.Says petrol subsidy removal challenging but for long-term energy security.
. We anticipate bright future for Africa’s oil industry – OPEC
UGO AMADI
To ensure stable energy security in the country, President Bola Ahmed Tinubu has called on stakeholders in Nigeria’s oil and gas sector to engage in constructive and collaborative means that can build a resilient and sustainable energy future.
The president also said the decision to remove the fuel subsidy is not an easy one, but necessary for the long-term energy security and economic prosperity of our beloved nation
The president who was represented by the Minister of Information and National Orientation, Mohammed Idris stated this while delivering a Keynote Address as the Special Guest of Honour at the opening ceremony of the 7th Edition of the Nigeria International Energy Summit (NIES 2024)
The theme of this year’s summit is “Navigating the New Energy World Order: Security, Transition, and Finance
According to the president ‘’all stakeholders, including industry experts, policymakers, and the general public, need to engage in constructive dialogue and collaboration as we navigate these challenging but transformative times. Together, we can build a resilient and sustainable energy future for Nigeria.
Tinubu further said to mitigate short-term effects of petroleum subsidy removal on the vulnerable population, his administration was committed to implementing social intervention programmes.
He noted that the petroleum subsidy had over the years strained Nigeria’s economic resources, which led to inefficiencies and hindered investment in critical areas of energy security.
“By removing the subsidy, we are creating a more transparent and accountable energy sector.The funds that were previously allocated to subsidising petroleum products are now redirected towards developing and upgrading our energy and other social infrastructure.
“Furthermore, fuel subsidy removal has encouraged further private sector participation in the energy industry with potential of attracting more local and international investors, innovation and competition in the sector.
“I am very aware of the immediate impact this decision may have had on our citizens, especially those with lower incomes.
“Therefore, in parallel with the subsidy removal, my administration is committed to implementing social intervention programmes to mitigate the short-term effects on vulnerable populations,” he said.
These programmes, he said, would ensure that the burden of the subsidy removal was shared equitably and that the most vulnerable Nigerians were protected.
The president thanked the organisers of the summit for the opportunity to once again address the subsidy removal, which he said was a crucial issue that had been in the forefront of Nigeria’s national discourse.
“Our great nation has long been dependent on the revenue generated from oil exports, and as we stand at the crossroads of the 21st century, it is imperative that we re-evaluate our energy policies to ensure sustainable future,” he said.
He thanked every one who contributed to the success of the summit, adding that it reflected a shared commitment to addressing the challenges and opportunities ahead in the dynamic and ever-evolving world of energy.
“This marks the first edition of NIES during my administration, and I am honoured to stand before you as we collectively chart a course for the sustainable and secure energy future of Nigeria.
“Energy security, as we know, is of paramount importance. It is not just a national concern; it is a global imperative.
“In the face of emerging challenges, both geopolitical and technological, we must ensure the resilience of our energy infrastructure.
“The decisions we make today will impact the energy security of generations to come,” he added.
He emphasised leveraging innovation and collaboration to ensure a smooth and just transition that would leave no one behind.
“As a nation, we must explore innovative financing models, engage with the private sector, and attract investments that will propel us towards a more resilient and diversified energy sector,” he said.
He noted that Finance as always, plays a pivotal role in driving the energy agenda. So,adequate funding is crucial to support the development and deployment of cutting-edge technologies, infrastructure, and projects that will shape our energy future.
He assured that as a nation, ‘’we must explore innovative financing models, engage with the private sector, and attract investments that will propel us towards a more resilient and diversified energy sector.
In his goodwill message, the Secretary General, OPEC, His Excellency Haitham Al Ghais, noted that Nigeria’s role in OPEC’s past and present is a tremendous source of pride for the organization
According ti him, “we are also acutely conscious of Nigeria and Africa’s critical role in the future of our Organization and the energy industry more broadly.
He noted that Africa has a young and vibrant population and by 2045, the Middle East and Africa region is forecast to be the leading region by overall population, adding 723 million people in the period 2022-2045, according to OPEC’s World Oil Outlook.
He said, ‘’We anticipate a bright future for Africa’s oil industry with substantial opportunities for growth. The continent is home to five of the top 30 oil-producing countries and its proven oil reserves amounted to around 119 billion barrels at the end of 2022.
Africa clearly brims with potential and I will expand further on these points in the International Panel Discussion later this morning. .
