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Electricity Deficit: SEPLAT Says Nigerians Are Using 22 Million Generators
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The electricity challenge confronting the country appears to have attained a worrisome dimension as there is an estimated 22 million small generators in households use and MSMEs in Nigeria.
Operations Director/Executive Director, Selattyn Energy Plc, Mr. Effiong Okon, stated this during a panel session at the 44th edition of the Society of Petroleum Engineers (SPE) Nigeria Annual International Conference and Exhibition (NAICE) with the theme “Energy Security and Sustainable Development in Nigeria” held in Lagos last week.
Okon said these generators are expensive to buy and run and responsible for particulate and greenhouse gas (GHG) pollution.
The Seplat Director, who was the lead presenter at the panel, maintained that energy security remained the bedrock of the nation, as Nigeria should have a robust energy base to meet its present and future energy needs for it to sustainably develop.
He added that economic development is a function of both access to energy and the quality of the access.
Providing insight into the country’s current energy challenges, he said: “Nigeria has less than 11GW generating capacity on grid and much of it remains unused owing to inefficiencies and gas supply constraints; distribution is not well developed across the country and suffers poor maintenance, with frequent blackouts which leads to supplementing on-grid generation with generators.
According to him, the power deficit has direct and indirect impact in achievement of the Sustainable Development Goals (SDGs); of which, going forward, energy demand is expected to grow, driven by increasing prosperity and standard of living in the emerging world.
By Compound Annual Growth Rate (CAGR) calculated for 2020-2030, Nigeria will remain an important country playing in the next decade with 31 billion boe of reserves (ranked 2 in 1P, 2P); and up till 2030, oil will remain the predominant play (approximately 60 per cent of total production); but with faster decline than gas, gas will become more important in the long-term (from 30 per cent of total production in 2015 to approximately 40 percent production in 2030).
“It’s critical for oil and gas companies to target the right growth opportunities to remain relevant and create value,” Okon advised.
Seplat, he said, understood that the country is fast transitioning from an oil driven to a gas electricity market, with an emerging renewable sector, and that gas is to serve as the transition fuel in the path to a sustainable future.
He stated: “Seplat aims to expand beyond our E&P core to drive integrated gas solutions in monetising gas resources in the domestic market. This is critical to driving sustainable industrial growth and address the power (electricity) deficit in the Nigerian market.
“Evolution from fossil fuels (oil) to cleaner (low carbon – gas) and more sustainable forms of energy (renewables) and balancing emissions through offsetting & the purchase of carbon credits will support the climate change ideology.”
Beyond Seplat’s mitigation strategies/actions on decarbonization, he said the company’s growth aspiration is to displace biomass with LPG as cooking fuel whilst targeting to become carbon neutral by achieving net-zero emissions.
“Seplat’s drive for domestic gas utilization is to support Nigeria’s gas to power and industry programmes, with our transformation journey focused on understanding and investing in energy transition. Equally key in our aspirations is to generate employment in our host communities using local workforce, contractors and vendors,” Okon explained.
He maintained that Seplat Energy Plc is committed to providing the required energy for Nigeria’s sustenance now and in the future given the country’s huge growth potential.
The Seplat Director, who was the lead presenter at the panel, maintained that energy security remained the bedrock of the nation, as Nigeria must have a robust energy base to meet its present and future energy needs for it to sustainably develop. He added that economic development is a function of both access to energy and the quality of the access.
Meanwhile, Seplat won two awards – Best Indigenous Exhibitor and Overall Best Exhibitor awards at the SPE (NAICE) 2021.
The coveted awards were presented to the company at the closing ceremony/awards night of the conference & exhibition.
The Seplat exhibition booth had enriching in-booth activities featuring lectures, presentations, video documentary of Seplat’s business and CSR programmes, and free eye care accessible to numerous exhibition participants who visited the Seplat’s booth.
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