Vice President Yemi Osinbajo (SAN) said Nigeria presents a unique investment destination for liquefied petroleum gas, which is a transitional fuel alongside other renewable sources.
He said so during his keynote address Tuesday in Dubai, United Arab Emirates, where the World Liquefied Petroleum Gas Association is holding its week-long forum.
The association’s 2021 LPG Week brings together more than 2,000 delegates from 72 countries, including major LPG companies, senior public sector officials, industry experts and other relevant stakeholders.
“The world should not have to choose between energy poverty and climate change, as this can be addressed with both natural gas and liquefied petroleum gas as transitional fuels alongside other renewable sources,” he said. the vice-president said in a statement from his spokesperson, Laolu. Akandé.
The statement was titled “Why Liquefied Petroleum Gas Should Be a Transitional Fuel in Developing Countries, by Osinbajo at the Dubai World Forum”.
Speaking on the topic of ‘Energizing Tomorrow’ at the Dubai World Trade Center, Osinbajo noted that it was’ worrying that a growing number of wealthy countries have banned or restricted public investment in fossil fuels, including natural gas. “.
“Such policies often do not distinguish between different types of fossil fuels, nor do they consider the vital role that some of these fuels play in the growth of developing economies, especially in sub-Saharan Africa,” he said. he declared.
“As development finance institutions attempt to balance climate concerns with the need to spur equitable development and increase energy security, the UK, US and EU have all taken action. aggressive measures to limit investment in fossil fuels in developing and emerging economies.
“The World Bank and other multilateral development banks are urged by some shareholders to do the same. The African Development Bank, for example, is increasingly unable to support large natural gas projects in the face of pressure from European shareholders. “
Citing Nigeria’s efforts to balance energy security and environmental sustainability, Osinbajo said the federal government has developed an energy transition plan “which shows that achieving net zero by 2060 will require investments of around $ 410 billion. dollars, above the status quo, and that natural gas will play a critical role in meeting the challenge of clean cooking, while ensuring grid stability to integrate renewables at scale.
According to him, “Nigeria has also developed an integrated energy plan with a clean cooking model that shows the opportunities for clean cooking through technologies such as electric cooking and LPG.
“This model shows that there is an opportunity to switch at least five million homes to LPG solutions, which will reduce emissions by 30% compared to the status quo, reduce other pollutants by 90% or more and prevent waste. of 6.9 billion kilograms of forests from biomass collection.
The Vice President added that “LPG remains an ideal fuel to support the journey to renewables because it is easily stored, does not degrade over time, does not require complex heating or filtration to keep the fuel in a safe environment. usable condition and do not evaporate constantly. . ”
He said that for a gas-rich country like Nigeria with more than 206 TCF of proven reserves and an additional 600 TCF reach to prove, “it is obvious that what makes the most sense from the point of view of the balancing energy security and environmental sustainability is the use of LPG at least as a transitional fuel.
Citing Nigeria as an example, the Vice President said: “For countries like mine, which are rich in natural resources but still poor in energy – from an access point of view, the transition should not be to the at the expense of affordable and reliable energy. for people, cities and industry. On the contrary, it must be inclusive, equitable and just, which means preserving the right to sustainable development and the eradication of poverty as enshrined in global treaties such as the Paris Agreement.
The Vice President then referred to Nigeria’s energy transition, observing that the plan is linked to the adoption and domestication of all forms of cleaner energy.
“These cleaner energy systems include solar power for electricity, waste-to-energy, wind power, hydropower and natural gas. which aims to embrace and domesticate all forms of cleaner energy sources, from domestic to commercial use, ”he said.