FG reviews penalty for gas flaring
By Olaseinde Gbenga, Abuja
The Minister of State Petroleum Resources, Ekperikpe Ekpo has disclosed that the Federal Government has reviewed the penalty for gas flaring in line with its commitment to achieve net zero.
Ekpo speaking during a workshop at the ongoing Nigeria international Energy Summit (NIES) in Abuja highlighted the hike in the penalty from N10 per 1,000scf to $2 per 1000scf was one of many steps the government is taking to achieve net zero.
Speaking on the theme, “Achieving Net Zero is important to Nigeria,” he said we are aware that the country has made a commitment to achieve Net Zero by 2060, but in achieving this, we are giving consideration to our energy security.
The Minister stressed that “various mechanisms have been put in place in the Oil and Gas sector to achieve Net Zero, this includes ending gas flaring by 2030, and there are several regulatory measures that have been put in place.”
He said, “Every new oil and gas project must have a zero flare plan, before approval can be given to such a project. As part of the measures to tackle gas flare, The outcome of these efforts is reflected in the World Bank Global Gas flaring Tracker Report, which shows that Nigeria was one of the countries that has accounted for a significant reduction in gas flare volumes. We admit that this is not the end ,and more effort is needed to achieve our desired goals.”
He further disclosed that the Ministry is working in partnership with the United States Agency for International Development ( USAID ), the US Embassy and DELOITTE, to look at Technologies that could help in tackling Methane Emission within the oil and Gas sector.
“Gas is a cleaner source of energy in Nigeria, we have adopted Gas as a transition energy which means Nigeria being more of gas province than oil , deploying effective and efficient means of harnessing our untapped abundant natural gas resource of over 208.8tcf will put us on the path of just and equitable transition.
“As we attached more consideration to gas development of blue Hydrogen to further drive our Gas utilisation upwards. But we understand the role of carbon capture storage and utilisation which is critical to blue Hydrogen development, so we are seeking more expert knowledge in this area. Achieving Net Zero means utilising our sources in an effective manner that has less negative impact to the environment,” he said.
