Ifeanyi Onuba
Last Wednesday, President
The commissioning of the projects is in line with the president's commitment to significantly leverage gas to grow the Nigerian economy.
The three projects commissioned by the president were the AHL Gas Processing Plant 2 (GPP - 2) - 200mmscf/d which is an expansion to the Kwale Gas Processing Plant (GPP - 1); the AHL Gas Plant, which is being developed by
The event was attended by the Governor of
Others in attendance are the Managing Director of AHL,
The processed natural gas from AHL will be delivered to OB3 in Rivers State, providing cleaner and more conveniently usable fuels to facilitate social, economic, and technological development.
The AHL project is much more than the economic gains it has in store. It guarantees sustainable development, achieved through Public-Private partnerships, and the monetization of the entire gas business value chain across midstream and downstream segments.
The benefits of the NNPC / SEEPCO AHL project are manifold, and it is a game changer in the energy sector as it will guarantee the household uptake of LPG.
It will also ensure lean gas for power generation, to gas and NGLs for the petrochemical industry, reduced gas flaring leading to improved agriculture and environment, increased tax revenues contributing to state development, and improved quality of life through domestic LPG supply.
The president, while speaking during the commissioning, expressed surprise about the speed, efficiency, and technical competence demonstrated by the NNPCL and its partners in the execution of the project.
Tinubu who described the projects as vital for his administration's "Renewed Hope Agenda" specifically commended the
He said: "I congratulate NNPC in particular because, when we resumed 11 months ago, I asked of these projects. I made my priority and the administration's priority clear on gas for prosperity, and they said this might take two years.
"These three projects, upon later review, they didn't make further promises but said they would surprise Nigerians. Today is a great day for your achievement, demonstrating teamship, commitment, and dedication to duty.
"I congratulate all of you, the entire team, for what you have done for the country to achieve these projects in less than two years. Eleven months fulfillment of promise. I thank all of you."
He said the delivery of the projects was accelerated from the inception of the administration in keeping with the overall objective of deepening domestic gas supply as a critical enabler for economic prosperity.
The projects will increase gas supply to the domestic market by approximately 500mmscf/d, creating a better investment climate and promoting balanced economic growth cumulatively.
Tinubu said the inauguration event is highly significant to the country as it demonstrates the administration's concerted efforts to accelerate the development of critical gas infrastructures geared at significantly enhancing the supply of energy to boost industrial growth and create employment opportunities.
Also, he said the projects are fully in line with the Decade of Gas initiative, and the federal government's quest to grow value from the nation's abundant gas assets while concurrently eliminating gas flaring and accelerating industrialization.
He commended the strategic vision of the
The president said: "It is pleasing that approximately 500MMscf of gas in aggregate would be supplied to the domestic market from these two Gas Processing Plants, which represents over 25 per cent incremental growth in gas supply.
"In practical terms, this is more gas to the Power Sector,
"From the outset of this administration, we have been very clear of our intention to leverage on the virtually unlimited capacity of gas to drive economic growth. Aside from the presidential CNG initiative which is aimed at moving the good people of
The president assured Nigerians that these projects are just the beginning, as the federal government is stepping up its coordination of other landmark projects and initiatives that will ensure the earliest realization of gas fueled prosperity in the country.
He assured investors in the energy space that this is an investment enabling government, and the government will not relent in facilitating the ease of doing business.
He said: "The theme of this commissioning - 'From Gas to Prosperity; Renewed Hope' must be adopted by all gas sector participants and would-be investors as a clarion call to ramp up efforts to accelerate investment and developments of projects in the gas sector on a win-win basis.
"I would once again commend the efforts of
"Finally, I want to reiterate the federal government's resolve to continue to provide support in deepening domestic gas utilization, to increase national power generation capacity, revitalise industries and create multiple job opportunities for economic growth.
"Today, I have the singular honour to commission the expansion of the AHL Gas Processing Plant, the ANOH Gas Processing Plant and the 23.3Km ANOH to Obiafu-Obrikom-Oben(OB3) Custody Transfer Metering Station Gas Pipeline Projects in line with this administration's resolve to provide energy for Nigerians, and to use our vast natural gas resources to transform
"I urge NNPC limited as our national energy company of choice to continue its relentless efforts and record more successes in the energy sector for the benefit of all Nigerians. 'From Gas to Prosperity, with a Renewed Hope."
In his remarks, the petroleum minister said in keeping with the climate control agenda, the government decided to use gas as the transition fuel to achieve green energy by 2060.
He said the administration of President
The minister said the plant will promote rapid industrialization in
He said: "I would especially like to express my gratitude to His Excellency, President
"Mr. President, the decision to eliminate fuel subsidies at the start of your administration has compelled increased spending in the upstream and midstream gas development, and the use of gas as an appropriate, more cost-effective, and cleaner alternative to diesel and gasoline.
"Furthermore, in keeping with the climate control accord, this measure solidifies the use of gas as our transition fuel as we move the nation toward achieving green energy sufficiency by 2060
In his remarks, the NNPCL GCEO commended the president for his support and added that the pressure he gave the team on these projects ensures that it is delivered on schedule.
He said the progressive policy direction of this government to transform the country into a gas project is making its mark.
According to Kyari, the three projects commissioned today is in like with the Decade of gas agenda and consistent with the administration's effort to boost gas supply to domestic market.
Kyari stated further that the projects will also reduce dependency on importation.
He noted that the three infrastructure projects will enable additional gas processing capacity and also increase the supply of
Also, he said the projects are fully in line with the Federal Government's quest to derive value from the Nation's gas assets while eliminating gas flaring and moving towards environmentally friendly energy sources.
He said, "As a commercial enterprise, these milestone projects present an opportunity to monetize our abundant natural gas resources by expanding access to energy to support economic growth, industrialization, and job creation.
"Your Excellency, Mr. President may kindly wish to note that in order to monetise our gas resources, NNPC is currently executing several major gas infrastructure projects such as the Ajaokuta-Kaduna-Kano pipeline with the associated power plants, the full delivery of the wider OB3 project shortly and also progressing with other initiatives such as Fertilizer and Petrochemical plants, Small and large scale LNG and Floating LNG.
"Currently, NNPC is executing a Compressed Natural Gas (CNG) project aimed at providing a cleaner fuel to power our vehicles as a cheaper alternative to the Premium Motor spirit (PMS).
"We are also pleased to mention that in line with the just announced Presidential directive on the purchase of CNG powered vehicles by institutions of government, and in furtherance of the overall objective of broadening CNG as an alternative fuel for automobiles, NNPC is deploying CNG delivery installations in our retail stations across the country."
In his speech, the Delta State Governor said that the project will boost the country's energy supply resources as well as increase the standard of living of the people.
He appreciated key stakeholders in the implementation of this project, adding that this would also reduce the level of poverty within the country.
He said investments in the state were safe and secure as Delta remains a prime destination of choice for investors across the country.
He said that the AHL-GPP2 project was an eloquent testimony to the fact that investments in the state were safe and the state, the first point of call for investors.
He said: "The GPP2 represents a significant leap in our effort to harness the potentials of
"With its capacity to produce high quality gas, this facility stands as a beacon of hope and prosperity for our nation as the clean gas produced in this plant will be transported via the
"This event will boost our energy security and also stimulate economic growth, create employment opportunities, and improve the standard of living for our people.
"As we celebrate this great occasion, we must also look towards the future with optimism as the construction of the GPP3 is already underway.
"This represents another testament to the fact that investments in
The Managing Director of AHL,
According to him, these gas plants will guarantee renewed hope for
He said: "I commend the NNPCL and other strategic partners and regulators. Your support as president has been able to boost businesses through policies that support the energy sector.
"You are supporting projects of national importance, and it shows that
The Seplat MD,
"Our nation is blessed with natural reserves, and yet our economy and population are hampered by poor energy supply. If all the gas from this plant goes into the power sector, it will transform the lives of over five million people," he added.
The three critical gas projects will support the federal government's effort to grow value from the nation's gas assets while eliminating gas flaring.
Onuba, a chartered accountant, writes from
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