NAN-HE-21
Gas
By Yunus Yusuf
Lagos, Feb. 21, 2017 (NAN) The Society of Petroleum Engineers (SPE) says full scale utilisation of domestic gas in all sectors would turn around the nation’s economy.
Dr Saka Matemilola, the Nigeria Council Chairman of SPE, made the assertion on Tuesday at a press briefing in Lagos.
Matemilola spoke ahead of the Annual Oloibiri Lecture Series and Energy Forum (OLEF 2017).
The News Agency of Nigeria (NAN) reports that the theme of 2017 lecture billed to hold in Abuja on March 2, is tagged: “Domestic Gas Utilisation in Nigeria: From Producers to Users’’.
Matemilola urged the Federal Government to encourage utilisation of domestic gas by giving incentives to the private sector to take active part in the gas sector and provide requisite infrastructure.
He said that the international consumption of gas had been a success due to the building of the Nigerian Liquefied Natural Gas in Bonny.
The SPE chairman said that this had encouraged the government to plan the building of two more LNG facilities.
“Unfortunately, the progress on domestic gas utilisation has been slow. The reason for this is not the lack of market.
“The challenges range from lack of adequate domestic gas infrastructure and gas pricing mechanism to the extent that some companies consider it cheaper to burn associated gas than selling.
“Most of the electric generating plants built, which are meant to be powered by gas, are unable to get gas for one reason or the other.
“ This is not to say that there is no progress made in recent times, but a lot still needs to be done.
“Opportunities abound for using gas for home consumption, fertilizer production and powering of locomotives,’’ Matemilola said.
He said the 2017 lecture was aimed at providing the industry and regulators a common platform on ways out of this logjam, as it relates to factors militating against domestic gas utilisation. (NAN)
YO/FLP/GOK
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Edited by Folorunso Poroye/Olagoke Olatoye