Minister of State, Petroleum Resources, Dr. Ibe Kachikwu, on Monday, said there was an urgent need to evolve a sound industry blueprint to the energy crisis the country currently faces.
Speaking at the 11th Nigerian Gas Association (NGA) conference and exhibition in Abuja, Kachikwu, who was represented by his Senior Technical Adviser on Upstream and Gas, Mr. Gbite Adeniji, said the country needed to be quickly weaned from over-reliance on crude oil and gas to other sources of income since the value of crude has been predicted to crash as from 2030. He said; “Nigeria is going through a full-blown energy crisis despite abundant gas resources.”
“Secondly, there is a much more constrained international environmental mounting on the new LNG suppliers coming on stream globally. Consequently, Nigeria is competing for investments in East and Southern Africa. Prices of oil are forecast to fall after 2030 and stay low for a long time, after that, with a possibility of absolute fall in the demand for oil and a related impact on the price of gas.”
“There is a domestic challenge of security on supply risks. Based on these headwinds, Nigeria has a challenging future and must therefore broaden its economy beyond oil and gas”, he added.
Source: The Sun