Energy

July 24, 2024

NUPRC targets 49 commercially viable gas flare sites for auction

NUPRC targets 49 commercially viable gas flare sites for auction

**Host communities call for compensation

By Obas Esiedesa, Abuja

As part of efforts to end gas flaring and generate revenue for the government, the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, Wednesday, disclosed that it has assessed and identified 49 commercially viable gas flare sites for auction.

The Commission’s Chief Executive, Engr Gbenga Komolafe who disclosed this at the opening of a two-day National Extractive Dialogue in Abuja, said gas flare in the country has dropped to about nine percent compared to 12 percent in 2017.

The dialogue which was organized by the Spaces for Change, S4C, in collaboration with the Nigeria Extractive Industries Transparency Initiative, NEITI and the National Oil Spill Detection and Response Agency, NOSDRA, has the theme: Gas flare reduction: Catalyst for accelerating Nigeria’s path to net-zero emissions and sustainable development.

Komolafe who was represented by Abdul Afeez Balogun said the goal is to achieve greater prosperity for Nigeria through the optimal utilization of our natural gas resources as a transition fuel.

He noted that the Commission “is intentional about flare reduction through effective administration of flare production units for all oil and gas plant facilities. We believe that through leveraging transparent policies, effective implementation of the PIA, and interagency collaboration, the Nigerian oil and gas industry will achieve a net zero emissions target by 2036 and ensure sustainable development for Nigeria”.

Speaking at the event, the Executive Secretary, NEITI, Dr Orji Ogbonnaya Orji canvassed for open, competitive and transparent Gas flare commercialization programme.

Dr. Orji who was represented by the NEITI’s Director Technical, Dr. Dieter Bassi said the agency’s latest report in the oil and gas industry disclosed that 884 million scf was flared in 2011 when compared to the 249 million scf flared in 2021.

He explained that the data “collected between 2011 and 2021 shows a decline in flaring by 51.27% of the volume of gas flared. Similarly, 129 million scf was utilised in 2011 as compared to 915 million scf in 2021.   

“The report revealed that 9.8% of the gas produced and utilized in 2021 was flared while 55% was sold. Data also indicated that gas flare has reduced by about 50% between 2021 and 2020. Though this is a remarkable improvement, we must strive to meet our country’s target of 100% gas flare elimination by 2025 which is just one year away and six years away from the global commitment of 2030”.

On her part, the Executive Director, Space for Change, Victoria Ibezim-Ohaeri pointed out that gas flaring has far-reaching socio-economic and environmental impacts, particularly on host communities.

“It exacerbates global warming, leads to economic losses, and squanders potential power generation resources. However, it is within our power to change this narrative. By reducing gas flaring, we can significantly cut our carbon emissions, unlock economic value, and foster sustainable development that benefits all Nigerians”, she added.

Speaking for host communities in the Niger Delta region, HRH King Bubaraye Dakolo of Bayelsa State said operators and the government must compensate oil host communities for decades of gas flares that have left significant impact on the people.