Nigeria Needs Strong Policy Frameworks, Gas Infrastructure to Secure Energy Future – Rainoil GMD Ogbechie
Dr. Gabriel Ogbechie, Group Managing Director of Rainoil Limited, has called for significant investments in gas infrastructure and robust policy frameworks to secure Nigeria’s energy future and attract high-quality investment into the sector. He emphasized that scaling up cleaner energy initiatives like Compressed Natural Gas (CNG) and Liquefied Petroleum Gas (LPG) would bolster national energy security and appeal to both domestic and international investors.
Speaking as the Conference Chairman at the 2024 NAEC Annual Strategic International Conference, held by the Association of Energy Correspondents of Nigeria (NAEC) at Eko Hotel, Lagos, Dr. Ogbechie stressed the importance of gas in Nigeria’s energy transition. He noted that transitioning to a gas-powered economy requires substantial capital investments, citing a 2023 Nigeria Extractive Industries Transparency Initiative (NEITI) report which estimates that the country needs $20 billion annually to address its gas infrastructure deficit.
“From pipelines to processing plants, the infrastructure demands are immense,” Ogbechie said. “Nigeria’s current economic environment, with inflationary pressures, fluctuating oil prices, and currency volatility, adds to the challenges of financing this transition.”
Highlighting the ongoing CNG and LPG initiatives, he pointed to key projects in the Federal Capital Territory, Lagos, Ogun, and Edo states that are paving the way for a more sustainable energy future. “CNG will play a crucial role in transportation,” he remarked, while noting that millions of households are already transitioning to LPG for cooking under the National LPG Expansion Implementation Plan.
Ogbechie described natural gas as a “bridge fuel” for Nigeria’s energy transition, given its cleaner-burning properties compared to coal and oil. With over 200 trillion cubic feet of natural gas reserves, Nigeria is well-positioned to leverage this resource for both domestic use and export.
However, he stressed that Nigeria’s gas strategy must align with global energy transition goals while also safeguarding the country’s geopolitical and economic interests. “The global energy transition requires us to move swiftly, adapt to new technologies, and respond to changing international policies. Nigeria has the resources, the talent, and the will to succeed in this transition,” he said.
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To ensure success, Ogbechie called for public-private partnerships and strategic investments in gas infrastructure. He also urged the government to enhance policy frameworks to support the scaling of gas initiatives across transportation and domestic sectors.
In closing, Ogbechie praised NAEC for organizing the conference and providing a platform for critical discussions about the future of Nigeria’s energy sector. He expressed optimism about Nigeria’s potential to lead in the global energy transition while meeting domestic energy needs.
Source: NAEC
