Tag: Energy

  • Energy firm to inaugurate 60Mw solar plant

    Energy firm to inaugurate 60Mw solar plant

    The Copperbelt Energy Corporation PLC (CEC) which currently has an operational 34 megawatts (Mw) solar plant, and under construction is a 60Mw solar plant, targeted for commissioning in the first quarter of this year.

    The company which subsequent to the First Green Bond registration announcement at the COP 28 on 5 December 2023 in Dubai, said its first tranche subscription towards the $200 million green bond programme was oversubscribed by over 178 per cent. The first tranche of $53.5 million, issued as a private placement, to a select few investors closed on 28 December 2023.

    The investors in the Green Bond include Emerging Africa Investment Fund which acted as the Cornerstone Investor and others were ABSA Bank, Atlas Mara Bank Zambia and the African Local Currency Bond (ALCB) Fund.

    Announcing the subscription allotment, CEC Managing Director, and Chief Executive Officer Owen Silavwe said: “The response from a wide spectrum of investors has been extremely positive and encouraging. We are thankful to our partners for the support and hard work exhibited during the entire Green Bond process.

    The financing raised through the Green Bond allows us to continue to finance the renewable energy development aligned to our strategy. We remain keen on actualising our green energy ambitions and the issuance of this Bond is an affirmation of our commitment to achieving our flagship 200 megawatt (Mw) of solar energy. We look forward to subsequent tranche subscriptions which should provide an opportunity for a diversified investor class to participate in a green and tradable instrument.”

    Head of Corporate Investment Banking at Cygnum Capital, the Bond’s lead arrangers, James Doree, said: “We are committed to finding capital markets solutions for infrastructure and clean energy investment. “This transaction, Zambia’s first non-recourse project bond and the first to be issued locally under the ICMA Green Bond Principles, demonstrates CEC’s leadership and impact, while also providing it with a flexible and scalable structure to roll out their renewables pipeline.”

    Also commenting on the transaction, Investment Director at Ninety-One, Fund Manager of the Emerging Africa Infrastructure Fund, Paromita Chatterjee, said:   “The willingness of a local and regional capital market to back an entirely new funding instrument highlights Zambia’s commitment to sustainably advancing its energy market. We are delighted to partner with CEC and act as the cornerstone investor, increasing investor confidence in a rapidly evolving sector.”

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    Head of Project Finance at Absa Group, Theuns Ehlers, said: “This is an ingenious financing solution for Zambia and having a sponsor with strong operational and financial capabilities has helped the structuring and bankability of a private-to-private project finance bond raise, therefore, we are very proud to be associated with this transaction.”

    Atlas Mara Bank Zambia, Acting Managing Director Bobbline H Cheembela, said: “The Bank is delighted to be part of the first Green bond issuance in Zambia, which is expected to catalyse further green finance in Zambia’s energy sector”. Mr. Cheembela also praised the Government of the Republic of Zambia for introducing various incentives to support Green Bond financing such as exemption from withholding tax. He further stressed that these incentives, have enabled participation of both local and international investors and will assist in developing the Zambian debt capital markets and the inflow of hard currency into the country that will in part support the sovereign debt restructuring. He concluded by saying, “we trust the CEC Renewables strategy will add to the power supply of the country.”

    The proceeds from the Bond, will be deployed towards further solar generation investments and associated transmission infrastructure. CEC’s commitment to attaining its green energy generation ambitions of 200Mw of solar energy generation is slowly being materialised.

    The successful issuance of the first Green Bond is not only a pivotal moment for the CEC Group, but for Zambia and its capital markets, marking a clear demonstration of alternative financing options for the much-required diversification of energy sources in the country.

  • How we created our niche in energy sector – Neconde chairman

    How we created our niche in energy sector – Neconde chairman

    Many approach business like a brawl in which they must fight bare-knuckle to succeed. But Neconde Energy approaches it like an art; business to the energy player manifests as the synthesis of all creative and entrepreneurial physics.

    It is hardly the doing of any one man but the concerted efforts of scores of genii of different stripes and mindsets. It is the collaboration of the deeply creative, pragmatic, subtle and critical spirit of a team. The sum of all these efforts finally transmutes into a successful enterprise.

    Nonetheless, there is no gainsaying that the world of business equally manifests, like a perilous coast rippling with storms. Amid the turbulence, Neconde Energy rides the tides, steered by an unyielding spirit and a team of genii.

    So far, the latter has guided the franchise through the bittersweet, cut-throat world of global commerce with astounding results.  As you read, Necondes Energy subsists as one of the very few viable enterprises in Nigeria’s mainstream oil sector.

    Its strategic business model though fundamentally designed to make immense profit from the global business terrain, seeks to increase the organisation’s positive impact on both local and global socioeconomic sectors.

    The future of energy resilience is optimally on display in the operations of Neconde Energy; the company has successfully created its niche as an innovative player designed to furnish the energy sector with unrelenting verve, capital, utility and human resources.

    The goal, according to the company’s management is to develop systems to help make the energy sector more profitable and resilient. The company is showing what can happen when the right conditions converge to support crucial players in the local energy sector.

    Established in November 26, 2010, Neconde Energy Limited stands as an independent oil and gas company, serving as a specialized vehicle for acquiring and developing petroleum assets. The company’s primary focus is on exploring and producing oil and gas assets for sale in Nigeria’s crude oil and gas stock market.

    Neconde Energy Limited secured a 45% stake in the OML 42 field after a successful bid for its acquisition in January 2011. NEPL, formerly NPDC, stands as its partner with a 55% stake in the field.

    Throughout its existence, Neconde has thrived, credited to its high corporate value centred on superior service delivery, innovative leadership, and world-class standards within the oil and gas industry. In 2019, the company spearheaded an alternative crude oil evacuation method, showcasing its innovative prowess as an industry leader.

    The company’s success is further propelled by its Board of Directors, comprised of seasoned industry professionals with extensive regional and global expertise. These professionals contribute diverse skills, steering the company as an innovative and leading industry player. Here are the profiles of the board members:

    Mr. Franz Wohlfart: Recently appointed as the Managing Director/Chief Executive Officer, Franz Wohlfart brings over 23 years of oil and gas industry experience across Austria, Romania, and Russia. He has held various positions, including Chief Operating Officer and Managing Director of TDE, Director of Workover Division in OMV, and Deputy Director of Drilling at ROSNEFT Upstream.

    Mr. Musa Bello Mustapha: An Independent Non-Executive Director with over 28 years of oil and gas industry experience, Musa Bello Mustapha served as the pioneer Company Secretary/Legal Adviser of AMNI International Petroleum Development Company Limited. He has held significant roles within the Federal Government of Nigeria and the EFCC.

    Mr. Abdulrahman Yinusa: With over three decades of banking and finance experience, Abdulrahman Yinusa’s career spans various financial institutions. He has held executive roles in banking, including Managing Director/CEO and CFO positions. He currently chairs the Audit Committee of Neconde’s Board.

    Mr. Ubaka Emelumadu: An Energy Consultant with over 35 years of oil industry experience, Ubaka Emelumadu served as General Manager and Vice President of Gas at Shell Nigeria. He also held executive positions at SPDC and chaired the Board of Shell Nigeria Gas.

    Mr. Akin Oparison: A Senior Fellow at the Lagos Business School, Akin Oparison has over 25 years of management and leadership experience in multinational companies. He specializes in leadership development and organizational excellence.

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    Mr. Sambo Ahmadu: Retired as Group General Manager in charge of Group Finance for NNPC, Sambo Ahmadu boasts over 35 years of experience in both public and private sectors in Nigeria and the USA. He holds professional accounting qualifications and currently serves on several Boards of Directors.

    Mr. Wolfgang Goetsch: With over 30 years of professional experience in various management positions, Wolfgang Goetsch served as Managing Director of Julius Berger Nigeria PLC for nearly 10 years. He currently holds the position of Executive Vice-President in ILF Consulting Engineers and chairs Neconde’s Nomination, Remuneration & Governance Committee.

    Uche Val Obi SAN: The Managing Partner of Alliance Law Firm, Uche Val Obi SAN heads the firm’s transaction, corporate commercial, and dispute resolution practice. He holds several prestigious degrees, including a Master of Laws Degree and a Master of Business Administration, and is recognized as a Top Lawyer by Chambers Global 500.

    Dr. Ernest Azudialu-Obiejesi: The Chairman of the Board of Directors, Dr. Ernest Azudialu-Obiejesi holds a Bachelor’s degree in Accounting, an MBA, and an Honorary Doctorate Degree in Business Administration. He’s also the Executive Chairman of the Obijackson Group of Companies, established over 35 years ago.

    Recently, Neconde Energy Limited concluded its annual retreat for Board Directors and Executive Management, strategizing for enhanced effectiveness and future productivity. Dr. Ernest Azudialu-Obiejesi emphasised that the diverse and accomplished directors underscore Neconde’s commitment to sustained leadership, innovation, and excellence in the oil and gas industry, ensuring the company’s continued success and prominence in the market.

  • Renewable energy: Electric vehicle expert urges FG to support local players

    Renewable energy: Electric vehicle expert urges FG to support local players

    Top Nigerian Electric vehicle promoter, Daniel Mbamala has urged the federal government to support local players in the renewable energy sector.

    He warned that Nigeria may find itself in a distressful economic crisis in the near future if such support is not given.

    Mbamala made the assertion while speaking to reporters in Abuja on his return from the Climate Change Conference in Dubai.

    He noted that during the recently concluded COP28, it was agreed by nearly 200 countries that all nations should transition from fossil fuels to renewable energy sources to avert the worst effects of climate change.

    He urged the federal government to initiate intervention grants to players in the sector for the industry to thrive.

    The MD/CEO of Unique Marvel Nigeria Ltd and Regional Partner, Electric Motor Vehicle Company (EMVC), who attended the COP28 alongside the company’s founder, Prince Mustapha Mona Audu, posited that oil which is Nigerians mainstay may soon become an unattractive commodity globally.

    He urged Nigerians to change their mentality by investing and patronizing renewable energy products.

    He asked the federal government to liaise with the National and State Assemblies to pass the National renewable energy law which will enable local investors to have a sense of direction.

    Mbamala said: “I will encourage the Government to as a matter of urgency liaise with the National Assembly to pass the National renewable energy law which will embody all the comprehensive programmes and most of the agreements reached at COP28.

    “It is important that the Government develops this law to guide, protect and regulate people who are industry players in this sector.

    “So many countries have gone beyond this stage but from where we are as a country and taking cognisance of the fact that we are a developing country it is considerably understandable that we have to start from somewhere.

    Despite the challenges, Daniel however applauded the FG’s delegation for their level of participation at the climate change global gathering, according to him the Nation has the natural resources needed to prosper in the sector if the right policies and laws were put in place.

    He said: “The Nigerian Government being part of the conference means that the first step to take is for them to pass a comprehensive National renewable energy law which will embody every component for this sector to thrive. The law should be passed and signed at both the National and State Assembly levels.

    “It will give Nigerians and players in this industry a sense of direction. It is important for the Government to create a national intervention fund to be able to implement these programmes and encourage players who are in this sector.

    “Most people who are players in this sector are really struggling to remain in the business. I’m talking about people who are into solar energy, electric vehicles, recycling and all fields that relate to the climate change initiative.

    “It is important for the Government to provide incentives, financial grants in order to encourage people who are in this sector.

    “Many of them have a very good sense of direction but they can’t make any significant progress because they have no support from the Government that is why the country is lagging behind in this regard.”

  • IFC okays $1b cash for renewable energy projects

    IFC okays $1b cash for renewable energy projects

    The International Finance Corporation (IFC) has signed a partnership agreement with the International Renewable Energy Agency (IRENA) and pledged $1 billion to accelerate the transition to clean energy in emerging markets.

    With this partnership, IFC joined the Energy Transition Accelerator Financing Platform (ETAF), a climate finance mechanism managed by IRENA that advances the global energy transition in IRENA member countries. IFC will bring its expertise to ETAF, increasing the flow of private capital towards ETAF projects, while IRENA will leverage its membership to attract project proposals through the platform.

    “We are excited to collaborate with IRENA and other development partners as we bring IFC’s expertise in project financing, blended finance, and energy transition to ETAF. As a leading financier of low-cost renewable energy with a strong track record in supporting the energy transition globally, we are confident that today’s $1 billion pledge will play a critical role in improving access to sustainable and affordable energy across emerging markets,” IFC’s Vice President of Industries, Mohamed Gouled, said.

    Over the past decade, IFC invested and mobilized more than $32 billion in the energy sector, helping to accelerate the clean energy transition and increasing access to electricity for millions of people around the globe through on- and off-grid solutions.

     IFC has financed more than 8GW of hydropower, 8GW of solar, and 6GW of wind projects to date. IFC also finances battery and other energy storage solutions, as well as transmission and distribution infrastructure, to support network resilience and further renewable energy integration.

    “As governments rally behind a renewables-based energy transition to address climate change and foster socio-economic development, we must ensure that the developing world is not left behind. “With IFC’s strategic alliance and their substantial $1 billion pledge to the ETAF platform, IRENA is now better equipped than ever to drive climate action and contribute to narrowing the energy access gap between its member countries,” IRENA Director-General Francesco La Camera said.

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    A recent IFC-IEA report, Scaling Up Private Finance for Clean Energy in Emerging and Developing Economies, stressed that public investments alone are insufficient to deliver universal energy access and tackle climate change. To fulfill the climate objectives outlined in the Paris Agreement and meet the increasing energy demands of emerging and developing economies, investments in clean energy in these countries must surpass the $770 billion channeled in 2022 to reach nearly $2.8 trillion by the early 2030s. The report further notes that increased public funding, together with policies and technical assistance, can be used effectively in partnership with private sector capital to reduce project risks and unlock the potential for clean energy in these countries.

    ETAF will source projects on an ongoing basis and act as facilitator, coordinator, and knowledge hub, providing technical support, mobilizing resources, and fostering collaboration. It will support feasible projects and mitigate investment risks through innovative financing solutions, matchmaking of project partners, technical assistance, and project facilitation. ETAF has a current pipeline of projects in Latin America, small island developing states (SIDS), Africa, and Asia.

    In a tandem signing, IFC’s sister agency, the Multilateral Investment Guarantee Agency (MIGA), signed its own partnership agreement with IRENA. Under this agreement, MIGA will contribute its guarantee and insurance instruments to help de-risk energy transition projects in emerging markets.

  • Commission restates commitment to new energy economy

    Commission restates commitment to new energy economy

    The Director-General, Energy Commission of Nigeria (ECN), Dr. Mustapha Abdullåhi, has assured world leaders of Nigeria’s commitment to Clean Cooling, an energy initiative adopted at the ongoing UN Climate Change Summit in Dubai, United Arab Emirates.

    The Global Cooling Pledge is an initiative that would see to the reduction in carbon emissions and bring Minimum Energy Performance (MEP) to 1.5°C across the globe.

    He said as the head of the country’s lead agency on energy, his commitment to drive a new energy economy that would be in line with the global best practices was unwavering.

    Abdullahi gave the assurance in an address he delivered at a high-level meeting attended by world leaders and other critical stakeholders on climate change.

    Speaking at the event which witnessed the launch of the Global Cooling Pledge, Dr Abdullahi was emphatic on Nigeria’s commitment to the initiative as recently championed by the commission in partnership with the United Nations Environment Programme (UNEP).

    He said: “In our capacity as the lead agency in the energy sector in Nigeria, we recently hosted a one-day workshop on Air Conditioners Monitoring, Verification and Enforcement (MVE) for government officials saddled with the responsibility of ensuring standards.

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    “This was done in partnership with the United Nations Environment Programme (UNEP) with the overall objective of accelerating the transition to energy-efficient air-conditioners (ACs) with climate-friendly (low – GWP refrigerant) in residential and commercial buildings.

    “Such an initiative actually aligns with my country’s climate targets in the Nationally Determined Contributions (NDCs).

    “However, the ongoing climate change summit here in Dubai has further broadened the scope of our work not only as a country, but also as a leading voice in Africa.

    “I can assure you all that Nigeria will take the lead in advocating for this global pledge among other African nations in order to mitigate the devastating effect of global warming occasioned by climate change.”

    The ECN Director-General also used the roundtable discussion to affirm President Bola Tinubu’s resolve to aggressively pursue a climate-friendly energy policy in the face of global warming and emissions.

    Participants at the session include former United States Secretary of State, John Kerry who is now the US Special Presidential Envoy for Climate, Ms Inger Anderson, Executive Director, United Nations Environment Programme (UNEP) and Mrs Damilola Ogunbiyi, the Chief Executive Officer (CEO), Sustainable Energy for All (SEforALL) amongst others.

  • Energy security, asset diversification crucial to economic growth – stakeholders

    Energy security, asset diversification crucial to economic growth – stakeholders

    Stakeholders in the Nigerian petroleum industry and financial service sector have provided insights and workable solutions to the challenges facing the nation’s economy and businesses.

    The stakeholders spoke at the Lagos Business School’s Modular Executive MBA 9th cohort (MEMBA 9) Graduation Dinner.

    Speaking on the topic: “Politics of Energy Transition”, the co-founder and Pioneer Chief Executive Officer, Platform Petroleum Limited and Seplat Petroleum Development Company Plc, Austin Avuru, advocates the prioritisation of energy security among African nations while particularly urging the Nigerian government to optimise the country’s oil and gas resources before committing to its energy transition agenda.

    Avuru pressed on the significance of energy, saying: “Access to energy is crucial not only for the attainment of health and education outcome but also for reducing the cost of doing businesses and for unlocking economic potential and creating jobs.”

    According to him, besides climate change, poverty, hunger, diseases, and conflicts are existential threats to African nations as they are linked to gross underdevelopment.

    He insisted with the worldwide pursuit of “energy security” the continent “must achieve sustainable energy security within the resources available” to them.

    He stated: “Carbon emissions reduction has been the key factor that all the energy transition argument has been hinged on. Most countries have focused on addressing energy security and optimizing the available resources while driving the transition. Every country will address these two things before coming to what some people think is the residual matter of reduction of carbon emission.

    “We must, therefore, do the following; ramp up production and build up reserves of oil and gas, reduce the per-barrel production cost, build internal refining capacity, build industrial/manufacturing capacity to use oil and gas as feedstock intensify gas to power schemes, maximise gas to methanol, gas to fertilizer and gas to petrochemical schemes.”

    This, he emphasised, given the 28th UN Climate Change Conference (COP28) ongoing in Dubai.

    “African nations need to collectively prioritise convenience, affordability, and reliability to reach a quality of life enjoyed by the industralised world, which has powered its economic growth and achieved prosperity using hydrocarbons.”

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    Speaking on “Finance, Economy and Asset Management”, Corporate Executive in the financial services industry, Odiri Ogini, explained how some major factors of the outgoing year like “cash crunch, Naira redesign, inflation” greatly impacted people’s wealth.

    Ogini disclosed the greatest challenge of every asset manager is how to sustain competitive returns.

    “Everyone wants to earn against inflation, the greatest challenge for investors.”

    She, however, admitted that the equity market in the last 5 to 10 days has done “well due to the new CBN policies.”

    On asset and portfolio diversification, the market leader in Asset Management commended the planned recapitalisation of deposit money banks (DMBs) as announced by the Central Bank of Nigeria towards a $1 trillion economy of Nigeria by 2023.

    According to her: “With the CBN’s soon-to-be established recapitalization plan for banks, we are likely to see mergers in 2024 in order to achieve the Apex bank’s target.

    “The Federal Government’s target of a $1 trillion economy in the next seven years gives us a sense of direction and strategies to follow for its attainment.”

    To the MEMBA 9 graduates, Ogini admonished them to be agents of change regardless of where they find themselves, employing the mosquito analogy.

    She stated: “Irrespective of where you are, you can make a difference. It’s all within your capacity to. If you think you’re too small to make a difference, try going to bed with a mosquito.”

    The host, Ayodeji Olukeye while congratulating MEMBA 9 graduates, shared the reason for the failure of many Nigerian businesses.

    He argued that businesses fail because people are not prepared.

    He noted: “So, if you are doing that and suddenly or accidentally make it big in the business which you know you are not prepared for it. You will eventually fail. So preparation is the major reason why Nigerian businesses fail.”

  • Firms partner on $15b energy transition cash

    Firms partner on $15b energy transition cash

    Rocky Mountain Institute (RMI) and Infrastructure Corporation of Nigeria (InfraCorp) are partnering to support the implementation of Nigeria’s clean energy infrastructure strategy.

    The partnership hopes to mobilize $15 billion from the private sector to support energy transition.

    RMI’s Managing Director of Catalytic Climate Capital and the Global South, Ije Okeke said its focus aligns with RMI’s Catalytic Climate Capital (C3) program, and its goal of supporting the development of 10 gigawatts of clean energy over three years in the Global South.

    Chief Executive Officer at the Nigeria Climate Innovation Centre, Bankole Oloruntoba made this known in a press statement.

    He stated: “Rocky Mountain Institute (RMI) and Infrastructure Corporation of Nigeria (InfraCorp) recently announced a partnership through a Memorandum of Understanding (MoU) to support the implementation of Nigeria’s clean energy infrastructure strategy.

    “The partnership, which was signed on the sidelines of the 29th Nigeria Economic Summit Group (NESG), outlined collaboration between the two organizations to establish a Project Preparation and Development Facility (PPF) and jointly develop climate finance initiatives to mobilize competitive long-term local currency funding for the sector.

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    “Designed to bridge Nigeria’s energy transition gap and scale the deployment of clean energy projects in the country, the partnership will also focus on building local capacity to unlock and accelerate climate finance at scale to build lasting national capacity that will ultimately maximize adaptation and mitigation outcomes.

    “Commenting on the partnership, Ije Ikoku Okeke, RMI Managing Director of Catalytic Climate Capital and the Global South, said its focus aligned with RMI’s Catalytic Climate Capital (C3) program, and its goal of supporting the development of 10 gigawatts of clean energy over three years in the Global South and mobilizing $15 billion from the private sector to support the energy transition.

    “Lazarus Angbazo, Managing Director/Chief Executive Officer, InfraCorp, also noted that the partnership will enable his organization to work together with RMI to support the development of bankable and sustainable national infrastructure projects in the Nigerian renewable energy sector.

    “Angbazo added that InfraCorp and RMI will collaborate on project development finance and financial market initiatives to allow InfraCorp to provide or mobilize financial resources and infrastructure investment for stimulating economic activity and reducing poverty through clean energy solutions.

    “The partnership is a significant development for the clean energy sector in Nigeria. The establishment of a PPF is a critical step in addressing the investment shortfall in the Nigerian energy sector. Despite being the most populous nation in Africa and boasting a wealth of natural resources, Nigeria struggles to provide reliable electricity to its citizens. With over 92 million people lacking access to electricity and frequent power outages plaguing even those connected to the grid, Nigeria’s electricity supply challenges hinder economic growth, stifle business expansion, and impact the overall well-being of its people.”

  • Our global energy priorities, by U.S.

    Our global energy priorities, by U.S.

    Geoffrey Pyatt is assistant secretary of State Department’s Bureau of Energy Resources.  Speaking at a briefing attended by United States Bureau Chief OLUKOREDE YISHAU, Pratt points out America’s priorities on global energy needs. Excerpts:

    The U.S. Government’s energy diplomacy
    I’d like to start by framing my remarks in the context of some speech – a speech that I know many of you will have watched, which was Secretary Blinken’s remarks a couple of weeks ago, around the corner from us at Johns Hopkins SAIS, and his focus there on the U.S. effort to reinforce our alliances and partnerships that are really the – really critically important challenge that we face in achieving progress on some of the global issues that are so important to all of our allies and partners around the world, but especially in the developing world, several of which are the responsibility of my bureau at the State Department – for instance, energy, energy access, energy security, and then also, critically, all of the issues around the climate crisis and our efforts to build an energy economy that is cleaner and greener and more sustainable.    We’re obviously investing in a big way here at home on these issues, but we’re also very, very focused on how we work with our allies in this regard.  I’d like to put a spotlight on a couple of the priorities for my team in the ENR Bureau over the course of this fall.  One, of course, has necessarily been Ukraine, as we continue our work to support the sovereignty and territorial integrity of Ukraine and help the Ukrainian people to address the damage that Vladimir Putin has inflicted on the country and on the country’s energy grid, including with more missile attacks in the east targeting infrastructure just this morning.   

    G7 coordination We continue a very strong focus on the G7+ coordination group that Secretary Blinken launched exactly a year ago, last November in Bucharest at the NATO ministerial, but really on an almost constant basis in engagements around the world.  We’ve been very pleased over the past week to host here in Washington Energy Minister Halushchenko, and then just the day before yesterday, Deputy Prime Minister Yulia Svyrydenk.  Had opportunity also to meet with some Ukrainian parliamentarians who were here ahead of the Halifax conference, and just the other day, also a remote meeting with the CEO of Naftogaz.    But in all of those discussions, we’ve been focused on two agendas.  One is the work we’re doing over the short term to help Ukraine build resilience in its energy system as they come into another winter where everybody is expecting a campaign of Russian attacks on Ukraine’s energy infrastructure, but also to do all that we can work working with Congress to support Ukraine’s vision of building a future energy system which is fully integrated with Europe and aligned with European standards, decentralized, more resilient, much greener.    So this is a critically important task.  I was up at – honored to speak before the Senate Foreign Relations Committee last week on these issues, and would put a particular spotlight on the priority that we’re placing on the National Security supplemental and the Ukraine elements of that.  And we’re very grateful for the support that we’ve enjoyed from Congress in that regard.   

    Europe as priority Europe also remains a priority.  I’ve had the opportunity in recent weeks to be back in Europe twice, both to Madrid and then separately to Bucharest and to Rome.  In Bucharest, I was part of the U.S. delegation for the Three Seas Summit.  In Italy, I was talking a lot with the Italians ahead of their upcoming G7 presidency with a focus on their very strong interest in the work we’re doing together in Ukraine, in our shared efforts around European energy security, helping to further address the energy gap which has been created by Putin’s weaponization of his energy resources, and the impressive and critically important turn that Europe has made away from Russian energy supplies over the past several months.   I think we’re confident Europe is coming into this winter in a much better position compared to where it was a year ago in terms of gas reserves, in terms of Europe’s security against further weaponization actions by Russia, but we’re – we are not complacent about any of this.  I would also put a spotlight on our work with Japan.  I was particularly pleased a couple of weeks ago to be out at Stanford at the Hoover Institution, which hosted us for the second U.S.-Japan Strategic Energy Dialogue.  This was a really important venue that brought together a number of elements of the U.S. Government with counterparts – Director General Kihara from METI but also from the foreign ministry, and really, really importantly from our two private sectors.  Japan plays a critically important role in the global energy picture, it’s a major energy buyer from the United States, but it is also a country with whom the U.S. is working very closely to accelerate energy transition, especially across the Asia-Pacific and in Southeast Asia.   It’s also a country whose companies, whether through the partnership between GE and Hitachi or the work that Japanese firms are doing in areas like critical minerals and carbon management – a country whose companies are playing a critical role in the global energy transition.  So I was really pleased by the quality of that discussion as well and in particular the high-level participation from both Japanese and American corporates who are part of this larger energy alliance between our two countries. 

    Energy alliance with UKWe’ve done a lot of work recently – and I will do more in travel to the UK right after Thanksgiving – in support of the Mineral Security Partnership.  I would particularly put a spotlight on the initiative we have launched through the State Department’s Global Partnership Office with SAFE, an NGO here in Washington that works with the private sector globally to address issues around battery minerals in particular and all aspects of energy security, but with a particular focus on the issues around the energy transition. 

    Dialogue with Norway I want to also mention our recent energy dialogue with Norway, a country that has become Europe’s largest gas supplier, but also a country that is a significant critical mineral supplier to the United States, a country which shares the American vision of de-carbonization of our fossil energy sector, and a country which is an ally and a partner in working to address the disruption of global energy markets that Vladimir Putin has imposed on all of us.  I want to put a particular flag also on the work that we are doing in the runup to COP, especially for my bureau, supporting what Secretary Kerry and the special envoy’s office is doing to address issues around the fossil energy sector, to address questions of methane abatement, carbon management, recognizing that we will be in Dubai for COP28.  So a country which is a – like the United States, a large fossil energy producer, but also a country that has exercised leadership in devoting resources to the energy transition. 

    Ottawa talks And then the last recent activity that I would put a spotlight on:  I had the opportunity last week to be up in Ottawa, was really pleased to be able to have conversations with the – with NRCan, the energy minister including Minster Wilkinson, but also with our partners at Global Canada.  Canada is a really unique energy partner for the United States.  We, of course, have the largest energy relationship in the world.  Our companies are deeply intertwined with each other.  But we are also working together on the energy transition.  I was delighted when I was in Ottawa to spend a lot of time talking about critical minerals, an area where Canadian companies are not just producers, not just domestic processors, but also have a global footprint, and so share our concerns about the concentration of supply chains, in particular in the People’s Republic of China.  But Canada is also moving forward jointly with the United States in areas like carbon management, carbon sequestration, and is a critical part of our overall alliance in support of Ukraine, and lastly, has been a partner in the area of developing civil nuclear power as part of our overall climate and energy strategy, and importantly, Canada and Ontario will host what is now likely to be North America’s first new small modular reactor, a critical part of our overall strategy for meeting our nuclear buildout and climate goals. 

    Ukraine and Russia We’re directly focused on how to build resilience through this winter.  Vladimir Putin has sought to weaponize the winter and to use the winter as a tool to break the will of the Ukrainian people.  I know he will fail.    This is why we have the G7+ coordination group, to mobilize resources.  The United States has already brought to bear more than $520 million in energy sector assistance to Ukraine.  We know that we have another $500 million in the pipeline, and we are using these resources both to address short-term needs – so sourcing new transformers, new generator capacity to rebuild what Putin has destroyed – but also working very, very closely – and this was a huge part of my conversation with Deputy Prime Minister Svyrydenko and with Minister Halushchenko – to help support the Ukrainian Government’s own vision for building a future energy system which is green and resilient and fully integrated with Europe.  And I will say, as somebody who has spent a lot of my career working in and around Ukraine, it is so deeply impressive to see the determination of the Ukrainian people to build back better and to ensure that the future energy system that Ukraine is investing in is fully aligned with Ukraine’s expectation to become a member of the European Union.  And in that regard, I was also delighted, like all of us in the administration, to see the clear signals recently from EU President von der Leyen on Ukraine and Moldova’s EU accession processes, and we are going to be partners in that effort every step of the way.    And I’m also quite heartened by the fact that the European Union is stepping up on these same issues.  My principal deputy, Laura Lochman, was in Warsaw earlier this week for the ReBuild Ukraine conference – hosted by Poland but jointly with the energy ministry, and supported by American companies like GE.  So everybody is trying to look to both getting through this winter but also, critically, what it looks like the day after – after Ukraine’s victory – and how we help Ukraine to build the kind of energy security that your citizens so richly deserve. 

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    Modernization of Ukraine energy sector
    So let me break that into three quick points.  One is I think the American people are with Ukraine, and I say that based on my discussions with Congress, my discussions around the world.  We have an important budget debate that has to unfold right now.  The White House and the administration have been very clear on this, and I was really proud to be up before the Senate last week jointly with my counterpart Jim O’Brien from the European Bureau, but also, critically, my partner Erin McKee, who is the USAID assistant administrator for the region.  What I heard from Republicans and Democrats in that engagement was continued commitment to Ukraine and an understanding of the national security stakes that we have in Ukraine’s success, and also an understanding that in the context of this war with Russia, energy is just as much part of the Russian arsenal as are the drones that Putin is raining down on Ukrainian cities.  So we do need to move ahead in that area.  We are also very encouraged by what we see from the European Union, and as I said before, the Senate.  The volume of energy sector assistance from Europe has exceeded that that the United States has provided, so our European allies are carrying their load.  Japan is another example.  Japan has been a fantastic partner and a fantastic leader on these Ukraine issues, something that I discussed at that dialogue at Stanford that I talked about.  And then finally, I would make the point that in the energy sector especially, the private sector and private companies are going to be playing an absolutely vital role.  I was discussing that just today with the President’s special envoy for Ukrainian reconstruction, former Secretary of Commerce Penny Pritzker.  My team is doing everything we can to support her in helping to lay the foundation for that private sector revival and that private sector interest.  I mentioned GE’s presence at the ReBuild Ukraine conference just now.  We’re very grateful for the role that GE Vernova has played as part of this larger effort.  But there are many other U.S. energy companies that I talk to regularly on Ukraine, issues that are looking to support and are looking to be part of the construction of this new European energy system that I talked about. 

  • ‘Nigeria can solve energy challenge with renewable sources’

    ‘Nigeria can solve energy challenge with renewable sources’

    • By Esther Uyor

    Nigeria can solve its seemingly intractable energy challenge by exploiting its vast potential for renewable energy, which is currently underutilised.

    Experts who spoke at a virtual dialogue organized by the Renewable Energy Association of Nigeria (REAN), agreed that Nigeria has enormous natural resources to develop substantial renewable energy base to meet its energy demand. The theme of the virtual dialogue was “Harnessing Renewable Energy Potential to Tackle Energy Poverty in Nigeria”.

    Chief Executive Officer, Powerup Renewables Limited, Mr Chidi Obike said Nigeria is not only one of the most populous countries in Africa, but it also has the largest economy on the continent.

    According to him, with a rapidly growing population, there is a high demand for energy services, which presents a great opportunity to develop the country and tap into its natural renewable energy resources, promoting low carbon economic growth.

    He highlighted the major renewable energy resources in Nigeria, such as solar power, which has an estimated potential of 210,000 megawatts according to Arena, hydro power with potential of at 24,000 megawatts as well as waste-to-energy. Current solar deployment stands at around 50 megawatts.

    He noted that Nigeria has been dealing with extremely unreliable and insufficient power supply from the national grid for over four decades.

    “Solar power is the most practical solution to this significant power issue. It is the most affordable power source, can be quickly deployed, and can be used on-site when needed,” Obike said.

    He however noted that the Nigerian government has realised the importance of utilising the country’s abundant renewable resources, especially solar power, to establish a sustainable energy system.

    “To achieve this, the government has developed strategic policies and laws, such as the Energy Transition Plan and the Electricity Act 2023. These initiatives include provisions like feed-in tariffs, a rural fund for renewable electricity projects, and a renewable energy purchase obligation for bulk power traders. The Act also simplifies the licensing process and reduces fees for renewable energy projects. Additionally, it allows for the decentralization of Nigeria’s power system, enabling state governments to generate, transmit, and distribute power within their states,” Obike said.

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    He expressed optimism that the implementation of the Electricity Act would position Nigeria as a leader in renewable energy, while also addressing electricity supply issues and mitigating the impacts of climate change.

    Chief Operating Officer, Solar Sister, Mrs. Olasimbo Sojinrin, noted that energy poverty disproportionately affects girls and young women, impacting their education and economic development.

    She explained that the birth of Solar Sister was driven by the desire to empower people to access energy and thrive.

    She emphasized the importance of climate action, which is often overlooked noting that every country is focused on achieving net zero emissions and mitigating carbon emissions.

    “Renewable energy is the way forward to combat pollution and preserve our ozone layer. We need to change our behaviors and embrace clean energy solutions,” Sojinrin said.

  • BOI closes financial gap in renewable energy investment

    BOI closes financial gap in renewable energy investment

    Managing Director, Bank of Industry (BOI), Dr. Olasupo Olusi yesterday called for the need to close the financing gap on global surge in renewable energy investments, energy-efficient projects, sustainable infrastructure, and other environmentally friendly initiatives.

    Olusi made this call at the Joint International CEO Forum 2023 in partnership with African Financial Alliance on Climate Change, Making Finance Work for Africa, African Development Fund, Financing Sustainable Development in Abuja, as he states that the  institutions should be resilient enough to attract affordable long-term finance through which it can implement green projects.

    According to him, “At BoI, we are very active in resourcing climate-friendly funds, including the recent credit line of 100 million Euros secured from the French Development Agency (AFD) for the expansion of green finance in Nigeria.

    The bank is also currently implementing an on-lending financing scheme through local financial institutions to support customers interested in adopting clean energy solutions.

    “We will continue to seek funding partners to complement our climate change agenda. We must also make Stronger Climate Commitments. To outpace the far-reaching effects of climate change, we as DFIs need to accelerate our own progress and increase our climate ambition. We need to hold ourselves accountable to commitments that are backed up with action.”

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    “The Bank is also signatory to the World’s foremost sustainability frameworks and are committed to mobilizing finance for sustainable development. Tapping into Our Renewable Energy Powerhouse Potential, several emerging economies have a huge potential for renewable energy and clean hydrogen due to our natural resources, bio-diversity and youthful population”.

    Chief Executive Officer, Citizen Entrepreneurial Development Agency Botswana (CEDA), Thabo Thamane said reports predict that if strategic actions are not taken to combat climate change, the world economy will lose more than 18 per cent of its current GDP by 2048, and the least developed countries, particularly those in Africa, Asia-Pacific, and Latin America, will suffer the worst consequences.