FG should provide environment for energy diversification investments __Falcon MD

Sopuruchi Onwuka

Managing Director of Falcon Corporation, Mr Audrey Joe-Ezigbo, has added a strident voice to the resonating pan-industry demand for enhanced fiscal regimes, operating terms and infrastructural environment to enable the country position strongly in the unfolding energy transition.

Mrs Joe-Ezigbo, who is the erstwhile President of the Nigerian Gas Association (NGA), stated at a conference hosted by the Association of Energy Correspondents of Nigeria (NAEC) in Lagos that time has come for the country to broaden her energy mix by diversifying the sector and attracting greater pool of investments.

She made it clear that the country must urgently provide the right set incentives to enable commercial players exploit its abundant natural resources in diversifying energy production for a sustainable, resilient and prosperous economy.

In delivering her address as the Chairperson of the event themed “Nigeria’s Energy Transition: Enhancing Investment Opportunities & Addressing Challenges in the Energy Sector,” she proposed evolution of policy and regulatory structures for immediate expansion of the domestic energy industry beyond oil to capture opportunities in gas and renewables, including solar, wind, hydro, and biomass.

She pointed out that “harnessing these resources presents enormous opportunities for sustainable energy production.”

Mrs Joe-Ezigbo who sits in the board of the International Gas Union (IGU) stated that for the country to enhance investment opportunities and address challenges in the energy sector, government must commit to stable policies, foster innovation, and engage in collaborative efforts at home and abroad.

“It is a journey that requires vision, determination, and collective action,” she emphasized, adding that “Nigeria’s energy transition is not just a necessity; it is an opportunity to reshape the nation’s future.”

By optimizing our gas resources, embracing renewable energy, diversifying the energy mix, and addressing the challenges that lie ahead, Nigeria can build a sustainable supply base for the future, she noted.

She made it clear that “Nigeria’s energy transition is not just about powering our homes and industries; it is about powering our dreams and aspirations for a brighter, cleaner, and more prosperous future for all Nigerians.”

In pointing at the robust domestic capacity available to swing rapid changes in the local energy mix, she told the gathering of policy makers, regulators, industry captains and media executives that the country is “filled with phenomenal people, brimming with productive capacity.”

 Mrs Joe-Ezigbo said that attainment of Nigeria’s energy diversification and industry expansion would “be pivotal to Nigeria’s economic development, environmental sustainability, global competitiveness, and the well-being of its people.”

“As we know, energy is the lifeblood of any economy, and access to reliable, affordable, and sustainable energy sources is critical for the growth and development of any nation. It fuels our transportation, lights up our homes, and powers our varied industries – thereby providing us with the ability to harness and optimize the potential for extraction, efficient utilization, value addition and commercialization of our vast natural resources.

“However, energy is not just about economic growth; it also has profound implications for the environment and our collective future. It can give full expression to the capacity and multitude of talents and entrepreneurial abilities that are native to us as Nigerians,” she noted.

The conference chairperson stated that whereas the petroleum has driven the domestic economy and brought considerable wealth for decades, “we have challenges with energy insecurity, and economic vulnerability to global oil price fluctuations.

“Indeed, from the standpoint of Energy Access and Security – despite being an oil-producing nation, Nigeria faces significant energy access challenges. Millions of Nigerians lack access to electricity, and those with access often grapple with frequent power outages. This lack of energy security hampers economic growth and human development.

“In the face of climate change and international commitments to reduce carbon emissions, the global energy landscape is undergoing a transformation. The transition to cleaner, renewable energy sources is accelerating worldwide, with a shift towards solar, wind, hydro, and other sustainable energy technologies,” she pointed out.

She sounded it clearly that “the global shift towards cleaner, more sustainable energy sources and transition to a low-carbon future will remain.”

“This transition presents Nigeria with a dual challenge: to adapt to a rapidly changing energy landscape and to seize the abundant investment opportunities that come with it,” she noted, adding that the country holds a huge opportunity to leverage gas resources in the most efficient ways to “give shape to the desired future Energy Landscape in Nigeria.”

To tap into the opportunities presented by the unfolding diversification, Mrs Joe-Ezigbo pointed at challenges and obstacles that stand in the pathway: “infrastructure deficits, policy and regulatory hurdles, financial constraints compounded by the high capital costs associated with both traditional and renewable energy projects, technical and technological Limitations, and indeed human capital constraints, amongst others.”

She canvassed for policies and regulations that would assist the industry overcome the challenges associated with funding and infrastructure, investments, pricing, and power.

She also pointed at the imperatives for enhancing local content and capacity development, research and development, and technological innovation, and numerous options for both centralized and decentralized energy solutions to energy access for rural and underserved communities.

She made it clear that policy options must prioritize the people, and center on “our youth in particular, and our ability to present to them the opportunity and enabling environment to give their best to the nation, the continent, and the world at large.”