How Uganda’s Oil Earnings Have Been Growing Before Start Of Commercial Production
Uganda has in the last five years seen earnings from oil and related activities grow substantially.
Yet the country is yet to sell a single drop of oil. In fact, commercial oil production, government has indicated, can only be expected in the fourth quarter of 2025.
But heightened activity ahead of first oil since government and joint venture partners signed the final investment decision in February 2022, has seen Uganda rake in huge earnings in form of tax and non-tax revenues.
Government first announced the discovery of commercial oil reserves about 18 years ago.
However, over the years, production has been rolled over into several unrealised timelines.
Of course, during the period, there have been some solid earnings here and there, with the average income from oil-related activities standing at an annual average of Shs99.6b in the four years to June 2023, according to data contained in the Petroleum Fund report released by the Ministry of Finance last Tuesday.
The report indicates that oil-related earnings held in the Petroleum Fund and managed by Bank of Uganda, have grown four-fold in the four years from Shs35.4b in June 2020 to Shs125.9b in June 2023.
The Fund registered its largest earnings in the period ended June 2021, which rose by Shs119.6b from Shs35.4b in June 2020 to Shs155b due to tax proceeds from the sale of Tullow Oil’s interests to Total Enrgies.
Detail indicate that Uganda earned at least Shs54b in capital gains tax from the Shs2 trillion transaction, in which Tullow Oil sold its interest, before exiting the country’s oil sector.
Other earnings have over the years been generated from income tax, withholding tax, value added tax, stamp duty, surface rentals, sale of data and educational or instruction-related levies.
However, the report indicates that earnings substantially declined in June 2022, dropping by Shs73b from Shs155b in the period ended June 2021 to Shs81.9b.
The report does not explain the cause of the decline, but indicate a massive recovery, in which earnings grew substantially, expanding by 54 percent or Shs44b in the period ended June 2023 from Shs81.9b to Shs125.9b.
The revenues were largely generated from tax-related activities, which, during the period, contributed 94.13 percent of total oil incomes, while non-tax activities contributed 5.86 percent.
In real value, of the Shs125.9b earnings, tax and related activities contributed Shs118.5b, while non-tax activities contributed Shs7.3b, the report shows.
During the period ended June 2023, Uganda earned the largest amount from oil-related activities from withholding tax, which raked in Shs90.6b, while income tax and educational or instruction-related levies raked in Shs27.9b and Shs4.4b, respectively.
Other income sources included surface rentals, earning Shs2b, signature bonuses (Shs740.3m) paid by Uganda National Oil Company and DGR Energy Turaco, following the signing of production sharing agreements for Kasuruban and Turaco, respectively, and production licenses (Shs107.5m).
The 54 percent increase in earnings during the period ended June 2023, details indicate, has seen the value of the Petroleum Fund more than double to Shs246.6b as of June 30, 2023 from Shs121.1b, which signals that Uganda is pressing all buttons to realise first oil next year.
The signing of the final investment decision about three years ago has provided the required momentum, and in a status report to Parliament in October last year, Energy Minister Ruth Nankabirwa said “we [government and joint venture partners] are on track to have first oil by the end of 2025”.
More than 11 oil wells, eight in the Tilenga and three in the Kingfisher area, with capacity to produce up to 190,000 barrels and 40,000 barrels of oil per day respectively, have already been drilled.
Idle fundsHowever, the Petroluem Fund reported a foreign exchange loss of Shs499.8m due to exchange of dollars to shillings.
Additionally, in his report, Auditor General John F.S. Muwanga, who has since retired, noted that whereas the Charter for Fiscal Responsibility provides that a maximum of 0.8 percent of the preceding year’s estimated non-oil gross domestic product outturn is transferred to the Consolidated Fund for budget operations, with the remaining balance directed to the Petroleum Revenue Investment Reserve for sustainable investment, during the 2022/23 financial year no funds were allocated to either, which undermines the economic benefits from prudent oil revenue investment.
“Shs206.6b of the entire Fund balance remained unallocated.
The failure to appropriate funds, results in idle financial resources and undermines the economic benefits from prudent oil revenue investment,” he wrote in comments contained in the Petroleum Fund
Source: The Monitor
Ghana: Takoradi Technical University Petroleum Department Unveils Industry Best Reservoir Simulation Software
The Department of Oil and Natural Gas Engineering at the Takoradi Technical University (TTU) has added a significant asset to its advanced technology-driven research and training capabilities in oil and gas engineering.
In addition to hosting the Jubilee Technical Training Centre, TTU has now secured a Petroleum Engineering Software Suite valued at over £3.3 million.
This comprehensive software suite, donated by PE Limited (PETEX), supports various aspects of petroleum production, including reservoir works, well-completion intervention, and control.
It also boasts robust simulation capabilities that enable users to model complex reservoir behaviour, optimise well performance, and predict production outcomes.
At the launch, Vice Chancellor of TTU, Rev Prof John Frank Eshun, emphasised the importance of the oil and gas industry as a hub for economic development.
He stated that the University is dedicated to equipping students with the tools and knowledge necessary for them to excel in this field.
Rev Prof Eshun highlighted the various ways the software supports Petroleum studies and research. He said, “With its advanced algorithms and intuitive interface, the software enables a realistic and interactive environment for students and researchers to explore, experiment, and learn.
“Its applications span various disciplines, from reservoir engineering and production optimisation to economics and environmental impact assessment.”
He added that the software would enable researchers and students to develop and test new reservoir modelling techniques, optimise well completion and intervention strategies, predict and analyse production scenarios, and evaluate the economic and environmental impact of petroleum production.
Expressing his appreciation to PETEX for the software, the Vice Chancellor was optimistic that the software would not only enhance teaching and learning but also bridge the gap between academic knowledge and industry application.
Dean of the Faculty of Engineering, Prof John Bentil, spoke about how technological advancements have changed the ways of technical and vocational education.
He said, “In our part of the world, limited resources from the government, rising student numbers and escalation of prices of teaching and learning materials, present the arduous tasks to managers of technical, and vocational education and training in Ghana.
“We are privileged that the import of 21st-century technological advancements presents to us an innovation and a game changer by way of simulation software.
“As we are all aware Takoradi Technical University has a niche program in oil and gas.”
He thanked all stakeholders who worked to ensure the acquisition of the all-important software for TTU.
Head of the Department of Oil and Natural Gas Engineering of TTU, Dr Joseph Sekyi Ansah, extended TTU’s gratitude to PETEX for its visionary support and commitment to technical education.
He highlighted the benefits of the software and its resourcefulness to academic work and industry.
He stated, “Students will gain hands-on experience with tools used by leading professionals, preparing them for successful careers in the oil and gas industry.
“Faculty and researchers can conduct advanced studies and innovate, positioning our TTU as a leader in oil and gas research.
“Aligning our resources with industry standards strengthens partnerships, opening opportunities for collaborative projects, internships, and job placements.
“Graduates equipped with advanced skills will drive progress and sustainability in the industry.”
“At Takoradi Technical University, we are committed to producing the next generation of engineers and innovators.
“This donation is a testament to our shared belief in the power of education and the importance of investing in the future.
“We look forward to celebrating more achievements together and ensuring our students are well-prepared to excel in the evolving landscape of oil and gas engineering.”
Industry players from Baker Hughes and GNPC praised the software acquisition by TTU for the training of Ghana’s next generation of Oil and Gas professionals.
Source: Akwasi Agyei Annim
Ghana: VRA Hints Of Spilling Akomsobo Dam Again
The Volta River Authority (VRA), managers of Akomsobo and Kpong Hydroelectric Power Dams, has announced plans to engage relevant stakeholders regarding a potential spillage of excess water from the Akosombo Dam.
According to a notice on July 5, 2024, signed by Eng Ken and addressed to stakeholders including the Minister for the Interior and all the assemblies within the dam’s catchment areas, indicated engagement is commencing immediately, awaiting the possibility of spillage if necessary.
“The Volta River Authority (VRA) intends to commence engagements regarding the potential controlled spillage of water from the Akosombo Dam. This precautionary measure is crucial to maintaining the structural integrity of the dam and ensuring the safety of our communities.
“We propose to engage you and the relevant team to discuss the potential implications, mitigative measures and information dissemination,” the notice said.
In September 2023, the VRA began releasing excess water from the Akosombo Dam, resulting in significant flooding in surrounding areas, particularly in the Lower Volta Region.
The controlled spillage continued until October 30, 2023, when VRA officially announced its conclusion.
Source: https://energynewsafrica.com
Ghana: CRM Creating More Investment Opportunities And Jobs–NPA Boss
The implementation of the cylinder recirculation model (CRM) is allowing entrepreneurs with limited capital to invest in the liquefied petroleum gas (LPG) distribution chain, Chief Executive of the National Petroleum Authority (NPA), Dr Mustapha Abdul-Hamid has said.
He said unlike the traditional LPG distribution system which requires huge capital in the establishment of LPG filling stations and related distribution costs, little investment is needed for the setting up of LPG depots and exchange points under the CRM.
Speaking at this year” ‘s NPA’s Consumer Week Celebrations in the Eastern Regional capital, Koforidua, on Thursday, July 4, 2024, the NPA Boss said the CRM would also create more jobs for the youth at the LPG depots, exchange points and transportation of cylinders.
The occasion, which was preceded by a CRM and a safe LPG educational campaign in the region, was held on the theme: ‘CRM: Making LPG accessible to all safely and efficiently’.
It was attended by market women, drivers, professionals and students. Board Members and Directors of NPA, security capos and heads of state institutions also graced the occasion under the chairmanship of the Omanhene of the New Juaben Traditional Area,
Daasebre Kwaku Boateng III.
Dr Abdul-Hamid explained that huge capital was needed to acquire a licence for the importation of petroleum products.
He said a substantial amount was also needed by an investor for the setting up of filling stations and indicated that the investor would start with seven filling stations, comprising four state-of-the-art and three ordinary.
However, the NPA Boss who is also the President of the African Refiners and Distributors Association (ARDA) said people who own land or students with limited capital could use their parents’ land to establish LPG depot exchange points.
Besides, he said people could procure vehicles to engage in the transmission of filled cylinders to customers.
The NPA Boss said the Authority was engaging with the government to reduce taxes on LPG to make it affordable, accessible and available to the majority of Ghanaians.
He, therefore, urged the people to embrace CRM to improve safety in the distribution and use of LPG and ensure the attainment of 50 per cent penetration by 2030.
In his remarks, a Deputy Minister of Energy, Mr Collins Adomako Mensah, said the CRM was geared towards encouraging the use of LPG for cooking and saving the lives of women from the harmful effects of smoke from charcoal and firewood.
It would also reduce the felling of trees and preserve the environment.
The Eastern Regional Minister, Mr Seth Kwame Acheampong, and a Deputy Minister of Trade and Industry, Mr Michael Okyere Baafi, urged the public to opt for the CRM to ensure safety in the use of LPG to protect lives and property.
For his part, the Industry Coordinator of the Association of Oil Marketing Companies, Dr Clement Amoako, gave the assistance that the association would collaborate with the NPA to ensure the successful implementation of the CRM.
The General Manager of Blue Ocean, Mr Zwelithini, and the Head of Brands and Communications of New Gas, Mr Samuel Bonnuedie, said their bottling companies had started dispatching filled cylinders to selected exchange points in Accra and would be extended to the other regions.
In his remarks, Daasebre Kwaku Boateng III urged all people to embrace CRM since it is the surest way to save their lives and prevent the harmful effects of climate change.
Source: https://energynewsafrica.com
Nigeria: Blackout Across Nigeria As National Grid Collapses Again
Nigeria has been plunged into total darkness as the country’s national electricity grid experienced a system collapse again on Saturday afternoon.
Although the system operator, TCN, is yet to issue an official statement, some of the power distribution companies (Discos), in a notice to their customers, mentioned that the system collapse occurred at about 15:09 hours on Saturday, 6th July, 2024.
A notice by Enugu Electricity Distribution Company (EEDC) attributed the loss of power supply in the Southeast states–Abia, Anambra, Ebonyi and Enu to the situation.
“Due to this development, all our interface TCN stations are out of supply, and we are unable to provide services to our customers in Abia, Anambra, Ebonyi, Enugu, and Imo states.
“We are on standby awaiting detailed information of the collapse and restoration of supply from the National Control Centre (NCC), Osogbo,” the notice reads.
Kaduna Electric in a notice posted on X said “We regret to inform you that the power outage being experienced in our franchise states is due to System Collapse of the National Grid.
“The collapse occurred at about 3:10 PM, hence the loss of supply on all our outgoing feeders.
“Power supply shall be restored as soon as the National Grid is powered back.
“Our sincere apologies for any inconvenience,” the company said.
The situation has generated discussions on X, formerly Twitter.
Source: https://energynewsafrica.com
Nigeria: Sahara Group Highlights Sustainability Milestones In Third Edition Of Gree’n’lectric
Leading responsible energy and infrastructure conglomerate Sahara Group has restated its commitment to effective management of its environmental footprint through strategies that reduce carbon emission across its businesses.
Speaking during the unveiling of third edition of Gree’n’lectric, a Sahara Power Group digital publication dedicated to promoting clean energy and environmental sustainability in Africa’s power sector, Bethel Obioma, Head, Corporate Communications, Sahara Group said, “Gree’n’lectric highlights Sahara’s intentional steps towards fostering sustainable practices in the power sector.”
Tagged ‘Securing our collective Future’, the publication outlines Sahara’s Environmental, Social, and Governance (ESG) milestones within its power affiliates, Egbin Power Plc, First Independent Power Limited (FIPL), and Ikeja Electric.
The third edition of Gree’n’lectric was unveiled at Asharami Square, a Sahara Group initiative aimed at promoting sustainability through media advocacy, amidst experts in the energy sector and media professionals.
Ejiro Gray, Director, Governance and Sustainability, Sahara Group said: “At Sahara, our commitment to sustainability is evident in all our operations.
Gree’n’lectric not only speaks on the major projects that we have undertaken as we bring energy to life responsibly.”
She added: “It also highlights the initiatives invested in ensuring a greener tomorrow – from installing renewable energy sources such as the Egbin wind turbines, to reducing environmental impact, Gree’n’lectric offers insight into Sahara’s advocacy for a sustainable future.”
Reaffirming the commitment of the business to global sustainable practices, Folake Soetan, CEO, Ikeja Electric, Nigeria’s largest power distribution company, said, “Here at Ikeja Electric, we will continue to enlighten both host communities and employees through educative initiatives, such as the IE-Safetainability School and Safety Starts with Me, aimed at promoting safety and environmental consciousness.”
According to Mokhtar Bounour, CEO, Egbin Power Plc,“Gree’n’lectric continues to serve as a reference point of our commitment at Egbin to bringing energy to life responsibly while reducing carbon emissions through several clean energy initiatives, resulting in improved livelihoods and a cleaner environment.”
Source: https://energynewsafrica.com
Nigeria: Four Arrested For Destruction Of TCN Infrastructure In Kaduna
The Police Command in Kaduna state in the Federal Republic of Nigeria has arrested four suspected vandals who were caught destroying transmission towers installed in some parts of the state.
This was contained in a statement issued by Ndidi Mbah, General Manager, Public Affairs for Transmission Company of Nigeria on Friday.
Ndidi Mbah said that among the instruments recovered from them were shovels and diggers.
She said that TCN appreciated efforts of the police and assured its continued collaboration with security operatives in safeguarding transmission infrastructure nationwide.
”The suspects will be prosecuted soon,” she said.
Source: https://energynewsafrica.com
Ghana: Tullow Ghana Appoints Interim MD As Wissam Al-Monthiry Quits July Ending
Tullow Ghana Limited (TGL), a subsidiary of Africa-focused oil firm Tullow Oil Plc, has announced that its Managing Director Wissam Al-Monthiry will be leaving the company at the end of July 2024, to pursue a new career opportunity after four years of meritorious service.
Wissam has been instrumental in leading the organizational transformation of the Ghana business and the delivery of key projects such as the Jubilee South-East project–which have been fundamental to Tullow’s success over the last four years.
A statement by Tullow also announced the appointment of Jean-Medard Madama, the Director for Tullow Plc’s Non-Operated portfolio and Exploration Business Unit, as an interim Managing Director of Tullow Ghana from July 1, until a permanent replacement is announced.
Jean-Medard is an experienced business leader with extensive technical expertise gained over three decades in the oil and gas sector in various operational and leadership positions across Africa, Europe and North America.
As a former Country Manager for Tullow’s Gabon business, Jean-Medard has a deep understanding of Tullow’s business and future strategy, and his experience will be invaluable for the proposed optimisation plans for the TEN field and further growth opportunities in the Jubilee Field.
Rahul Dhir, the CEO of Tullow Oil Plc, said, “Wissam has been instrumental in the operational turnaround we have achieved in Ghana and the progressive localisation success stories we have recorded so far.
“Due to his deep technical knowledge and extensive business leadership experience, Wissam has made a substantial impact during his time at Tullow, and we are of course sad to see him leave. We wish him well and remain grateful for his significant contributions to Tullow.”
Wissam Al-Monthiry, Managing Director of Tullow Ghana, said, “Over the last four years, we have chalked several successes, working with all our stakeholders to achieve the operational turnaround in the Ghana business.
“Whatever success I achieved during my time is attributable to the hardworking colleagues I worked with. I would like to thank the Tullow Ghana team for all their support and assistance and wish them all the best for the future.”
Jean-Medard Madama, Interim Managing Director of Tullow Ghana, commented, “I am looking forward to building on the strong foundations established by Wissam and the team in Ghana to ensure that Tullow continues to play a key role in Ghana’s oil and gas industry.”
Source: https://energynewsafrica.com
Ghana: Petrol, Diesel Prices Jump As Cedi Depreciates
Fuel prices have been increased marginally in the Republic of Ghana as a result of continuous depreciation of the Ghanaian cedi against the major international currencies especially US dollars.
A litre of petrol is now sold between Gh¢13.66 and Gh¢14.80 while diesel is sold between Gh¢14.39 and Gh¢14.92.
During the second pricing window which ended on June 30, a US dollar was exchanged for Gh¢15.27.
Data from the National Petroleum Authority, the petroleum downstream regulator, showed that the price of petrol declined to US$816.16 from US$851.73 per metric tonne while diesel price rose to Gh¢778.32 from US$749.70 per metric tonne for the first pricing window of July.
Crude oil prices also witnessed some increases, with WTI hovering around US$82.49 per barrel while Brent went up to US$87.10 per barrel.
Currently, GOIL is selling petrol (Ron 91) at Gh¢14.80 per litre while petrol (Ron 95) is sold at Gh¢15.94, with diesel being sold at Gh¢14.92 per litre.
Shell is selling both petrol and diesel at Gh¢14.84 per litre.
TotalEnergies is selling petrol at Gh¢14.80 while diesel is sold at Gh¢14.90 per litre.
Star Oil is selling petrol at Gh¢13.83 per litre while diesel is sold at Gh¢14.49 per litre.
Petrosol Ghana is selling petrol at Gh¢14.60 while diesel is sold at Gh¢14.85 per litre.
Puma is selling petrol at Gh¢14.45 per litre while diesel is sold at Gh¢14.60 per litre.
Allied is selling petrol at Gh¢13.65 while diesel is sold at Gh¢14.22 per litre.
Pacific is selling both petrol and diesel at Gh¢14.39 per litre.
Engen Ghana is selling petrol at Gh¢14.65 while diesel is sold at Gh¢14.85 per litre.
Benab is selling petrol at Gh¢13.66 while diesel is sold at Gh¢14.42 per litre.
Source: https://energynewsafrica.com
Source: https://energynewsafrica.com Nigeria: REA Signs 1,265 MW Renewable Energy Agreement
The Rural Electrification Agency has signed a Memorandum of Understanding with five private developers to deliver 1,265 MW of renewable energy projects across Nigeria.
The deal, signed on July 4, 2024, aims to electrify rural and peri-urban communities, promoting economic growth and improved living standards.
The five developers – A4&T Power Solutions, Eauxwell Nigeria Limited, Skipper Nigeria Limited, Havenhill Synergy Limited, and Privida Power – will develop interconnected mini-grids, isolated mini-grids, commercial and industrial projects, and Power Utility Entities under the Distributed Access through Renewable Energy Scale-up project.
REA Managing Director/CEO Abba Abubakar Aliyu hailed the partnership, in a statement on Thursday stating, “This MoU demonstrates our commitment to rolling out the Renewable Energy Service Companies model, providing developers with a platform to become utility companies and attract investment to deploy mini-grids.”
The High Commissioner of India, G. Balasubramanian, praised the partnership, noting, “This signing will improve bilateral cooperation between India and Nigeria, sharing our experience to develop Nigeria’s energy sector.”
The developers expressed their enthusiasm for the project, with A4&T Power Solutions CEO Ayo Ademilua appreciating REA’s support and ambition.
Privida Power CEO Omo Williams pledged solid support for REA, while Skipper Nigeria Limited Managing Director Ankit Kumar emphasized the impact on Nigerians’ lives.
Eauxwell Nigeria Limited Representative Chibuzo Enwegbara and Havenhill Synergy Managing Director Olusegun Odunaya reiterated their commitment to delivering the projects.
This milestone aligns with Nigeria’s efforts to enhance renewable energy access and reduce energy poverty.
The REA also signed an MoU with Mercy Corps to strengthen electricity cooperatives and ensure sustainable project operations.
Source: https://energynewsafrica.com
Ghana: Energy Minister Selected As Vice Presidential Candidate For Ruling NPP
Ghana’s Minister for Energy Dr Matthew Opoku Prempeh has been selected by the ruling party, the New Patriotic Party (NPP), as its vice-presidential candidate to partner with the flagbearer, Dr Mahamudu Bawumia, for the December 7 General Elections.
The nomination of Dr Matthew Opoku Prempeh as vice presidential candidate was unanimously approved by the National Council of the New Patriotic Party on Thursday, June 4, 2024.
The National Council endorsed the decision after earlier meetings with the National Executive Council and the National Steering Committee of the party.
Opoku Prempeh, popularly known as NAPO, is also the Member of Parliament for South Manhyia and former Education Minister.
His selection is seen as a strategic move by Dr Bawumia to consolidate support within the party and across the country, especially in the Ashanti Region.
PROFILE
Born on May 23, 1968, in Ashanti New Town, a suburb of Kumasi, NAPO hails from Pakyi No. 2 in the Ashanti Region.
He started his basic education at the Kwame Nkrumah University of Science and Technology (KNUST) Primary and continued to Prempeh College in Kumasi for his middle school education
He studied Human Biology and Medicine at KNUST and completed his MB CHB in 1994. He continued with post-graduate studies in MSc. Clinical Epidemiology at The Netherlands Institute of Health Sciences in 1998 and at the Kennedy School of Government at Harvard University where he studied Leadership and Government (certificate course).
In 2002, he pursued postgraduate training in surgery in the UK (MRCS).
Before entering parliament, NAPO served as the CEO of Keyedmap Security Services Limited from 2004 to 2009.
He is also a medical doctor and served as a member of the Royal College of Physicians and Surgeons of the United Kingdom from 1999 to 2003.
Source: https://energynewsafrica.com
Breaking News: Nigeria Beats Ghana, Others To Host Headquarters Of $5 Billion African Energy Bank
Nigeria has beaten five African nations to secure the bid to host the headquarters of the newly established $5 billion African Energy Bank (AEB) in Abuja.
Nigeria competed with Ghana, Benin, Algeria, South Africa and Cote d’Ivoire to host the bank.
The AEB is being spearheaded by the African Petroleum Producers Organisation (APPO) and Afreximbank.
Nigeria’s State Minister for Petroleum Resources (oil), Heineken Lokpobiri, who broke the news on X, formerly twitter, on Thursday, 4th July 2024, said the bank would play a crucial role in financing and advancing energy projects across Africa, promoting innovation, sustainability and economic growth.
Lokpobiri assured Nigerians and Africans that the establishment of the AEB would mark a transformative era in meeting energy needs.
“I am delighted to share that Nigeria has been selected to host the headquarters of the African Energy Bank! This prestigious honour is a testament to our country’s leadership and commitment to the energy sector.
“As the Minister for Petroleum Resources (oil), I am incredibly proud of this achievement. The African Energy Bank will be a cornerstone for financing and advancing energy projects across Africa, promoting innovation, sustainability, and economic growth.
“This is a remarkable victory for Nigeria and the entire African continent.
“It symbolises our collective efforts to harness and develop our rich energy resources for a brighter, more sustainable future,” Lokpobiri said
Speaking via phone to Dr. Omar Farouk Ibrahim, the Secretary General of APPO, he confirmed Nigeria’s selection as the host country of the African Energy Bank.
He said Nigeria was selected by the Ministerial Committee and Afreximbank after rigorous selection processes.
He told this portal that, with the selection of Nigeria as the headquarters, they are hoping to quickly put all the necessary structures in place to operationalise the bank by September this year.
APPO is hoping to raise US$1.5 billion from its members, with each member expected to pay US $83.3 million, while Afreximbank is also expected to support it with US$1.5 billion.
According to Dr. Omar Farouk, Nigeria has so far paid $60 million out of the $100 million pledged, with the remaining $40 million expected to be paid in the next couple of days.
He added that Ghana and few other members had also made part payments.
He said APPO would be embarking on road shows in member countries in the next couple of weeks to mobilise funds from them.
Source: https://energynewsafrica.com
Namibia: More Than 4000 Signatories Gathered To Petition Against Electricity Tariff Hike
More than 4000 Zambians have signed a petition seeking ministerial intervention to stop the eight per cent increment in electricity tariff by the Electricity Control Board (ECB).
Effective July 1, Namibians started paying between N$2.50 and N$3 per unit of electricity.
Katutura Residents Committee spokesperson, Shaun Gariseb, who started the petition, said residents have not consulted adequately and the tariff hike would add further financial distress to poor households.
“All residents are affected in these tough financial times, and it will negatively affect individuals and businesses,” Gariseb said on Monday.
The petition calls on Mines and Energy Minister Tom Alweendo to use his ministerial powers to intervene and review the ECB’s tariff hike.
“The Minister is stripped of powers when determining these electricity hikes but is involved in determining licensing.
“The ECB relies on a national tariff study that was done in the year 200. Yes, in 2001 when taxis cost N$5 and there was no Facebook.
“Circumstances have not changed in over 20 years (yet) they base their decisions on a study done two decades ago.
“On the ECB website, the only documents that don’t download are the most important ones. Guidelines on tariff costing and methodology, (all) this according to the law must be availed to us the general public so we know how decisions were arrived at.
The “Error” you see when trying to download is deliberate,” said Gariseb.
He said the only way to correct this is through demonstrations and legal action, “or else we must wait for load-shedding.”
Source: https://energynewsafrica.com
Nigeria: Upstream Regulator Approves Eni, Equinor Assets Sale
Nigeria’s upstream oil regulator has approved two key onshore assets sale by international oil companies, clearing the way for Oando and new entrant Project Odinmim, to acquire assets, the head of the agency, Gbenga Komolafe, said on Wednesday.
Nigerian Upstream Petroleum Regulatory Commission (NUPRC) greenlit deals by Eni’s local unit Nigerian Agip Oil Company (NAOC) to Oando and Equinor to Project Odinmim, Komolafe announced at an energy conference in Abuja, the capital.
The deals had been pending for months as they required sign-off from the petroleum minister under a recently enacted oil industry law. Approvals for Exxon Mobil’s US$1.3 billion asset sale to Seplat and Shell’s divestment to Renaissance remain pending.
“The signing ceremony will be conducted in the next few days,” Komolafe said.
Eni had previously announced the sale of its NAOC subsidiary to Oando in September. The deal included interests in four onshore oil mining leases (OML) 60, 61, 62, and 63.
However, Ainojie Alex Irune, Oando’s CEO, hinted at further complexities in the deals during the conference.
“We had four transactions; two were approved, one on a yellow flag and the other in abeyance,” he said.
The NUPRC chief did not elaborate on the specific OMLs approved for Oando, and Irune did not provide further details.
Oil majors operating in Nigeria have been exiting their onshore fields hampered by theft, vandalism and pollution to focus on deepwater explorations.
In May, the NUPRC offered faster approvals for pending asset sales by the majors if they took responsibility for spills and compensated communities rather than wait for authorities to apportion liability, which could lead to further delay deals.
Source: Reuters