optimizing the exploitation of natural energy resources in nigeria for accelerated socio-economic...

8/8/2019 Optimizing the Exploitation of Natural Energy Resources in Nigeria for Accelerated Socio-Economic Development: Strategies and Opportunities for Investment

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OPTIMIZING THE EXPLOITATION OF NATURALENERGY RESOURCES IN NIGERIA FOR ACCELERATEDSOCIO-ECONOMIC DEVELOPMENT: STRATEGIES AND

OPPORTUNITIES FOR INVESTMENT*

ByByByBy

1

Prof. A.S. Sambo,Prof. A.S. Sambo,Prof. A.S. Sambo,Prof. A.S. Sambo, OON, NPOM, FAS, FNSE, FAEngOON, NPOM, FAS, FNSE, FAEngOON, NPOM, FAS, FNSE, FAEngOON, NPOM, FAS, FNSE, FAEngDirectorDirectorDirectorDirector----General, Energy Commission of Nigeria,General, Energy Commission of Nigeria,General, Energy Commission of Nigeria,General, Energy Commission of Nigeria,

Plot 701C, Central Area, PMB 358, Garki, Abuja, NigeriaPlot 701C, Central Area, PMB 358, Garki, Abuja, NigeriaPlot 701C, Central Area, PMB 358, Garki, Abuja, NigeriaPlot 701C, Central Area, PMB 358, Garki, Abuja, NigeriaEmail:Email:Email:Email:[email protected]@[email protected]@yahoo.com [email protected]@[email protected]@energy.gov.ng

*Paper Presented at 2010 Science and Technology Summit,

Shehu Musa YarAdua Centre, Abuja,9th-10th August, 2010


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CONTENTS

1. Introduction

2. Energy and the Economy

3. Strategies for the Optimum exploitation of EnergyResources in Ni eria

2

4. Investment Opportunities

5. Challenges and the Way Forward

6. Conclusion


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1. INTRODUCTION

It is a well acknowledged fact that energy is essentialfor socio-economic development of all nations.

3

.

Nigeria is endowed with fossil, nuclear and renewable

energy sources.

All fossil fuel resources are depletable.


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1. INTRODUCTION Contd

Renewable energy is replenisheable through naturalprocesses within a relatively short time.

The National Energy Policy (NEP), approved in 2003 by

the FEC, articulates the optimum exploitation of allenergy resources in the country in a sustainablemanner and with the active participation of the privatesector.

4


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Petroleum and electricity are the widely usedcommercial energy end products in Nigeria.

For example, petroleum products accounted for 67.4%of the total primary energy consumed in 2008.

ue -woo , a ra ona ue w e y an ex ens ve yused by the rural and peri- urban dwellers, is hardlyconsidered commercial, largely due to its non-exportstatus.

Although all forms of energy can be transformed intoelectricity, however, there is a huge disparity inelectricity demand and supply in Nigeria.

5


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Though the demand and supply imbalance for fuelpetroleum products is presently low, the supply

strategy is unsustainable because most of the supply isimported due to inadequate local refining capacity inthe country.


Also fuelwood consumption is unsustainable becausesupply is diminishing as a result of desertification.

Large hydropower, has so far contributed about2,000MW only to the total grid-connected electricitygeneration capacity in the country.

Currently solar, wind, small hydro and biomass are yetto contribute significantly to electricity supply.

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However, solar, wind and fuelwood have been traditionallyemployed in:

open-to-sun drying,

grinding of grains and


Biomass, and in particular fuelwood, accounts for over 90% ofthe domestic energy needs of over 70% of the nationspopulation, who dwell in rural areas and peri-urban centres.

While mining of uranium ore has not been started in Nigeria, itsmining in the neighbouring Niger Republic has been going onfor about two decades.

7


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Use of coal since its discovery in Nigeria hasdrastically declined.

The gaps in the nations energy supply matrix arisedue to the non-implementation of the strategies forthe ex loitation of our ener resources as


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articulated in the National Energy Policy and itsMasterplan.

The question is: what is the way forward? Before

answering this question we need to look atenergy/economy interactions and to understand thestrategies for energy exploitation and investment

opportunities in the energy sector.


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2. ENERGY AND ECONOMYContd

b) Renewables and Nuclear

S/N Resource Reserve Utilization Level

1 Large hydro power 11,250MW 1,972MW

2 Small Hydro power 3,500MW 64.2MW3 Solar Energy 3.5kW/m2222/day

7.0kW/m2222/day

-10MW solar PV stand-alone

-No solar thermalelectricity

10

4 Wind 2-4m/s at 10m height -2x2.5KW electricitygenerator

-10MW wind farmcontracted in 2009.

5

Biomass

Fuel wood 11 million hectares of forest andwoodlands

43.4 million tones of fuelwood/yr

Municipal waste - 18.3 million tones in 2005 -

Animal waste - 243 million assorted animals in 2001 -

Energy Crops andagric waste

- 28.2 million hectares of Arable land 8.5% cultivated

6 Nuclear not yet quantified 30kW

Source: REMP (2005)* FM ENV


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. c) Energy Production

S/NS/NS/NS/N TypeTypeTypeType 2003200320032003 2004200420042004 2005200520052005 2006200620062006 2007200720072007 2008200820082008

1.1.1.1. Coal (million tones)Coal (million tones)Coal (million tones)Coal (million tones) 0000 0000 0000 0000 0000 0000

2.2.2.2. Oil (million barrels/ day)Oil (million barrels/ day)Oil (million barrels/ day)Oil (million barrels/ day) 2.32.32.32.3 2.52.52.52.5 2.52.52.52.5 2.22.22.22.2 2.22.22.22.2 1.981.981.981.98


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3.3.3.3. Natural gas (billion mNatural gas (billion mNatural gas (billion mNatural gas (billion m3333))))

(% flared)(% flared)(% flared)(% flared)

52.7552.7552.7552.75

(44.1%)(44.1%)(44.1%)(44.1%)

59.7659.7659.7659.76

(40.4%)(40.4%)(40.4%)(40.4%)

58.3558.3558.3558.35

(39.4%)(39.4%)(39.4%)(39.4%)

61.8061.8061.8061.80

(36.1%)(36.1%)(36.1%)(36.1%)

70.170.170.170.1

(31.1%)(31.1%)(31.1%)(31.1%)

63.8463.8463.8463.84

(26.8%)(26.8%)(26.8%)(26.8%)

4.4.4.4. Electricity GenerationElectricity GenerationElectricity GenerationElectricity Generation

(billion kWh)(billion kWh)(billion kWh)(billion kWh)

22.0322.0322.0322.03 23.923.923.923.9 24.2224.2224.2224.22 23.823.823.823.8 23.323.323.323.3 21.2721.2721.2721.27

Sources: (i) Central Bank of Nigeria (CBN) 2006, 2008)(ii) www.opec.org/library(iii) National Bureau of Statistics (NBS) (2007, 2009)

*Though Nigeria has a resource of 2.7 billion tonnes of coal, production declined from a peakof 0.91 million tonnes in 1959 to no production in 2001, because of petroleum, which wasdiscovered in commercial quantities in 1956


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. d) Energy Consumption

S/NS/NS/NS/N TypeTypeTypeType 2003200320032003 2004200420042004 2005200520052005 2006200620062006 2007200720072007 2008200820082008

1.1.1.1. Coal (%)Coal (%)Coal (%)Coal (%) 0.030.030.030.03 0.030.030.030.03 0.030.030.030.03 0.050.050.050.05 0.050.050.050.05 0.050.050.050.05

2.2.2.2. Hydro (%)Hydro (%)Hydro (%)Hydro (%) 14.214.214.214.2 17.3917.3917.3917.39 12.012.012.012.0 17.0317.0317.0317.03 23.9023.9023.9023.90 19.019.019.019.0


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3.3.3.3. Natural gas (%)Natural gas (%)Natural gas (%)Natural gas (%) 1.91.91.91.9 4.544.544.544.54 5.505.505.505.50 7.527.527.527.52 8.738.738.738.73 15.215.215.215.2

4.4.4.4. Petroleum Products (%)Petroleum Products (%)Petroleum Products (%)Petroleum Products (%) 83.8783.8783.8783.87 78.0478.0478.0478.04 82.5082.5082.5082.50 75.4475.4475.4475.44 67.5367.5367.5367.53 65.765.765.765.7

5.5.5.5. Total (Mtoe)Total (Mtoe)Total (Mtoe)Total (Mtoe) 19.1119.1119.1119.11 16.2716.2716.2716.27 17.717.717.717.7 12.2012.2012.2012.20 11.3911.3911.3911.39 12.0412.0412.0412.04

Source: Central Bank of Nigeria (CBN) (2006, 2008)

Petroleum product is widely consumed energy type and the largest amount of thatConsumed is imported, despite the countrys status as the largest oil producer in Africa


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. e) Energy, Economy and Social Indicators

S/N Indicator 2003 2004 2005 2006 2007 2008

1 Real GDP Growth (%) 9.6 6.6 6.5 6.0 6.2 6.4

2 a) Major Contributors to GDP*

Agriculture (%)

.Crude Petroleum (%)

b) Major Contributor to

41.010

26.53

40.98

25.72

41.19

25.26

41.72

21.85

42.20

19.35

42.07

17.54


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Crude Petroleum (%) 75.0 77.0 72.4 76.7 67.7 71.8

3 Energy Intensity (kgoe/$) (EnergyConsumption/GDP)

0.244 0.186 0.157 0.086 0.063 0.069

4 GDP/Capita (US$) 620.9 673.2 847.4 1,036,2 1,256.6 1,176.1

5 Energy Consumption/Capita(kgoe/capita)

151.3 125.5 132.6 87.1 81.4 80.8

6 Electricity consumption/capita(kWh/capita)

174.6 176.4 181.4 167.6 161.2 142.9

7 Electricity Access (%) 55.2% from40% in 1993

Sources: CBN (2006,2008),NBS (2009); *GDP is at 1990 Constant Prices


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e) Energy economy and social indicators Contd

Social Indicators

S/N Indicator 2003 2004 2005 2006 2007 2008

8. Population growthrate (%)

2.8 2.8 2.8 3.2 3.2 3.2


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9. Adult literacy rate (%) 57.0 62.0 57.0 64.2 64.2 66.9

10. Incidence ofpoverty(%)

- 54.4 54.4 54.0 54.0 54.0

11. Life expectancy (yrs) 54.0 54.0 54.0 54.0 54.0 54

13 Unemploymentrate(%)

- 13.4 11.9 14.6 10.9 12.8

Sources: CBN (2006,2008), NBS(2009)


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Energy Sector Organizations

PRESIDENCY NEC

Federal MinistryOffice of Special

AdvisersFed. Ministry

of EnvironmentFed. Ministry of

Fed. of MinistryMines &

Fed. Ministryof Power

PCP


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.. ,

sand, Uranium)

Energy Com.of Nigeria NNRA NAEC

KEY:

PHCN- Power Holding Company of NigeriaREA - Rural Electricity Agency (REA),NERC- Nigerian Electricity Regulatory CommissionECN - Energy Commission of NigeriaNDPHC - Niger Delta Power Holding CompanyNEC - National Energy CouncilNNRA Nigerian Nuclear Regulatory AuthorityDPR- Department of Petroleum ResourcesNAEC- Nigeria Atomic Energy CommissionPPPRA Petroleum Product Pricing Regulatory AgencyPCP Presidential Committee on Power

PHCN NDPHC NERCDPR PPPRA

6 Energy ResearchCentres 5 Nuclear Research

Centres

NNPC &Subsidiaries

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3. STRATEGIES FOR OPTIMUM EXPLOITATION

OF NATURAL RESOURCES IN NIGERIAInvesting in and

intensifying crude oilexploitation and

productionMaximizing and

expanding the refiningcapacity in the countryto cater fully for local

Taking appropriatemeasures to ensure that

Ni erians are ut into

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consumpt on an exportof petroleum products

Expanding and promotingresearch and development

activities in the country

Providing appropriate fiscalincentives to attract investmentsand ensure reasonable returns.Ensuring adequate geographical

coverage of oil refining andproducts distribution network

key decision-makingpositions in the oilindustry

CRUDEOIL


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3. STRATEGIES FOR OPTIMUM EXPLOITATION

OF NATURAL RESOURCES IN NIGERIA ..Contd

Encouraging localengineering design and

fabrication of

equipment and sparesin Nigeria

Ensuring the availabilityof adequate strategic

Ensuring the use oflocally available

Encouraging localengineering design and

fabrication of

equipment and sparesin Nigeria

Ensuring the availabilityEnsuring the use of

locally available

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reserves of storagecapacity for refined

products for at least 90days of forward

consumption

Improving the living standards ofpeople in oil producing communities

through the provision of socio-economic infrastructure.

Reviewing existing laws

and regulations to createthe enabling environment

for increased privatesector participation in theoil industry, especially the

downstream

mater a s, suc as

bentonite and barytes,for oil exploration

OILCONTD

reserves of storagecapacity for refinedproducts for at least 90days of consumption

Improving the living standards ofpeople in oil producing communities

through the provision of socio-economic infrastructure.

Reviewing existing laws

and regulations to createthe enabling environment

for increased privatesector participation in theoil industry, especially the

downstream

mater a s, suc as

bentonite and barytes,for oil exploration


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3. STRATEGIES FOR OPTIMUM EXPLOITATION OF

NATURAL RESOURCES IN NIGERIA ..ContdEncouraging the oil-

producing companiesto gather and utilizeassociated gas inorder to eliminate

flaring Imposingappropriate and

effectivepenalties to

Providingincentives toencourage

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discourage gasflaring

Encouraging the

establishment of thenecessaryinfrastructure for theeffective gathering,transmission anddistribution of gas

nationwide

Establishing suitableinfrastructure for theexport of natural gas

domesticconsumers to usegas or convert to

gas

NATURALGAS


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3. STRATEGIES FOR OPTIMUM EXPLOITATION OF

NATURAL RESOURCES IN NIGERIA ..Contd

Providing incentives toencourage the introductionand use of LPG appliancesin areas not accessible tonatural gas to encourage

the consumer preferencefor gas Expanding and

promoting gasrelated R & D

Providing necessaryincentives to

indigenous and

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country

Formulating suitable urbanand regional planning

regulations needed for theeffective distribution of

natural gas and itsutilization by domestic and

industrial consumers

Ensuring that the price ofnatural gas is cost

effective, while giving dueattention to the effect on

local consumption

entrepreneurs tofacilitate their

participation in thegas industry

NATURALGAS CONTD


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3. STRATEGIES FOR OPTIMUM EXPLOITATION OFNATURAL RESOURCES IN NIGERIA ..Contd

Undertakingexploration and

exploitation activities

for tar sands depositsin the country Establishing an

appropriateregulatory institutionfor the tar sands sub-Establishing infrastructural

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Putting in place necessaryregulations and guide lines

for the exploitation of tarsands

Intensifying R & D in theproduction of lubricants and otherheavy oil products from tar sands

ac t es or t e acqu s t on o

the technology for harnessingtar sands TAR

SANDS


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Establishing heavy oilupgrading facilitiesnear the tar sands

deposits.

ProvidingDe-emphasizing theimportation of heavy

21

TARSANDSCONTD

incentives tofacilitate investmentin exploration andexploitation of tarsands resources

Providing an appropriatefinancing facility to support

indigenous investments in tarsands development.

crude oil as a way of

encouraging theutilization of heavy

oils from our tarsands.


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Intensifying the drive for coalexploration and production

activities.

Providing

Providingadequate

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COAL

a equate

incentives for thelarge scale

production ofcoal stoves at

affordable prices.

Providing adequate incentives toindigenous and foreignentrepreneurs for the

establishment of coal-basedindustries

indigenous andforeignentrepreneurs to

attractinvestments in

coal exploration

and production.


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Intensifying manpowerdevelopment in theutilization of nuclearenergy for peaceful

purposes. Creating incentivesfor career

Providing adequateresources to theNigerian Nuclear

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nuclear scienceand technology.

Providing adequate resources tothe Nigeria Atomic Energy

Commission (NAEC) to promotethe use of nuclear energy for

peaceful purposes includingnuclear power

Intensifying research anddevelopment efforts in nuclear

science and technology.

egu atory ut or ty

(NNRA) for theenforcement of nuclearsecurity and safety laws

and regulations.

NUCLEAR


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.Fostering co-operationwith the International

Atomic Energy Agency

Undertakingregular publicenlightenmentcampaigns onapplications of

nuclear

25

Establishing a nuclearradiation surveillance

programme for theprotection of the

environment

Identifying accuratelythe availability and theextent of nuclear andother related mineral

resources.

,

nuclear safetyand radiationprotection

NUCLEARCONTD

S G S O O O O O


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.Intensifying researchand development in

solar energytechnology

Providing adequateincentives to

suppliers of solarenergy products

and services

26

Promoting trainingand manpowerdevelopment

Providing adequateincentives to local

manufacturers for theproduction of solar

energy systems

SOLAR

3 STRATEGIES FOR OPTIMUM EXPLOITATION OF


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.

Providing adequate

resources to the ECNto domesticate solarand other renewableenergy technologies

in Ni eria

Setting up and

maintaining acomprehensive

information systemon available solarener resources

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Setting up extensionprogrammes tointroduce solar

technology in to theenergy mix

Providing fiscalincentives for the

installation of solarenergy systems

and technologies

SOLAR Contd..


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Ensuring increasedindigenous participationin the planning, design

and construction ofhydropower stations.

Establishing andmaintaining

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HYDROPOWER

engineeringinfrastructure forthe production of

hydropower plants,equipment and

accessories

Encouraging the private sector, bothindigenous and foreign, in theestablishment and operation of

hydropower plants

agreements tomonitor and regulatethe use of water ininternational riversflowing through the

country.


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Encouraging the privatesector, both indigenous and

foreign, for the localproduction of hydropowerplants and accessories

Promotingand

Ensuring thatrural

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HYDROPOWERCONTD

supporting R& D activitiesfor the local

adaptation ofhydropower

planttechnologies

Initiating and updating dataon the hydro potential of ourrivers and identifying all the

possible locations for dams

electricityboards

incorporatesmall-scalehydropower

plants in theirdevelopment

plans


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Encouragingresearch and

development in wind

energy utilization. Developing skilledmanpower for provision of

basic engineeringinfrastructure for the local

Intensifying work inwind data acquisition

30

pro uc on o componen s

and spare parts of windpower systems

Developing extensionprogrammes to

facilitate the generaluse of wind energy

technologyProviding appropriateincentives to producers,

developers andconsumers of wind

power systems.

Training skilled localcraftsmen to ensure

the operation andmaintenance of windenergy systems.

wind maps.

WIND



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Encouraging R & D in hydrogenenergy related technologies

31

Providingincentives to

popularize the

use ofhydrogen asan energy

source.

Developmentof domesticcapacity in

hydrogenproduction and

applicationtechnologies.

HYDROGEN



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Gathering information on thedevelopment of these emerging

technologies.

32

Encouraging R & Din the technologiesof the exploitationof these emergingenergy resources.

Prioritizing the levelof need, level of

technologicaldevelopment and

viability of

emergingrenewable energy

resources

OTHERRENEWABLES


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i) Electricity:-

Rehabilitating existing power plants in order to derive

optimum power from the installed capacity.

Completing on-going projects designed to enable the PowerHolding Company of Nigeria (PHCN) satisfy the national


eman .

Reinforcing the transmission and distribution networksnecessary to allow consumers to enjoy steady and reliablesupply of electricity

Establishing basic engineering infrastructure for the localmanufacture of electrical equipment, devices and materials.

Encouraging R & D in the generation, transmission anddistribution of electricity.

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Reducing high import duties paid on generation,transmission and distribution materials.

Strengthening the National Electricity Supply TrainingInstitute and zonal training centres where the core of themiddle level manpower and artisans, various cadres of


professional technical officers, operators, linesmen andcable joiners are to be trained and groomed in the art ofoperation and maintenance of equipment for the generation,transmission and distribution of electricity.

Ensuring the participation and involvement of indigenousengineers and applied research groups in the execution ofon-going and future projects right from feasibility studies,with the objective of establishing local capacity in the longterm.

34


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Developing and implementing a programme for theparticipation of the private sector in the various sectors of

the electricity industry.

Developing other potential sites for hydropower, gas andcoal-fired power plants for electricity generation.


Intensifying efforts to generate electricity using nuclear,solar, wind and other renewable resources in order toconserve our fossil fuels and expand our energy security.

Taking effective measures to ensure the security of

electrical installations.

Providing appropriate incentives to entrepreneurs to ensureadequate returns on investment.

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Providing appropriate financing facilities to supportindigenous investments in the electricity industry.

Encoura in off- rid eneration and suppl of power in


remote or isolated areas. Establishing a Rural Electrification Fund to facilitate

electrification in the rural areas.

Establishing a reduced tariff regime for very low income andespecially handicapped electricity consumers and amechanism for funding the subsidy.

36


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j) Energy Efficiency and Conservation

Ensuring strict adherence to the regulations of thepetroleum industry, and relevant agencies on energyresource exploitation and the environment.


promotion of energy conservation and the use of energyefficient methods.

Developing building codes so that buildings are designed totake advantage of climatic conditions in order to reduce

energy consumption.

Ensuring the importation of the more energy- efficientequipment and machinery.

37



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Reducing energy consumption by improving and expandingmass transportation and communication systems all overthe country.

Promoting R & D activities in energy conservation andefficiency including the development and manufacture of

-


.

Encouraging the production and use of improved and more-efficient cooking stoves.

Taking appropriate measures to reduce energy storage,

transmission and distribution losses.

Promoting public awareness about the benefits of improvedenergy efficiency.

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4 INVESTMENT AND BUSINESS


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4. INVESTMENT AND BUSINESS

OPPORTUNITIES The following investment and business opportunities would

ensue from the strategies earlier outlined:

a) Crude oil:-

Crude oil exploration and production

39

ew re n ng capac y

Establishment of outfits for engineering design andfabrication for the oil sub-sector



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4. INVESTMENT AND BUSINESSOPPORTUNITIES Contd

Natural gas:-

Natural gas gathering, processing, transmission and

distribution infrastructure within the country.

Natural gas export infrastructure development.

40

atura gas exp orat on an pro uct on act v t es.

Establishment of new gas fired power plants.

Establishment of new petrochemical plants.



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Eleme Refinery Port-harcourt Off-shore gas Production

41



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Tar Sands:-

Exploration and exploitation of tar sands.

Refining of heavy crude.


42

Coal exploration and exploitation.

Production of smokeless coal briquettes.

Production of coal stoves.

Establishment of coal mines.

Establishment of coal power plants especially with clean coaltechnologies.



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Coal power plant in Mauritius,

2x35MW, coal & bagasse

Coal power plant in Morocco,2x330MW, 2x348MW

(1994-2001 ) 43



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Nuclear:-

Exploration and Mining of uranium ore deposits

Establishment of nuclear power plants.


44Koeberg Nuclear Power Plant, South Africa(2x920MW)



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Hydropower:-

Manufacturing of hydro turbines and accessories

Establishment of new hydro power plants.

.


Penstock bifurcation into the

150 kW power house at WayaDam, Bauchi State

30 kW Ezioha Mgbowo

SHP Station,Enugu State

45



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g) Fuelwood

Establishing of plantations of fast growing tree species for fuelwood supply

Production of efficient fuelwood stoves

S US SSOPPORTUNITIES Contd

Improved Fuelwood Stoves46


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.

OPPORTUNITIES Contd

Solar Water Heater developed by NCERDSolar Water Heater developed by NCERDSolar Water Heater developed by NCERDSolar Water Heater developed by NCERD

Solar Water Heater at UDUTH by SERC, SokotoSolar Water Heater at UDUTH by SERC, SokotoSolar Water Heater at UDUTH by SERC, SokotoSolar Water Heater at UDUTH by SERC, Sokoto

48



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OPPORTUNITIES Contd

49



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OPPORTUNITIES Contd

Solar thermal Plant in Spain (Heliostat) 50 MW Solar thermal Plant in Spain (Parabolic)

Rankine Cycle Array of Parabolic Solar Collectors 50



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Biomass:-

Production of electricity from biomass (biogas, agric waste, municipalwaste of biological origin).

Biofuel production.

Biofuel feedstock production.

Production and marketing of biomass briquettes and stoves.

OPPORTUNITIES Contd

Dome Type Biogas Pilot Plant at Danjawa

Villa e, Wamakko LG, Sokoto State

Biogas Digester Pilot Plant at NCERD,

UNN, Nsukka

Biogas Digesterat Tai Solarin Sec. Sch.

Ikene, Ogun State

51



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Sludge

OPPORTUNITIES Contd

Biogas digester Power House

Generating Plant

A 750 kW Plant for Biogas Electricity

Generation in Germany 52



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Wind:-

Establishment of wind electricity generation plants (wind farms)

Setting up of services businesses in wind technology

OPPORTUNITIES Contd

305 MW Wind Farm at Zanfrana, along the

Red Sea, Egypt

5kW aero generator in Sayya Gidan Gada, Sokoto State

150MW Osorio Wind Farm, Brazil

53



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Energy efficiency and conservation

Manufacturing of CFLs, LEDs and energy efficient electric motors,refrigerators and airconditioners.

Sale of CFLs, LEDs and efficient electric motors, refrigerators andairconditioners.

EE Lamp

OPPORTUNITIES Contd

54

5 CHALLENGES AND WAY FORWARD


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5. CHALLENGES AND WAY FORWARD

a) Challenges:

Unstable Polity

Inconsistency in energy policies implementation

Inadequate authority for the coordination of the energy sector

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b) Way Forward:

Strive toward stable polity

Strengthening of Energy Commission of Nigeria as thecoordinating organ of Government on energy policies andplans.

Enactment of an integrated energy law as an instrument ofcoordination of the energy sector.

6. CONCLUSION


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Nigeria is endowed with many energy resources, whichcan be utilized to enhance the socio-economicdevelopment of the nation.

The strategies that should be employed to optimallyexploit these energy resources for nationaldevelopment are well articulated in the overall National

56

Energy Policy adopted by Government in 2003.

These strategies would create opportunities forinvestments and businesses in the energy sector andthe entire national economy.

To implement the strategies fully, the polity must bestable and appropriate legal backing given to the NEP

and the NEM by enacting an integrated energy law.


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THANK YOU

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optimizing the exploitation of natural energy resources in nigeria for accelerated socio-economic...

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