in the country, while positioning Nigeria as a high value exporter of gas resources to the world. Nigeria willhopefully end gas flaring and venting and ultimately reduce the carbon footprints associated with exploration and exploitation of hydrocarbon resources.