Oil revenue may be unable to fund Nigeria’s budget in 20yrs – Kachikwu

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The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, has warned that Nigeria may not be able to fund the expenditure proposals in its national budget majorly with monies earned from the sale of its crude oil in about 20 years from now, THISDAY reports.

Kachikwu, said in an early Thursday morning conversation he had with journalists before the 173rd meeting of the Organisation of Petroleum Exporting Countries (OPEC) conference commenced in Vienna, the capital of Austria, that emerging developments in the global oil market indicated that member countries of OPEC who still rely on just the sale of crude oil in the next two years to support their economies would find it very difficult to cope.

He noted that beyond the threats that cyclical movements in oil prices portend to economies of oil producing countries in the OPEC group, the race at which technology develops alternative energy sources and their efficiencies, was also alarming and thus represented a credible threat to oil producers. In this regard, he said price alone was not a challenge to oil producers like Nigeria but also technological advancements in energy sources which he said Nigeria has failed to appreciate and move alongside.