South Africa: Security Guards, Others Arrested For Cable Theft
Fifteen people including security guards have been arrested and put before a Magistrate court in Johannesburg, South Africa.
The suspects were arrested at the weekend during an intelligence operation between City Power and law enforcement agencies, led by the SAPS Essential Infrastructure Task Team.
A report by Daily Maverick said the 15 suspects, including nine security guards contracted to City Power, are facing charges of theft and tempering with ferrous metals.
Six of the 15 suspects appeared in the Johannesburg Magistrates’ Court on Monday.
Three are City Power security guards: Bongani Mtshali (43), who is a supervisor, Tony Nkwashu (26) and Musawenkosi Mngube (26).
They appeared alongside Thabo Moyo (25), Interest Paija (28) and Bernard Ncube (26), all of whom are from Zimbabwe.
The case was postponed to 8 July.
Criminal activity involving City Power contractors and employees has been ongoing for several years.
“These criminals are well-organised cable theft syndicates. We suspect they possess significant resources, including high-powered weaponry and advanced tools, to target valuable infrastructure.
“The stolen copper cables themselves are valuable commodities in the black market or scrapyards, as they are easy to steal and sell for a significant profit,” said City Power recently.
City Power recorded 1,644 cable theft and vandalism incidents in 2017/18, which rose to 2,347 incidents in the 2022/23 financial year, with 278 arrests made.
Cable theft and vandalism have cost City Power more than R160 million this financial year.
City Power has expressed concern over cable theft and vandalism in Randburg, Roodepoort, Joburg’s inner city and Lenasia.
Source: https://energynewsafrica.com
Policy Reform And Revitalization: The Key to Expanding South Africa’s Natural Gas Infrastructure (Article)
South Africa is in many ways one of the most modern countries in Africa, particularly with respect to electricity access.
Yet while its numbers compare favorably with most other African nations (as of 2021, 89.3% of the population had reliable access to electricity, making it the fifth-highest ranking in the continent according to the World Bank), it still shares some of the same core problems as the others: an unreliable energy supply facing a rapidly growing population, an expanding economy, and increasing urbanization.
With climate change looming large over any debate about energy, the pressure is on from more economically developed nations for Africa to bypass older energy technologies and jump straight to renewables.
As wonderful as that may sound in theory, the key to supplying a growing nation is stability, and the key to stability is diversity.
For South Africa, whose current power generation structure is dominated by coal, that means including natural gas — which Africa has in almost as much abundance as sun and wind — to help steady the supply of energy while renewable technology continues to mature.
Diversifying the energy supply is not as simple as opening the door and putting out the welcome mat, however.
For energy suppliers to thrive in a new market, they need to see stability as well — stability of policy and infrastructure.
Companies don’t like doing business where the rules are Byzantine, and their physical needs are difficult or impossible to supply.
To support the expansion of its natural gas infrastructure and ensure a more prosperous future, there are several policy initiatives that South Africa should embrace.
Physical Needs
The most obvious place to start is expanding the existing gas networks to support wider distribution.
Current supply is highly localized in just three areas around Gauteng, Mpumalanga, and KwaZulu-Natal.
Adequate storage facilities are sorely lacking outside of these zones and need to be built before pipeline networks can be installed to distribute the gas.
Plans are currently underway to develop such facilities in Coega, Richards Bay, Saldanha Bay, and just across the border in Maputo, Mozambique.
This is a good start, but more will be needed to facilitate prompt additional power generation when a renewables-based grid needs assistance.
Terminals and regasification plants for liquefied natural gas (LNG) would also enhance the country’s import capacity.
Public-private partnerships with corporations such as ExxonMobil and Royal Vopak, along with international collaborations among governments, could help accelerate these developments.
South Africa also needs to do more to access and utilize its own native supply of natural gas in areas like Mossel Bay, the Orange River Basin, and the shale formations of the Karoo Basin.
Seismic surveys and exploratory drilling are needed to more accurately characterize the resources available and optimize the location of gas processing and transport infrastructure.
Energy independence is an important factor in long-term stability, as evidenced in Europe when Russian gas imports were abruptly cut off.
The country could also benefit from converting old, mothballed coal-fired power plants to use natural gas instead.
This could save time and money by requiring fewer new builds, and also recover jobs that were lost when these facilities were decommissioned.
Although some coal plants can be converted to diesel, LNG is a more environmentally friendly option that more efficiently supports combined-cycle and open-cycle gas turbine plants.
Policy Needs
As is so often the case, much of what stands in the way of progress comes down to policy and paperwork.
It’s all well and good to say we need more exploration, but unclear permitting and consulting processes, lengthy appeals timelines that exceed regulatory allowances, and limited permit validity periods for reconnaissance activities are highly discouraging to potential investors and developers, who need assurance that they aren’t throwing their time and money into a bottomless pit.
Instead, development partners need clear, stable, and supportive regulations to ensure legal certainty for projects.
Policy implementation and permitting must be transparent and provide a clear framework for discussion and decision-making when considering risks, mitigations, and economic development goals.
A policy brief published by Eye for Business and commissioned by The EnerGeo Alliance in May 2024 offered a number of suggested policy reforms aimed at streamlining energy development in South Africa.
The EnerGeo Alliance is a global trade alliance for the energy geoscience industry, representing geoscience companies, innovators, and energy developers.
Steps recommended by the brief include well-thought-out reforms that could quickly spur much-needed investment in the country:
Implementing clear and stable policies that support the development and integration of natural gas within the energy sector.
Addressing policy gaps regarding new gas sources and creating incentives for investment in gas infrastructure.
Streamlining geoscience survey permitting and consultation processes to provide critical data for identifying and developing domestic natural gas resources.
Providing certainty for project proponents who have received relevant exploration rights and environmental authorizations.
Considering standardized and coordinated assessment of environmental impacts and consultations to provide greater confidence for all stakeholders and reduce redundant assessments and consultations.
Initiating regular licensing rounds for offshore exploration activities to provide opportunities for investment and enhance competition.
Extending the validity of reconnaissance rights to offer project proponents more flexibility in seismic data acquisition, even when weather and environmental sensitivities cause slowdowns.
Prioritizing the construction of LNG terminals and other necessary infrastructure to support natural gas import, storage, and transportation.
Establishing a clear timeline detailing how natural gas can add value in the immediate future, well before renewables become available.
Establishing stringent safety standards and regular maintenance schedules for gas infrastructure to mitigate risks and ensure long-term operational integrity.
To expand on that last item, while it is important for economic development to provide a supportive environment for investors, any wise society must also take steps to protect itself from being taken advantage of due to lax or nonexistent regulation that can result in compromises to oil and gas infrastructure.
A stable supply of energy can only occur when safety and security regulations are respected and consistently enforced.
With national energy demand expected to triple by 2040, South Africa must plan wisely to expand and stabilize its energy supply, both imported and domestic, while respecting well-founded concerns about future climate change.
Natural gas is the most reliable, efficient, abundant, and lowest-carbon fuel available to bridge the gap to a fully renewable future.
If we are to utilize it responsibly, we must first provide a sound, sensible, and transparent policy foundation to smooth the road for all who wish to see South Africa prosper in the decades to come.
Distributed by APO Group on behalf of African
The writer is the Executive Chairman, African Energy Chamber
Source: https://energynewsafrica.com
Nigeria: National Oil Company Declares State Of Emergency On Oil, Gas Production
Nigeria’s national oil company, NNPC Ltd, has declared a state of emergency on production in Nigeria’s oil and gas industry as the country struggles to keep oil production.
The NNPC Ltd has also called on all players in the industry to collaborate towards reducing the cost of oil production and boosting production to target levels.
Oil theft and pipeline vandalism have long plagued Nigeria’s upstream oil and gas industry, driving majors out of the country and often resulting in force majeure at the key crude oil export terminals.
Recently, NNPC Limited called for setting of a specialised court to swiftly deal with oil theft and pipeline vandalism.
“We have decided to stop the debate. We cannot afford to negotiate further. We have declared war on the challenges affecting our crude oil production.
“Our biggest interest is to produce more oil and gas despite oil theft and other challenges.
“We have the right tools. We know what to fight. We know what we have to do at the level of assets. We have engaged our partners and we will work together to improve the situation,” said Mele Kyari, Group Chief Executive Officer, NNPC Ltd, at the ongoing 23rd edition of the Nigeria Oil & Gas Conference and Exhibition held in Abuja from June 30 to July 4.
Mr Kyari said a detailed analysis of assets revealed that Nigeria could conveniently produce two million barrels of crude oil daily without deploying new rigs, but decried the inability of players to act promptly as a major impediment.
He said obstacles to effective and efficient production such as delays in procurement processes and old pipeline networks were affecting the industry.
He said NNPC Ltd. would replace all the old crude oil pipelines built over four decades ago and introduce a rig-sharing programme with its partners to ensure that production rigs stayed in the country.
This, he said, would be a medium to long-term measures aimed at boosting and sustaining production.
He expressed commitment to investing in critical midstream gas infrastructure such as the Obiafu-Obrikom-Oben, OB3, and the Ajaokuta-Kaduna-Kano gas pipelines to boost domestic gas production and supply for power generation.
On Compressed Natural Gas, CNG, Mr Kyari said that NNPC Ltd. had keyed into the Presidential CNG Initiative drive.
He said in conjunction with partners such as NIPCO Gas, NNPC Ltd. had built several CNG stations, 12 of which would be inaugurated on Thursday in Lagos and Abuja.
The Secretary-General of the Gas Exporting Countries Forum, GECF, Mohamed Hamel, in an address, also advocated for natural gas infrastructure and penetration for energy stability and security.
Source: https://energynewsafrica.com
Nigeria: IBEDC, Kaduna Discos Announce Adjustment In Electricity Tariff For Band ‘A’ Customers
Ibadan Electricity Distribution Company Plc and Kaduna Electric in the Federal Republic of Nigeria have announced an upward review of electricity tariff for Band ‘A’ customers effective July 1.
According to the two Discos, the tariff will be adjusted from N206.80/kWh to N209.50/kWh.
This review has been duly approved by the Nigerian Electricity Regulatory Commission (NERC) as captured in the multi-year Tarif supplementary order.
The adjustment is necessitated by several key economic indices, including fluctuations in the exchange rate, the current inflation rate, available generation capacity and the cost of gas.
These factors have significantly impacted operational costs and the new tariff will mitigate these financial pressures while continuing to deliver high-quality electricity services.
“It is important to note that this adjustment affects only our Band A customers. The tariffs for Bands B, C, D, and E remain unchanged. We remain committed to providing reliable and efficient electricity services to all our customers across different bands.
“We understand that any change in tariffs can be a concern for our customers, and we assure you that this adjustment is necessary to maintain and improve the quality of our services.
“Our goal is to ensure that you receive the best possible value for your money,” said Engr Francis Agoha, Acting Managing Director of IBEDC, in a statement.
Meanwhile, Kaduna Electric, in a statement signed by Abdulazeez Abdullahi, Head of Corporate Communication, said the review of the tariff affects both prepaid and postpaid customers.
He assured customers on the company’s Band ‘A’ feeders of continued availability of 20-24hrs supply daily as stipulated in the Service Based Tariff regime.
“The public should note that the tariff for Bands B, C, D and E remains unchanged,” he said.
Source: https://energynewsafrica.com
South Africa: TotalEnergies To Exit Gas Field Offshore
French oil major TotalEnergies has notified South Africa’s petroleum regulator that it intends to withdraw from its 11B/12B offshore gas field but has yet to submit a formal request to do so, a source at Petroleum Agency SA said.
TotalEnergies discovered the first of two large mainly gas finds in Block 11B/12B offshore the southern coast in 2019, and the withdrawal is a setback for South Africa which was banking on the gas potentially supplying an idle national gas-to-liquid refinery at Mossel Bay.
Talks over the gas price have stalled for years, while TotalEnergies has invested heavily to explore neighbouring Namibia, a global exploration hotspot since TotalEnergies, Shell and Galp hit new finds.
“The main reason for the withdrawal is the inability to secure a market for the gas,” the source told Reuters on Tuesday.
“They have not withdrawn their production right application (to 11B/12B),” added the source, who was not authorised to speak to the media.
TotalEnergies did not respond immediately to a request for comment.
Bloomberg reported the news earlier on Tuesday.
TotalEnergies partnered with QatarEnergy in March to buy a stake in a licence seeking oil and gas on the west coast of South Africa as part of plans to develop the Orange Basin in Namibia.
The prolific Orange Basin, where most of Namibia’s petroleum finds have been made, extends southwards into South African waters.
Source: Reuters
Ghana: OPEC Envisages Energy Demand Rising By 23% By 2045–Al Ghais
The Organisation of the Petroleum Exporting Countries (OPEC) is forecasting energy demand to rise by an estimated 23 per cent by 2025.
According to the oil cartel, the rise in energy demand will be fueled by the world’s economy which is expected to double in size, growing from 138 trillion dollars in 2023 to 270 trillion dollars in 2045.
“Why are we optimistic? Let us consider these statistics, which are based on OPEC’s World Oil Outlook.
“Urbanisation alone will account for over half a billion people moving to cities around the world by 2030.
“This data tells us that the world will require all forms of energy to meet long-term energy needs.
“Oil and gas will remain the predominant fuels in the energy mix.
“Oil alone will retain its share at almost 30 per cent in 2045 as world demand for oil soars to an estimated 116 million barrels per day (mb/d) by that time,” said Haitham Al Ghais, OPEC, Secretary-General, on Tuesday via teleconference at the ongoing 23rd Nigerian Oil and Gas(NOG) Energy Week Conference and Exhibition in Abuja.
The conference, which is held from June 30 to July 4, has its theme ‘Showcasing Opportunities, Driving Investment, Meeting Energy Demand’.
Al Ghais explained that it forecasted a rapidly expanding world population that would surpass 9.5 billion people.
To meet this rapid and robust growth in energy consumption, he said the industry would need to boost investment levels significantly in the years to come.
He said according to its research, cumulative oil-related investment requirements from 2024 until 2045 would amount to 14 trillion dollars or around 610 billion dollars on average per year.
“Securing this vital funding is essential to maintaining security of supply and avoiding unwanted volatility.
“Despite these facts, I am certain you are aware of some recent predictions for peak demand by 2030 and calls for a discontinuation of investment in hydrocarbons,” he said.
Al Ghais further emphasised that indeed, the rush to adopt “Net-Zero” strategies was misguided and simply not realistic.
The OPEC Secretary-General said that developing countries would continue to balance priorities between developing their national economies and addressing climate change.
In this regard, he pledged that OPEC and its member countries would continue to advocate for a fair process for adaptation, mitigation and means of implementation, of finance and technology.
He decried the fact that there were an estimated 675 million people with no access to basic forms of energy and 2.3 billion without access to clean cooking fuels.
He tasked world leaders to unite and advocate for the necessary support and resources to make a difference in addressing this important matter.
“Looking ahead, OPEC will continue to enhance dialogue and cooperation with all of its energy partners, including in Africa,” Al Ghais said.
The Secretary-General, while commending President Bola Tinubu, appreciated Nigeria’s staunch commitment to OPEC and the Declaration of Cooperation.
Source: https://energynewsafrica.com
Zambia: Zesco Releases New Load Rationing Timetable
Zambia’s power utility company, Zesco Limited, has issued a new load rationing timetable effective July 1, 2024, to guide electricity consumers.
Some areas will experience outages for about twelve hours while other areas will experience more than fifteen hours.
A statement issued by Zesco’s Corporate Affairs on Tuesday, July 2, 2024, urged Zambians to download the ‘My ZESCO Mobile App’ which has been upgraded to include a load rationing schedule to guide them.
The corporation also urged Zambians to practice energy efficiency by turning off non-essential appliances and using energy-efficient devices.
Source: https://energynewsafrica.com
Source: https://energynewsafrica.com Saudi Arabia: Major Oil, Gas Discovered
Saudi Arabia on Monday announced the discovery of seven oil and natural gas deposits in the country’s Eastern Province.
The discovery was made by Aramco, Saudi Arabia’s state-owned oil company, Saudi Energy Minister Prince Abdulaziz bin Salman said in a statement cited by the state news agency SPA.
Aramco “has discovered two unconventional oil fields, one Arabian light oil reservoir, two natural gas fields, and two natural gas reservoirs in the Eastern Province and the Empty Quarter,” he added.
Saudi Arabia is the world’s largest crude oil exporter and leader of the Organization of Petroleum Exporting Countries (OPEC).
Aramco’s oil production hit 500,000 barrels per day (bpd) in 1949, and the company currently produces around 9 million bpd, making it one of the world’s largest oil producers.
Source: https://energynewsafrica.com
South Africa: SolarAfrica Energy Launches Landmark 1 GW Solar Farm Project In Northern Cape
SolarAfrica Energy has officially commenced construction of its first utility-scale solar farm, SunCentral, in the Northern Cape.
Phase 1 of this ambitious project will generate around 342 MW, with subsequent phases increasing the total capacity to 1 GW, making it one of the largest solar projects in South Africa.
David McDonald, CEO of SolarAfrica Energy, highlighted the importance of collaboration during the groundbreaking ceremony. “A project of this magnitude wouldn’t have been possible without the power of partnerships. Eskom’s dedication to partnering with the private sector has been instrumental in addressing South Africa’s power generation struggles,” McDonald said.
Representatives from Emthanjeni Municipality and Business Chamber were present, with Mayor Lulamile Nkumbi expressing strong support for the project and the importance of transparent communication among stakeholders.
Originally developed by Soventix South Africa for the Renewable Energy Independent Power Producer Procurement Programme (REIPPP), the project rights were sold to SolarAfrica.
Soventix will continue to develop Phases 2 and 3. Engineering, Procurement and Construction (EPC) firms Proconics and Sinohydro will play crucial roles, with Proconics handling the installation of the Main Transmission Substation (MTS) and Sinohydro managing the installation of over 500,000 solar panels.
Phase 1 involves an investment of nearly R5 billion, with R1 billion allocated to the MTS and R4 billion to the solar installation. McDonald emphasized that such investments bolster the national grid’s capacity to manage and distribute power.
Located between Hanover and De Aar, SunCentral will implement several corporate social responsibility (CSR) projects in partnership with local leaders to benefit surrounding communities.
These initiatives will align with community needs assessments, the United Nations Sustainable Development Goals, the National Development Plan, and the strategic objectives of the Emthanjeni Local Municipality.
Nationally, SunCentral aims to alleviate the generation burden on Eskom through public-private partnerships, addressing South Africa’s power challenges.
SunCentral will provide affordable, green energy to South African businesses via wheeling, enabling more companies to access cheaper and cleaner power.
This approach supports economic growth in the commercial and industrial sectors while helping businesses combat rising electricity tariffs and achieve sustainability goals.
SolarAfrica offers a Virtual Power Purchase Agreement for businesses interested in accessing this power. Phase 1 has already secured customers such as Vantage Data Centers, ATTACQ, and Enpower Trading.
As Phases 2 and 3 progress, more businesses will have the opportunity to join the project. SolarAfrica is also finalizing other solar projects across the country, aiming for a generation portfolio of over 3 GW.
“Breaking ground on SunCentral is a collective achievement that underscores the potential of wheeling in South Africa,” McDonald concluded.
“We are poised to harness this potential fully, contributing to a sustainable energy supply for our customers and broader communities.”
Source: SolarQuater
Nigeria: No Explosion At Zungeru Power Plant —Power Minister Clarifies
Nigeria’s Minister for Power, Adebayo Adelabu has said that no explosion occurred at Zungeru Hydropower plant on Monday, July 1,2024.
The minister was reacting to media reports that an explosion occurred at Zungeru power plant.
A statement by Bolaji Tunji, Special Adviser, Strategic Communications and Media Relations, on Monday quoted the minister as saying that the report of an explosion was a figment of the imagination of the purveyors of such information.
According to the Minister, the Zungeru power plant is on the grid and the plant is running at optimum capacity.
“I have spoken with the Managing Director of Mainstream Energy and I can assure you that nothing of such took place in Zungeru.
”The plant is working and it continues to supply to the grid. We have video evidence from Zungeru that nothing like that occurred today and whoever is interested should go there to find out.
”It is rather unfortunate that people will sit down somewhere and cook up this sort of story. It is unpatriotic; such people should desist from creating unnecessary panic.”
The minister assured Nigerians of adequate supply of energy.
“We have seen the worst in the sector, we can only get better.
”We promised incremental supply of power and that is what is happening now and that’s why we have the present improvement and it will continue, “the Minister assured.
Source: https://energynewsafrica.com
Ghana: Independent Power Generators Take On Finance Minister Over US$1Bilion Legacy Debt Restructuring Claim
Independent Power Generators in Ghana have disputed a claim by the Minister for Finance, Dr Amin Adam, that the government had reached an agreement with them to restructure over US$1 billion legacy debt owed to the IPPs.
According to the power generators, there has not been an agreement with them yet as the Minister claimed.
“We have successfully concluded negotiations with several IPPs to restructure over $1 billion in legacy debt.
“This agreement not only provides fiscal relief but also sets the stage for a more stable and reliable electricity supply across Ghana.
“The restructuring of PPAs with IPPs like AKSA, Amandi, CENIT, Cenpower, Karpowership, Early Power and Sunon Asogli will alleviate financial pressures and enhance operational efficiencies.
“This initiative underscores our commitment to resolving longstanding challenges in the energy sector while promoting sustainable development goals,” Dr Mohammed Amin said during a press conference on Monday.
However, in a statement clarifying what had transpired between the Independent Power Generators, Ghana, and the Government of Ghana’s negotiation team, the Chief Executive Officer of the IPPs, Dr Elikplim Kwabla Apetorgbor, said the last time they met was in April and since then no agreement on any terms had been reached.
“The posture and generalization that the Government has secured a debt restructuring agreement with the IPPs is not only misleading but also amounts to public deception,” said Dr Elikplim Apetorgbor.
He urged the Minister for Finance to refrain from making such inaccurate statements and to engage in transparent and honest communications.
“We remain committed to constructive dialogue and finding a mutually beneficial resolution to the ongoing discussions,” he stated.
Source: https://energynewsafrica.com
Ghana: Vivo Energy Ghana Appoints Jean-Michel Arlandis As New Managing Director
Vivo Energy Ghana, the marketer and distributor of Shell branded fuels and lubricants has appointed Jean-Michel Arlandis as its new Managing Director.
He replaced Mr. Kader Maiga whose term has just ended.
According to the Executive Vice President, West Region, Franck Konan-Yahaut, this change underscores Vivo Energy’s commitment to strengthen its international operations and leverage leadership capabilities to drive growth and innovation across its markets.
He thanked Kader Maiga for his remarkable performance and expressed confidence for business continuity in the new leadership.
Jean-Michel has over 30 years’ experience in the energy and retail sector and has a deep knowledge of Africa and emerging markets.
Prior to joining Vivo Energy Ghana, Jean-Michel was the Managing Director of Vivo Energy Malawi where he transformed the business to position the company as one of the top-ranking oil marketing companies in Malawi.
He was a former Head of Internal Audit for Decathlon, a leading global sporting brand, a Partner at both Deloitte and Ernst &Young and the Head of Corporate at Eferton Group, an international investment company in Africa.
In 2017, Jean Michel joined Vivo Energy Mauritius as Head of Finance where he created a formidable Finance team to support business growth.
He thereafter transferred to Vivo Energy Ghana as the Head of Finance replicating the Mauritius success story.
Commenting on his appointment, Jean Michel commended the outgoing Managing Director for his exceptional leadership in building a solid team and a resilient business and pledged his commitment to delivering exceptional value to customers and stakeholders.
“Together we will continue to provide innovative products and exceptional services to our customers, and drive sustainable growth for our stakeholders,” he said.
On people, Jean-Michel expressed his excitement to work with the dedicated team of employees to drive optimal growth and explore new opportunities for the company.
Jean-Michel is ambitious, goal-oriented and diligent. He has a proven track record of driving growth and innovation in the industry.
Source: https://energynewsafrica.com
Nigeria: Report Of Explosion At Zungeru Hydropower Plant Is False, Misleading –Management
Nigerian-based Mainstream Energy Solutions Limited, the operator of the Zungeru Hydropower Plant in the Niger State, has refuted media reports suggesting that there was an explosion incident at the plant on Monday, leading to severe injuries.
Reports by notable online portals in Nigeria suggested that the explosion which occurred in the early hours of Monday, affected some of the installations in the dam.
“Several workers were injured in the incident, with one of the foreign engineers seriously injured and rushed to the Minna General Hospital.
“The engineer, believed to be a Chinese national, was admitted at the emergency ward of the hospital for treatment for burns in the head and hand,” said one of the online portals.
However, a statement issued by the management of the dam described the report as false and mischievous.
“This report is not only false but also highly irresponsible and insensitive, given the pervasive nature of the insecurity issues in Nigeria,” said management in a statement.
The statement said such a misleading report is severe and far-reaching, creating unnecessary panic among their investors, partners, staff and their families.
The statement assured the public that the Zungeru Hydropower Plant is intact and continues to power Nigerian homes and businesses after successfully concluding a 15-day test run which remarkably boosted the power supply to the grid.
Source: https://energynewsafrica.com
Nigeria: Petroleum Downstream Regulator Denies Dangote Refinery’s Dirty Fuel Claims
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has rejected claims by Dangote Industries Limited that some marketers have imported dirty fuel into the West African nation.
“There is no dirty fuel that we would encourage to come into Nigeria. And there is no dirty fuel being brought in,” said Ogbugo Ukoha, Executive Director of Distribution Systems, Storage and Retailing Infrastructure, at the NMDPRA during a press briefing after a meeting with the oil marketers and local refiners at the headquarters of the NMDPRA in Abuja on Tuesday.
His response followed allegations by Devakumar Edwin, Vice President in charge of Oil and Gas at Dangote Industries Limited, that the regulator had granted licences indiscriminately to marketers to import dirty fuel into Nigeria.
According to Ukoha, NMDPRA takes seriously its statutory mandate to ensure that only quality petroleum products are supplied and consumed in Nigeria.
Mr Ukoha explained that the Economic Community of West African States (ECOWAS) heads of state, in 2020, endorsed a declaration adopting the Afri-5 fuel roadmap that requires that certain products have a minimum of 50 parts per million (ppm) litres of sulphur.
“Whilst it encouraged almost an immediate enforcement against imports to comply with that standard, the same treaty deferred enforcement for local refineries up to 31 December 2024.”
He said section 317 of the Petroleum Industry Act (PIA) 2021 also captured and upheld this ECOWAS treaty.
“So as an authority, what have we done since we came into being? We started by engendering compliance. We saw a downward trend up to December 2023. In December and January of this year, we noticed a spike in the sulphur contents of products being imported. And we again now began strong enforcement from 1st February.
“I am happy to tell Nigerians that up until as we speak in June, the average sulphur content in every Automotive Gas Oil (AGO) that is brought into Nigeria is far below, the average is far below what the 50 ppm provision is in the law.
“With the local refineries, remember that declaration deferred it and so they continue to produce at a higher level. But we are not very anxious about that because even the new refineries that are coming in have within their design of the plant desulphurisation units that will see in the nearest future that sulphur going down as low as 10 ppm,” he said.
He assured them that this is a mandate that the authority takes very seriously and that it is determined to guarantee the well-being and health of Nigerians.
“What we have on the average from imports has continued to go down from 200 on the average ppm and now we have it far below the 50 ppm that is in the law, provided under the law.
“And then with the refineries, there is no need to enforce that until the end of this year. But they are already taking steps to see that is also guaranteed,” he said.
Speaking on the outcome of the meeting, Mr Ukoha said the meeting was aimed at promoting collaboration in a manner that ensures and guarantees energy security within the country.
“Our discussions covered considerable issues, very significant and profound. Issues of pricing, and competition have been raised and we will continue to engage with every operator to see that we land at a place that is ultimately beneficial to Nigeria and Nigerians,” he added.
Source: https://energynewsafrica.com