Analysis

NCDMB Strategises to use Gas as Nigeria’s Transition Fuel

Dr. Ginah, General Manager, Corporate Communications & Zonal Coordination, NCDMB.

…Nigerian Content performance for 2022 has increased to 54% surpassing 42% percent target.

…Urges the media to give adequate attention to Federal Government’s aspirations in the Gas Sector.

-By Felix Douglas

The Nigerian Content Development and Monitoring Board (NCDMB), had capacity building workshop for journalists in Lagos with the theme: Enhancing Media Competencies to Support Nigerian Content in a Gas Economy. The Workshop is an annual event organized by the Board to train media practitioners to enhance their capacity and competence in the field of journalism. The main aim for this year’s Workshop is to add value and improve practice of journalism.

In his brief remark, Obinna Ezeobi, Chief Supervisor, CCD of NCDMB, stated that the main priority of the event is to build competence and capacity of media stakeholders in order to be better informed in relevant areas of journalistic practice.

To give legal counsel to journalists to avoid land mines that may befall them in the line of duty. The Workshop is to assess the progress and updates in the Board’s roadmap.

The Workshop was also used to acquaint journalists about NCDMB’s investments in gas which was an agenda setting goals for the Board in line with Federal Government Decade of Gas agenda.

Giving his detailed remarks at the Workshop, Dr. Ginah O. Ginah, General Manager, Corporate Communications & Zonal Coordination, NCDMB, noted that the Board is setting targets for future reference and since it is a yearly event, it could be adjudged on its progress.

“I want to reiterate those focus areas for us based on the theme of the workshop on gas to help us accelerate Nigerian content in the gas sector of the economy.”

“What we’re going to measure ourselves is: one, by this time next year, we ask ourselves how much has NCDMB as an agency increase the output from its existing gas initiatives and partnerships and how much more additional projects it is putting on the table?”

Dr. Ginah urged journalists to challenge the Board at the end of next year on its results and how it has fared. “We want to hear the result. Where are we in terms of NCDMB initiatives and partnerships in the direction of gas?”

Also, journalists should know about the success level of implementation of federal government’s auto gas policy.

The NCDMB General Manager, Communications, enjoined journalists at the stakeholders Workshop to be involved in thorough investigative journalism and the Board is ready to assist anyone who needs information in order to be guided.

“We want a situation where we have statistics on where we are today, so that by this time next year, we are going to compare notes and tell ourselves whether we have passed or not because you are going to help us push that narrative analysis.”

The media should shape the minds of the society it operate. Shape the minds of Nigeria and its stakeholders so that in 2023, NCDMB will see measurable improvement in Nigeria’s auto gas policy implementation, gas flare commercialization and monitsation policy.

Dr. Ginah pointed out clearly that the Board wants to assess the increase in foreign investments. For instance, Nigeria has over 200 million population and the country has over taken Brazil as the 6th largest most populous nation in the world.

“This alone is a market making sure that we produce what we consume in Nigeria is enough market for us but why is it that we’re not getting investments with so much population to consume.”

Foreign investment is pivotal to the economy of the country, particularly in the gas sector. Hopefully, the Board expects the level of investment to substantially increase next year.

Earlier in his keynote address, Dr. Ginah said the workshop has become a permanent fixture in the Board’s calendar since 2019. “We are delighted that the media and the Board have continued to derive immense value from these interactions, and we hope we can continue to organize this workshop in the years to come.”

The Nigerian Oil and Gas Industry Content Development Act (NOGICD) Act recognizes the critical importance of public engagement, media, and communication.

He noted that in sections 67 and 70 (n), the NOGICD Act mandates the Board to continually organize events and undertake public enlightenment activities to enhance the attainment of the goal of developing Nigerian Content.

According the NCDMB helmsman, the Board carries out robust engagements with diverse stakeholders in different sectors across the country.

“Our collaborations and stakeholder engagements constitute one of the four enablers of the Nigerian Content 10-year strategic roadmap, and we also have five key pillars.”

NCDMB has recorded huge achievements in the implementation of its roadmap when Nigerian Content performance was at 26 percent.

Dr. Ginah disclosed that at the Practical Nigerian Content Workshop held at Uyo, Akwa Ibom State, the Executive Secretary, Engr. Simbi Kesiye Wabote announced that Nigerian Content performance for 2022 has increased to 54 percent, surpassing the 42 percent target that was set for the year.

Statistics also reveal that the average Nigerian Content performance in the last five years is 44 percent, which is also beyond the set targets.

He revealed further that the topic of the Workshop was chosen deliberately because NCDMB wants the media to give adequate attention to Federal Government’s aspirations in the gas sector and the efforts by the Board and other entities to support Government’s objectives.

It will be recalled that President Muhammadu Buhari declared 2021 to 2030 as Nigeria’s Decade of Gas and announced that the Federal Government’s determination to fully exploit the nation’s abundant gas resources to accelerate the development of the economy.

This declaration aligns fully with the rising global demand for cleaner energy sources and the demand for the reduction of global carbon emissions through the reduction in the utilization of fossil fuels.

President Buhari also made a commitment at COP26 held in November 2021 at Glasgow that Nigeria will seek to achieve net zero by 2060, which means cutting greenhouse gas emissions to as close to zero as possible.

The Federal Government’s strategy is to use gas as Nigeria’s transition fuel. The Ministry of Petroleum Resources has backed this position with bold policies such as the National Gas Expansion Program, Gas Network Code and Flares Commercialisation programme.

Dr. Ginah noted that as a responsive agency, the NCDMB has also taken deliberate steps to actualize the Federal Government’s declarations in gas and other aspects of the oil and gas value chain.

“We have partnered with credible investors to develop critical projects in the sector to take Nigeria towards the goal. In total, we have partnered with 15 firms to set up projects covering modular refining, gas processing, gas distribution, power generation, manufacturing and others.

He disclosed that over 70 percent of Nigeria’s investments are on gas-based activities, especially midstream and downstream gas. The country’s investments underscore the importance of gas to Nigeria’s economic sustainability, apart from its role in the energy transition.

Gas can lead Nigeria to food sufficiency, industrialization, increase in Gross Domestic Product (GDP) and electric power sufficiency.

The investments by the NCDMB are helping to create employment opportunities for Nigerian youths, catalyze the local economy and achieve the Nigerian Content 10-Year Strategic Roadmap

Dr. Ginah also disclosed some laudable gas-based projects the NCDMB embarked upon which includes its partnership with Rungas to produce 1.2million LPG Composite cylinders per annum in Bayelsa and Lagos States and collaboration with NEDO Gas Processing Company in Kwale, Delta State for the establishment of 80 million standard cubic feet per day gas Processing Plant and a 300 million standard cubic feet per day gas gathering hub.

The Board is also working with Duport Midstream to establish an Energy Park at Egbokor, Edo State. The park would include a 40 million standard cubic feet per day gas processing plant, 2,500 barrels per day modular refinery and 20 megawatts power plants.

The Board partnered with Nigerian National Petroleum Company Limited (NNPC) to invest in Brass Fertilizer and establish 10,000 tonnes per day Methanol Production plant at Odioama, Brass, Bayelsa State.

Also, investing with Triansel Gas Limited in Koko, Delta State to establish a 5,000 Metric Tons per day LPG Storage and Loading Terminal Facility.

The northern part of the country is not left out as NCDMB supported Butane Energy Limited to establish LPG Bottling Plants and depots in Abuja and 10 northern states.

Investing with MOB Integrated Services for the construction of 500 Million Tons Inland LPG terminal in Dikko, Niger State. The project will include the construction of a Cylinder Refurbishment plant, procurement of 80,000 bottles of LPG cylinders and acquisition of distribution assets.

Another important partnership is with Southfield Petroleum to establish 200 million metric standard cubic feet of gas processing plant at Utorogu, Delta State. The project will produce 123,000 Million Tons Per Annum of LPG, about 10 percent of current LPG demand nationwide.

In the same vein, the Board is collaborating with Amal Technologies to set up a plant in Abuja to produce Smart Gas/Smoke Detector Alarm devices.

Dr. Ginah highlighted NCDMB partnerships and investments are backed by section 70 (h) of the NOGICD Act. This provision states that Board can assist and support local contractors and Nigerian companies to develop their capabilities and capacities to further the attainment of the goal of developing Nigerian content in the Nigerian oil and gas industry.

NCDMB under Engr. Wabote has achieved milestones which are mementos that will linger in the minds of its stakeholders especially the media and operators of the oil and gas industry.

 

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