Africa Must Develop Gas Resources To Spur Industrialisation-Dr Ackah
An Energy Economist and Executive Secretary of the Public Utilities Regulatory Commission (PURC), Dr. Ishmael Ackah has underscored the need for African leaders to focus on developing the gas resources of their respective countries to spur the economic transformation of the continent.
With the ongoing global transition from fossil fuel to renewable energy, Dr. Ishmael Ackah noted that gas is a relatively clean source of energy and good complement to renewable energies.
According to him, natural gas can support the economic transformation of the continent through chemical production, fertilizer manufacturing, cement and clean cooking fuels.
Dr. Ackah observed that governments across the continent have identified natural gas as a bridge fuel for power generation and for the petrochemical industry to feed industry, enhance access and modernize agriculture.
Referring to a recent report on global gas discoveries, he said about 40 per cent of new gas discoveries occurred in Africa, an indication that Africa is endowed with gas resources.
In his view, leaving natural gas in the belly of the earth would delay or deny Africa’s chance of industrializing.
Dr. Ishmael said this in a presentation on the topic “Political Economy of the Energy Transition at the three days’ ‘Commonwealth Science Conference For Sub-Sahara Africa Fellows’ Meeting in Accra, capital of Ghana.
Dr. Ackah also underscored the need for African governments to support national oil companies to develop and implement transition readiness strategies.
Referring to a 2021 UNESCO report on research, he said the report noted that Africa’s gross expenditure on research as a proportion of GDP is about an average of 0.5 per cent compared to the world average of 2.2 per cent.
“No known country in Africa is spending one per cent of its GDP on research and development,” he quoted the report as saying.
Dr. Ackah, consequently, called on African leaders to strengthen research institutions to undertake Research & Development along the renewable energy value chain.
Source: https://energynewsafrica.com
Nigeria Takes Steps To Resolve Power Crisis
Nigeria says it has made progress in resolving the country’s debilitating power crisis.
The West African nation has been facing a serious power crisis.
The country’s national electricity grid has collapsed a couple of times this year, causing a nationwide blackout and that, coupled with fuel shortages, has made Nigerians unhappy.
Speaking at a press briefing on Saturday in Abuja, the Minister for Power, Abubakar Aliyu enumerated several steps being taken by the Buhari administration to address the power crisis.
These efforts, according to him, include the restoration of gas pipelines destroyed by vandals and optimising the capacity of power plants.
The Minister added that the Okapi power plant has resumed power generation and is currently contributing an average of 300MW.
According to him, the Nigerian Bulk Electricity Trading Plc has been directed to enter into fast-track negotiation with NAOC on an interim energy sales agreement to bring the new Okpai Il power plant on the grid, thereby, contributing an additional 4OOMW of generation capacity.
“The “pigging” of the gas pipeline supplying gas to the Odukpani power plant is scheduled for completion on March 21st 2022 thus ramping up generation by about 400MW.
“To optimise the capacity utilisation of the power plants owned by the Niger Delta Power Holding Company Ltd (NDPHC), the Nigerian Electricity Regulatory Commission has approved a special gas pricing for emergency contracting of gas from the Nigerian Gas Marketing Company Ltd.
“We expect an on-grid improvement of about 800M YV generation capacity from the NDPHC plants.
“In the medium-term, we have agreed with NGPIC (…a subsidiary of NNPC) on the framework for the overhaul of the Okolona gas processing plant, thereby, restoring the full capacity of the 650MW Afam VI combined cycle power plant.
“While the recent spate of system collapse is regrettable, it was a direct consequence of a snap on a 330kV transmission line.
“The mitigation measures for avoiding such incidence of blackouts are being implemented through several interventions including the Presidential Power Initiative.”
The Minister reassured Nigerians that all relevant agencies involved in the restoration of normality in power supply have been charged to act in the context of the emergency state of the industry.
He added that the Federal Ministry of Power would continue to periodically update the nation on the progress made in addressing power challenges in the country.
Source: https://energynewsafrica.com
Ghana: Tullow Completes Takeover Of Oxy’s Interest In Jubilee And TEN Oil Fields From Kosmos Energy
Africa focused independent oil and gas firm, Tullow Oil has announced the complete takeover of Occidental Petroleum’s (Oxy) interests in the Jubilee and TEN fields in Ghana to Kosmos Energy for $118 million.
According to Tullow Oil, the cash consideration paid on completion was $118 million reflecting closing adjustments and was funded from cash on the balance sheet.
This transaction takes Tullow’s equity interests to 38.9% in the Jubilee field and to 54.8% in the TEN fields and adds c.5 kbopd of unhedged daily production.
This equates to c.4 kbopd on an annualised basis and increases 2022 Group production guidance to 59-65 kbopd (30-32 kbopd at Jubilee, 13-14 kbopd at TEN and non-op portfolio unchanged at 16-19 kbopd).
This additional equity increases Tullow’s 2022 Group capital expenditure forecast by $30 million to $380 million and is expected to generate c.$300 million incremental free cash flow at $75/bbl between 2022 and 2026.
As of 31 December 2021, the transaction increases Tullow’s net 2P reserves by c.21 mmboe (9%) and has an estimated post-tax NPV 10 valuation of $355 million at $75/bbl.
Commenting on the transaction, Chief Executive Officer of Tullow Oil Plc Mr. Rahul Dhir, stated “I am delighted that this important transaction has been completed and I am grateful for the continued support of the Government of Ghana and in particular, the honourable minister of Energy whose leadership has been paramount In getting to completion. This transaction underscores our confidence in the assets and meets our objectives of value accretion and deleveraging.”
Source: https://energynewsafrica.com
IEA Releases Plan To Cut Oil Use By 2.7 Million Bpd
The International Energy Agency has released a 10-point plan aimed at reducing global oil consumption by as much as 2.7 million barrels daily.
The focus of the measure that the IEA has put forward is on transportation.
Measures include encouraging carpooling on inter-urban journeys and the use of alternative modes of transportation such as trains and bicycles.
Boosting fuel efficiency by changing driver habits in the freight transport industry is also among the ideas that the IEA is suggesting in a bid to cut oil consumption. So is the idea of reducing speed limits on highways to reduce fuel consumption.
According to the agency, some 290,000 bpd in oil demand could be eliminated by reducing speed limits on highways. Another half a million barrels daily of oil could be saved if more people adopt a hybrid work model, staying at home for up to three days a week.
Yet another 380,000 bpd of oil consumption could be saved, according to the IEA, if large cities ban cars for one day a week. This has been done before, the agency noted in its report, and it has had the added benefit of stimulating the use of alternative, non-polluting, and non-oil-consuming means of transportation such as bicycles and walking.
Lowering public transport prices is also among the measures proposed by the IEA, which noted some cities have done this and have seen increased use of public transport at the expense of private car transport. Encouraging people to walk more instead of driving is also among the ideas of reducing oil consumption. As a result, the IEA says, some 330,000 bpd in oil could be saved.
Increased adoption of EVs is also on the list, with the IEA noting that currently, there are supply chain problems that are affecting the uptake of electric vehicles. To address this, the IEA has proposed “facilitating logistical coordination to shore up flows of materials and components.”
“As a result of Russia’s appalling aggression against Ukraine, the world may well be facing its biggest oil supply shock in decades, with huge implications for our economies and societies,” said IEA Executive Director Fatih Birol.
“IEA Member Countries have already stepped in to support the global economy with an initial release of millions of barrels of emergency oil stocks, but we can also take action on demand to avoid the risk of a crippling oil crunch,” Dr Birol said. “Our 10-Point Plan shows this can be done through measures that have already been tested and proven in multiple countries.”
“France and all European countries must get out of their dependence on fossil fuels, in particular on Russian fossil fuels as soon as possible,” Minister Pompili said.
“It is an absolute necessity, for the climate but also for our energy sovereignty. The plan proposed today by the IEA offers some interesting ideas, some of which are in line with our own ideas to reduce our dependence on oil.”
Ghana Has Robust Regulatory System To Protect Your Investment-NPA CEO To Oil InvestorsSource: Oilprice.com
India Adds 1.2 GW Open Access Solar Capacity In 2021
India’s solar open access installations witnessed a sharp growth during 2021 with the country adding 1.2 gigawatts (GW) of open access solar capacity during the year, according to Mercom India.
The country had installed 383 megawatt (MW) of open access solar capacity in 2020, the research firm said.
Solar power through Open Access is an arrangement where a power producer establishes a solar power plant and signs a medium/long-term power purchase with a consumer.
According to the report, Uttar Pradesh topped in installation of open access solar capacities in 2021, followed by Tamil Nadu and Maharashtra.
The top five states made up for 80 per cent of the total installations during the year.
“Mitigating carbon footprint, reducing the cost of power, renewable power purchase obligations, and RE100 initiatives, the list of reasons for commercial and industrial (C&I) consumers to go green is piling up.
“The demand for open access solar is growing, it is reflected in the robust pipeline of projects,” said Priya Sanjay, Managing Director at Mercom India.
A subsidiary of US-based Mercom Capital Group, Mercom Communications India is a clean energy research and communications firm with expertise in cleantech markets.
Eni Pledges More Gas For Europe To Help Cut Reliance On Russia
Italian energy group Eni said last Friday it could is could provide extra gas to Europe to help reduce reliance on Russian supplies after Moscow’s invasion of Ukraine.
Eni made the pledge as it set out its strategy to 2025, promising investors better returns and vowing to pick up the pace on its climate ambition to be carbon neutral by 2050.
“We are leveraging our global upstream business and partnerships with producing countries to find alternative supply opportunities for Europe,” Chief Executive Claudio Descalzi told a conference call.
The European Union, which relies on Russia for 40% of its gas and 27% of its oil, has proposed plans to replace nearly two-thirds of Russian gas imports this year and aims to phase out dependence on all Russian fossil fuels by 2027.
Eni could provide more than 14 trillion cubic feet (TCF) of additional gas resources in the short to medium term, it said, including from Algeria, which has a pipeline to Italy, and Egypt, where Eni is also active.
Eni’s current gas reserves and resources are 50 TCF.
Eni could supply 15 million tonnes per year of liquefied natural gas (LNG) by 2025, based on boosting production from Congo, Angola, Egypt, Indonesia, Nigeria and Mozambique.
Eni is Africa’s biggest foreign oil and gas producer, has expanded rapidly in the Gulf and is looking to grow in Asia. “We are increasing our gas production and will send to Italy and southern Europe all the gas we have found,” Descalzi said.
It said it would cut absolute emissions by 35% by 2030, from 2018 levels, and by 80% by 2040, giving more aggressive targets than previously announced.
Plans to list Plenitude, Eni’s renewable energy and retail business, were going ahead despite the Ukraine crisis and a registration document for the process has been filed, it said.
The company plans to create a sustainable mobility business combining biofuels and fuel stations, Descalzi said, adding that it was too soon to say if that could be listed.
Eni is spinning off assets to help fund its renewables and low-carbon business.
It expects to raise 3 billion euros ($3.3 billion) from such portfolio management moves to 2025.
The company will launch a 1.1 billion euro share buyback, if shareholders back the move in May, with room for more if Brent oil stays above $90 a barrel. Brent was $107 on Friday.
Nigeria Takes The Lead In Exploration, Production And Regulation In 2022Source:economictimes.indiatimes.com
Liberians Cry Over Rising Fuel Prices, But Government Says Increment Is Motivated By External Factors
Liberians have been lamenting over the rising cost of petrol and diesel at the pumps.
A gallon of gasoline is now $5.66 while diesel is sold at $6.00
According to Liberians, the current fuel prices have brought untold hardships on them and want the government to do something about it immediately.
However, responding to concerns being expressed by the citizens, the Government of Liberia indicated that the recent decision to set a new price structure for petroleum products in the country was not arbitrary, but one motivated by external factors.
Liberia’s Minister for Information, Ledgerhood J. Rennie, at a press briefing, said the government acknowledges that the increment is “hard to bite down,” but it is necessary to ensure the constant availability of the products on the market and the stability of the price.
“We are hoping that in the next month or so, we can revisit the decision and there can be a decrease,” Minister Rennie said.
He explained that the government is aware that the cost of petroleum could hurt the general price level, which is why it is planning to revisit the new price structure in the “soonest possible time.”
He frowned on profiteering and hoarding of the products by some unscrupulous people, warning that anyone caught in the acts would be dealt with by the full weight of the law.
The Information Minister said the relevant government agencies are working to announce fixed fares for transportation to various locations within 48 hours to avoid hiking the cost.
He warned commercial drivers against overcharging passengers.
The Deputy Managing Director of the Liberian Petroleum Refining Company, Adrian Hoff, who was at the press briefing, also said importers of petroleum products in the country operate under a Collateral Management Agreement (CMA) that allows them to order products in the country without initially paying cash to the major international suppliers.
But he said, once in the country, for products to be lifted from the LPRC storage facility each day and taken to the market, the Liberian importers would have to pay per consignment at the prevailing global rate–thus their clamour for a price increment.
Mr Hoff said the Weah-administration has made tough decisions in the past to avoid increasing the cost of petroleum products by cutting levies.
“We have met with the President and his biggest concern has been ‘don’t increase the price’.“
Both men said the prices of gasoline and diesel in Liberia is lower than in many countries in the subregion.
They urged Liberians to make some adjustments to conform to the current global reality as the government continues discussions with importers so that the brunt of the problem is not felt by Liberians.
Source: https://energynewsafrica.com
Ghana: NEDCo Staff Suspend Withdrawal Of Field Services As PURC Steps In
Workers of the Northern Electricity Distribution Company (NEDCo) in the Republic of Ghana have suspended the withdrawal of their field services in Tamale and its environs for two weeks pending the resolutions of their grievances.
The suspension of the field services follows the intervention of the Executive Secretary of Public Utilities Regulatory Commission (PURC), Dr Ishmael Ackah, and the Northern Regional Minister Shani Alhassan Saibu.
In a statement issued by Maxwell Kotoka, Corporate Communication Manager of NEDCo to announce the decision of the workers said the workers are demanding the arrest and prosecution of the perpetrators of the machete attacks on the NEDCo team that was on official duty at Korblimahago on Tuesday, March 8, 2022.
The staff also demanded the provision of military cover for their field operations, especially those that hinge on revenue collection and protection namely, disconnection, monitoring for power theft and Installation of Smart Pre-Payment meters.
The staff further demanded the deepening of ongoing community engagement aimed at community ownership of the security of NEDCo staff while they are on the field embarking on their legitimate duties.
The statement said while Management wished to assure the general public that it would not rest on its oars in getting the suspension converted to permanent closure, “we wish to court public support and protection of NEDCo staff while they are about their legitimate field duties.
“The cardinal part of NEDCo staff field operations is to prevent or arrest power theft and installation of Smart Pre-Payment meters which has proven to be less susceptible to manipulation and power theft.
“We need your unflinching support to continue to serve you dutifully and in harmony,” NEDCo Management urged Tamale residents.
The statement commended the efforts of all those who contributed to the resolution of the impasse.
Source: https://energynewsafrica.com
Nigeria: Manufacturers Lament Over Rising Fuel Prices, Power Outages; Seek Buhari’s Intervention
Nigerian manufacturers are lamenting over the rising cost of fuel in the West African nation with a call on the Federal Government to cushion them as a litre of diesel is now sold at N720 (an equivalent of $1.73).
According to the Manufacturers Association, it is getting extremely difficult to produce to serve the country in the face of fuel hikes coupled with load shedding.
“There is no power supply. We are having 30 per cent of what it used to be, whereas the disposable income of people is not increasing and the cost of products is going up.
“Even in my factory now, we are only running one shift instead of three shifts of eight hours each. Other businesses are also running limited hours on diesel as they cannot afford to use generators all day,” Mr Lanre Popoola, Chairman of the Manufacturers Association of Nigeria, Oyo, Osun, Ekiti and Ondo branches said in an interview with the media.
According to him, if the situation persisted, it could lead to bigger issues that would further affect the nation’s economy and increase the hardship of Nigerians.
He told the press that “The worst part is that diesel suppliers cannot agree for organisations to make a flexible payment plan such as instalments, while they deliver the products in trust.
“They cannot, again, supply you with diesel and allow you to pay in two weeks. It is either you do cash and carry, or pay ahead because they too cannot predict the cost of the product.
“And I don’t blame them. Imagine you bought diesel last week at N630 per litre and the next day it is sold for N730 per litre. How will you replace your stock,” he said.
Popoola stated that the way forward was for the government to assist manufacturers by giving some rebate on diesel, adding that, that was the only lifeline.
“Aside from manufacturers, for transporters that are bringing food from the North or taking products to the East or Lagos, now the cost of their logistics would have doubled by 100 per cent if not 200 per cent.
“Maybe the government can come in and do a kind of palliative for us. It is either we have light 24 hours per week to run our factories or do a palliative on diesel.
“But unfortunately, we don’t produce diesel in this country. If the refineries are working, it is a different ball game: the country would have had it better now if the refineries are working.
“So the more the international prices of petroleum products go up, the higher the prices of what we are going to get from them,” Popoola explained.
Source: https://energynewsafrica.com
Ghana: MiDA Installs 393 Transformers In 53 Towns, Communities To Improve Power Quality
The Millennium Development Authority (MiDA) has installed 393 new transformers of various capacities and replaced over 88 over-aged ones in 53 towns and communities in six operational districts of the Electricity Company of Ghana (ECG).
The six districts are Achimota, Dansoman, Akuapim-Mampong, Legon, Kwabenya and Kaneshie Districts.
Since the installation of the new transformers, power supply has improved significantly, leading to reduction in outages.
In a statement issued by MiDA, it said almost 600,000 residents, comprising businesses and homes in the six districts are benefiting from the project referred to as the Low Voltage (LV) Bifurcation & Network Improvement Project.
The project includes planting over 17,000 wooden electric poles across the six districts, upgrading about 992km of undersized conductors or lines, and installing 75km of new low voltage lines.
Prior to the inception of the project, MiDA said residents in the aforementioned districts experienced low and fluctuating voltages which manifested in dim lights and caused damage to electrical appliances.
They also suffered frequent power outages caused by overloading in transformers and conductors that served these communities.
According to Roland Osei Nyarko, the LV Bifurcation Project Manager at MiDA, “Some of the residents observed that their lights are now brighter and more stable, and that they are now able to use all their electrical appliances anytime of the day.”
This, he said, implied that they are noticing the improvements and impact of the project.
He said that the project is expected to eventually contribute to improved incomes for the beneficiary residents, enhance job opportunities and the wellbeing of the people, and contribute towards Ghana’s efforts at reducing poverty and increasing economic growth.
The LV Bifurcation & Network Improvement Project aims to improve the quality of power supply by transferring load from existing overloaded electricity conductors and transformers to newly installed ones.
Construction activities in the Achimota, Dansoman, Kaneshie, Akuapem-Mampong and Kwabenya Districts have been fully-completed.
MiDA said activities in the Legon District, which are 85 per cent complete, are scheduled to be fully-completed in May 2022.
The contractors undertaking the project are Messrs. Power Factor Ltd, Best & Crompton Engineering Ghana Ltd, and MBH Power Ltd.
Source: https://energynewsafrica.com
Nigeria: Let’s Fix Power Sector Devoid Of Blame Games-APGC Tells Nigerian Gov’t
Power Generation Companies (GenCos) in the Republic of Nigeria have called on government agencies in the power sector to desist from engaging in blame game and put their heads together with the private sector to resolve the myriads of challenges in the sector to ensure reliable and quality power supply to the citizens.
The West African nation has been experiencing a power crisis for several years.
The situation has been compounded by the persistent collapse of the transmission grid operated by the Transmission Company of Nigeria (TCN).
Last week, TCN sought to absorb itself of blame and rather blamed the power sector challenges in the country on low generation from the power generation companies.
In a sharp rebuttal, the Association of Power Generation Companies, at a press conference addressed by its Executive Secretary, Dr Joy Ogaji, urged TCN to stop the blame game else the power sector would continue to suffer.
“Gencos have been under the excruciating impact of several factors but have in an uncommon show of patriotism and resilience continued to generate power to meet the genuine yearnings of Nigerians as well as support to the stated objective of the Federal Government to make sustainable electricity available to Nigerians,” she said.
According to the group, lack of liquidity caused by the huge sums owned Gencos by the Nigerian Bulk Electricity Trading Pic (NBET) has more than ever before continued to frustrate the Gencos and kept them incapable of meeting their obligations which are extremely necessary to keep their power plant running and make capacities available while observing required Health Safely and Environment (HSF) Standards.
Again, APGC pointed out that 80 per cent of most of the electricity generation in Nigeria comes from gas-fired turbines, and natural gas is the feedback or fuel of these unending gas-related challenges which inhibit optimal power generation in the country.
To address this challenge, the group pointed out the unenforceable state of the contracts in the NESI and the broken cycle of payment assurance which has made the enforcement of parties to the industry agreement impossible.
They furthermore stressed that since 2013, when the power sector was partially privatised to date, weak and inadequate infrastructure (transmission and distribution) have continued to render inconsequential, a significant portion of the generation capacities.
They said that while Gencos are committed to increasing generation capacities to 13,000MW across the country, no corresponding investment and improvement was made at the transmission and distribution end.
Members of the Nigerian power generation companies pointed out that the restriction or redefinition of available generation capacity, a major index of the MYTO to only what the system can take or pay, is a major aberration.
“This is because the Gencos worked with available capacity as the basis for determination capacity payments,” the group said.
The group said that the government must stop playing to the gallery and rather focus on addressing the real issues of NESI, asking if the reported low generation of the past few weeks, which in their view is only symptomatic of more fundamental issues of the power sector, is focused on and addressed from a narrow perspective of blaming the Gencos for same, then, the solution cannot be found.
APGC concluded by stressing that they have consistently demonstrated their commitment to Nigeria, Nigerians and the power sector and “We have continued to make huge sacrifices and bear inestimable losses in our bid to see to a viral and thriving power sector in Nigeria”.
Source: https://energynewsafrica.com
Ghana: Veep Charges NPA To Implement Measures To Rake In More Revenue
The Vice President of Ghana, Dr. Mahamudu Bawumia, has charged the governing Board of the National Petroleum Authority (NPA) to support management to implement measures aimed at increasing revenue for the state.
The NPA was established by Act 2005, Act 691 to monitor and regulate petroleum prices by the prescribed pricing formula, grant licences to service providers and marketing companies, protect consumers’ interests and maintain the highest standards of petroleum products offered to them.
In a post on NPA’s Facebook and sighted by energynewsafrica.com, it said the Governing Board of the National Petroleum Authority, led by the Chairman, Mr Joe Addo-Yobo, called on the Vice President Dr. Mahamudu Bawumia at the Jubilee House on Tuesday, to brief the latter on matters such as steps taken to sanitise the downstream petroleum industry including digitisation in some aspects of the operations of the Authority and applying disciplinary sanctions to Oil Marketing Companies involved in illegalities among others.
“The Vice President commended the Board for their efforts and charged them to continue to implement measures aimed at increasing revenue for the state,” it said.
The NPA recently announced the creation of offices of deputy CEOs and appointed Mr. Perry Okudzeto and Mrs Linda Asante as the first deputy CEOs since the establishment of the Authority.
Source: https://energynewsafrica.com
Source: https://energynewsafrica.com
PURC Boss Presents Paper At The 2022 Commonwealth Science Conference In Accra
The Executive Secretary of the Public Utilities Regulatory Commission (PURC), Dr. Ishmael Ackah, on Monday, 14th March 2022, presented a paper at a three-day Commonwealth Science Conference, Sub-Sahara Africa Follow-on Meeting held in Accra, capital of Ghana.
The 3-day conference, which took place from 14th-16 of March 2022, was held at the Academy of Arts and Sciences at which programme , the Executive Secretary of the Commission presented a paper on the ‘Political Economy of the Energy Transition’.
The Energy Economist, in his presentation, hinted that Africa’s energy apart from South Africa, the continent of Africa’s energy mix is dominated by hydro technology.
He also noted that economies such as Nigeria and Angola are structured around the oil and gas industry , with oil contributing to about 70 per cent of government revenues in Angola.
He emphasised that petroleum revenues have been used for investments, social interventions and debt repayment.
For instance, oil revenues in Ghana contribute substantially to the Free Senior High School Initiative which was rolled by the Government as part of the human capital development strategy.
He pointed out that, approximately 730million people in Sub-Saharan Africa rely on the traditional use of solid biomass, mainly fuelwood, charcoal and dung for cooking, typically with inefficient stoves or simple three-stone fires, in poorly ventilated spaced.
He was quick to add that transition implies diversified and competitively priced energy sources which will address the continent’s need for industrialisation and access in an environmentally sustainable manner.
In his view, there should be research, capital injection, resource base and good governance to achieve this.
Referring to 2021 UNESCO report, he indicated that Africa’s gross expenditure on research as a proportion of GDP averages 0.5 per cent compared to the world average of 2.2 per cent. There is no known country in Africa that is spending one per cent of its GDP on research.
Dr. Ackah said in his presentation that while some Sub-Saharan African countries lack reliable electricity infrastructure, there is a potential opportunity to develop this infrastructure in a more sustainable way other than countries have done in the past through a move towards national electrification.
He said countries that can provide, carbon free generation could benefit from abundant solar and wind resources.
He noted that these can be financed investing in cost-reducing technologies, adopting a pay-as-you-go arrangement to help spread upfront cost of renewable energy technologies, structuring payments for new renewable energy technologies so that they are similar to costs of the energy sources they are replacing.
Additionally, collaborative investments, with the active engagement of local investments as well as alternative financing sources such as bonds, enhanced refinancing opportunities could all be considered.
In the area of governance, Dr Ackah stated that setting in place right regulatory policies and institutional frameworks can lead to unbundling electricity service provision and the opening up of competition in the sector.
Setting multi-year tariffs with adjustment clauses, clear renewable energy targets, which align with climate and sustainability targets, together with a clear and transparent procurement processes will all aid in providing a transparent and accountable governance process.
The provision of information through public education , dissemination of research findings and strengthening of technical capacity to build domestic innovative capabilities, including skills set for installing, maintaining and repairing renewable energy technologies, and engaging with local communities including women, in training and maintenance of these systems will go a long way in transitioning energy divide.
He intimated that the natural gas is a good transbridger fuel. In his estimation gas is a clean source of energy and a good complement to renewables.
Natural gas can support the economic transformation of the continent through chemical production, fertilizer manufacturing, cement, and clean cooking fuels. Thus, leaving natural gas on the ground will just delay or deny Africa’s chance of industrialising.
Dr. Ackah concluded by saying tat Africa needs to be part of the value chain and not a mere consumer of technologies.
Source: https://energynewsafrica.com
He also noted that economies such as Nigeria and Angola are structured around the oil and gas industry , with oil contributing to about 70 per cent of government revenues in Angola.
He emphasised that petroleum revenues have been used for investments, social interventions and debt repayment.
For instance, oil revenues in Ghana contribute substantially to the Free Senior High School Initiative which was rolled by the Government as part of the human capital development strategy.
He pointed out that, approximately 730million people in Sub-Saharan Africa rely on the traditional use of solid biomass, mainly fuelwood, charcoal and dung for cooking, typically with inefficient stoves or simple three-stone fires, in poorly ventilated spaced.
He was quick to add that transition implies diversified and competitively priced energy sources which will address the continent’s need for industrialisation and access in an environmentally sustainable manner.
In his view, there should be research, capital injection, resource base and good governance to achieve this.
Referring to 2021 UNESCO report, he indicated that Africa’s gross expenditure on research as a proportion of GDP averages 0.5 per cent compared to the world average of 2.2 per cent. There is no known country in Africa that is spending one per cent of its GDP on research.
Dr. Ackah said in his presentation that while some Sub-Saharan African countries lack reliable electricity infrastructure, there is a potential opportunity to develop this infrastructure in a more sustainable way other than countries have done in the past through a move towards national electrification.
He said countries that can provide, carbon free generation could benefit from abundant solar and wind resources.
He noted that these can be financed investing in cost-reducing technologies, adopting a pay-as-you-go arrangement to help spread upfront cost of renewable energy technologies, structuring payments for new renewable energy technologies so that they are similar to costs of the energy sources they are replacing.
Additionally, collaborative investments, with the active engagement of local investments as well as alternative financing sources such as bonds, enhanced refinancing opportunities could all be considered.
In the area of governance, Dr Ackah stated that setting in place right regulatory policies and institutional frameworks can lead to unbundling electricity service provision and the opening up of competition in the sector.
Setting multi-year tariffs with adjustment clauses, clear renewable energy targets, which align with climate and sustainability targets, together with a clear and transparent procurement processes will all aid in providing a transparent and accountable governance process.
The provision of information through public education , dissemination of research findings and strengthening of technical capacity to build domestic innovative capabilities, including skills set for installing, maintaining and repairing renewable energy technologies, and engaging with local communities including women, in training and maintenance of these systems will go a long way in transitioning energy divide.
He intimated that the natural gas is a good transbridger fuel. In his estimation gas is a clean source of energy and a good complement to renewables.
Natural gas can support the economic transformation of the continent through chemical production, fertilizer manufacturing, cement, and clean cooking fuels. Thus, leaving natural gas on the ground will just delay or deny Africa’s chance of industrialising.
Dr. Ackah concluded by saying tat Africa needs to be part of the value chain and not a mere consumer of technologies.
Source: https://energynewsafrica.com
NGOs Threaten To Sue TotalEnergies If It Doesn’t Exit Russia
Greenpeace France and the local chapter of Friends of the Earth have threatened TotalEnergies with a lawsuit if the supermajor does not pull out from Russia, Reuters has reported, citing a letter by the two non-governmental organizations to TotalEnergies’ chief executive.
The organizations said in their letter that under French criminal law, corporate executives could be held responsible for their companies’ involvement with countries participating in armed conflict, which, according to the two, can constitute complicity in war crimes and crimes against humanity.
“We hereby formally request that you … put an end without delay to your activities connected with the Russian oil and gas market in order to cease any business relationships that may contribute to the commission of serious violations of human rights,” Greenpeace France and Friends of the Earth France wrote.
Two weeks ago, the French supermajor said it would suspend any new investment in Russian energy, but would not exit the country.
TotalEnergies has a 19.4-percent stake in Novatek, the country’s largest private producer of liquefied natural gas. As of 2020, its Russian assets accounted for 24 percent of TotalEnergies’ proven reserves and 17 percent of its oil and gas production, according to Reuters.
“TotalEnergies supports the scope and strength of the sanctions put in place by Europe and will implement them regardless of the consequences (currently being assessed) on its activities in Russia,” the company said in late February.
Before Greenpeace and Friends of the Earth began to exert pressure, an activist shareholder did the same. Clearway Capital last week called on the French company to pull out of Russia, threatening it with a shareholder vote if it refuses to do so.
“We believe there to be a groundswell of support among the company’s shareholder base for decisive action from TotalEnergies,” the founder of Clearway Capital, Gianluca Ferrari, told Reuters.
Source: Oilprice.com