The Nation Newspaper

Tag: LPG

  • Nigeria needs 2000km gas pipelines, says NNPC

    Nigeria needs 2000km gas pipelines, says NNPC

    Nigeria will require over 2000kilometres of pipelines between this year and 2019 to ensure the optimal distribution of gas to the power plants for power generation, the Nigerian National Petroleum Corporation (NNPC), has said.

    The state-run oil firm, in a report titled: “Nigerian gas sector-overview of investment opportunities”, a copy which was made available to The Nation over the weekend in Lagos, noted that adequate and regular gas supply was vital to the supply of stable electricity in the country.

    According to the report, the country needs about 1000 kilometres of oil-related pipelines to encourage growth.

    The report said: “Over 2000kilometres of gas pipelines and about 1000kilometres of oil-related pipelines will be required over the next three to six years in Nigeria to facilitate the industry growth and the economy in particular. Nigerian Content Act supports the fabrication of the pipes locally since it would help in promoting indigenous manufacturers of oil and gas facilities.’’

    It said local firms can co-invest in pipe mills and other related pipe services, such as pipe coating, adding that it is a good investment opportunity for firms, adding that pipe mill capacity is huge in Nigeria and could accommodate as many firms as possible.

    According to the report, the investment scope is wide in the Liquefied Petroleum Gas (LPG) sector for firms that are ready to invest in it.

    The report read: “Companies can invest in LPG Storage Facilities, Jetties and Loading Bays. Other investment opportunities include Bottling and Distribution Networks such as filling plants, LPG Trucks and LPG Bottles etc). Also, domestic and industrial burners and other accessories are some of the investment opportunities in the sector.’’

    The President, Nigerian Liquefied Natural Gas Association, Mr Dapo Adeshina, said the need to build enough gas pipelines is imperative for the industry’s growth, adding that the development will help in boosting the growth of the product in the country and even beyond.

    He said the initiative is good, capable of fast-tracking the growth of oil and gas sector. He said the government ought to have embarked on the construction of gas and oil pipelines before now. Problems such as shortage of gas to power turbines, he said, would not have arise had it been the government has provided the much-needed infrastructure in the sector.

  • Adopting LP gas as cooking energy of choice

    Adopting LP gas as cooking energy of choice

    As countries of the world sustain the ambition to find cheaper, cleaner and yet efficient alternative sources of energy, Nigeria cannot remain an onlooker rather the country should spearhead this change in the African continent.

    While the western economies headed by the United States of America are ever determined to broke the enormous power wielded by the Organisation of Petroleum Exporting Countries (OPEC) and its member nations, Nigeria’s search for alternatives must begin from reducing to the barest minimum subsidies on existing petroleum products which the nation produces in abundance.

    One of this area where the country spends huge resources in subsidy is kerosene. In spite of conflicting figures on how much is spent annually as subsidy for kerosene, authentic figures from the Pipelines Products Marketing Company (PPMC) indicates that the country on average spends close to N345 billion on DPK (kerosene) annually.

    Unfortunately, Nigeria produces a massive 3 Million Metric Tonnes of Liquified Petroleum Gas (LPG) per annum and there exists a government policy over the years to give equal and adequate attention in promoting local consumption of LPG which has not received as much attention as it should.

    With a huge gas reserve of 187tcf, the country has no excuse expending so much resource as subsidy for kerosene, rather government and its agencies should intensify effort at implementing existing policies concerning LPG and support this with the prerequisite awareness campaigns that will make this policy see the light of day and fully establish the country as a gas province.

    Ironically, because of the citizens’ die-hard attachment to the use of kerosene as a source of cooking energy, this globally acknowledged high production capacity in LPG has not translated into a cost saving product for the country.

    In fact, Nigeria still ranks the lowest among African countries on the per capita LPG consumption at a paltry 1.1kg in the continent.

    This poor utilization of LPG in the country is despite several intervention efforts that have been made by various segments of the society – public and private, to enhance the consumption of LP GAS in the country.

    Private Organizations like Gas To Health Initiatives, Oando PLC, TechnOil Ltd., and the Lagos State Government have through their sustained campaigns led to increase in consumption of LPG.

    This increase is still marginal as only last year did the country witness substantial increase by as much as 36.8% from an earlier 125,000MT to 171,000MT.

    It is encouraging to note that so far, consumption of cooking gas (LPG) in the country has exceeded 150,000 metric tonnes per annum (MMTPA), more than doubling the demand five years ago.

    There is no doubt that this growth in consumption may have been a direct effect of the publicity efforts embarked by the various groups and stakeholders in the sector.

    However, the consumption has not matched the various projects that has been put in place to enhance the supply and distribution of the product like the rehabilitation of the PPMC Butanization plants strategically located across the country in Ibadan, Lagos, Ilorin, Enugu, Kano, Gombe, Makurdi and Gusau.

    Added to this, the rehabilitation of most of the abandoned LP Gas plants across the country has ensured that Nigeria presently can boast of over 250 functional LP GAS plants in the country.

    The result of these efforts is that in July this year, Nigerian Liquified Natural Gas Company announced an increase in the quantity of LPG (cooking gas) it supplies to the Nigerian Market from 150,000 metric tonnes to 250,000 metric tonnes.

    As commendable as this new figure may be, it is still far from the Nigerian government’s aspiration of a per capita LPG demand of 3.7kg which is still miserly when compared to LPG consumption rate in other developing countries like Brazil and Indonesia which have successfully implemented Kerosene to LPG switching programmes in 56 million and 54 million homes, respectively.

    It is worthy of note the major barriers to achieving the desired LPG growth in Nigeria include poor infrastructure development like receiving jetty facilities, inadequate in-country shipping capacity, poor road conditions, inadequate storage and distribution facilities.

    Other factors that have hindered the switch range from the Kerosene subsidy which has made cost of LPG appear higher, high cost of cylinders and appliances, low income of larger number of the population, low public awareness of LPG as a suitable fuel for domestic cooking and its safety.

    And most critical of all the barriers is the lack of a sustainable focused Government policy and enabling framework on LPG development in the country.

    These barriers can be mitigated with a clear government policy with the objective of developing LPG utilization in Nigeria; corporate and government adoption of the kerosene to LPG programme as a means of reducing the huge subsidy on kerosene; a strategy of providing sufficient small cylinders and appliances for the rural and urban poor through a pilot scheme to increase LPG use in selected LGAs across the country.

    Other measures to bring LPG into the people’s homes and cooking places should include the provision of small skids for LPG storage and filling units attached to selected fuel stations or strategically safe locations.

    A deliberate and sustained LPG campaign outlining its benefits and safety practices, providing regulation to promote LPG business and ensure adherence to safe practice to ensure safe handling, outright removal of VAT on domestic LPG as well as Import Duties on Cylinders and its appliances, ensure sustainable supply and accessibility to all market segments, and expand the storage facilities as the consumption of LPG increases.

    It is worthy of note that if each of Nigeria’s Parliamentarian (109 senators, 360 Representatives) and 37 Governors would as a matter of social responsibility partake in the LPG development scheme by way of donating at least 1,000 (6kg or 3kg cylinders) to their constituency, on the average, Nigeria would have injected about 506,000 (6kg/3kg) cylinders into the market at once.

    And if a household consumes 12kg of LPG in a month, therefore a household will averagely consume 144 kg in one year. With the introduction of 506,000 (6kg/3kg) cylinders into the market this will automatically increase the number of cylinders currently in circulation by at least 25%.

    Although this figure appears marginal, but converting new users and contributing to LPG growth is key and this will have a spiral effect on the conversion of new users.

    Indeed, there are tremendous advantages that awaits the country, its citizens and businesses with increased usage of LPG in the domestic market.

    This will help reduce environmental hazard; create employment from new business opportunities; reduce respiratory health problems attributable to wood smoke and reduce poverty, among others.

    Government must rise to the occasion and galvanise the various agencies of the state to mount a campaign for this shift while partnering with the private sector towards creating a new attitude that will encourage the adoption of LPG thereby saving more revenue from the existing subsidy on kerosene.

    Ifeanyichukwu, a public analyst wrote from Lagos

     

  • Kerosene price may go up over cooking gas scarcity

    The scarcity of Liquefied Petroleum Gas (LPG) (cooking gas), a fallout of the disagreement between Nigerian Maritime Administration and Safety Agency (NIMASA) and Nigerian Liquified and Natural Gas (NLNG) may push up the price of kerosine.

    The President, Nigerian LPGas Association (NLPGA), Dayo Adeshina, said the face-off between the two government agencies was grounding activities, especially in the LPG sub-sector.

    He said if the scarcity continued it may result in the price of kerosene going up to N250 per litre. The demand for kerosene, he said, increased because of the scarcity of LPG.

    “We may not appreciate the enormity of the situation we have on our hands now, until we get to a time the problem gets out of hand. The truth is that by the time LPG depots are dried up, consumers of cooking gas will have no other option than to depend on kerosene for their cooking. So, as the demand for the product increases, the price of the product will go up, too, according to the law of demand.

    “So, with the product being sold currently at N130, consumers may yet pay as much as N250 or more for a litre as the current scarcity of cooking bites harder.”

    He said the three LPG terminals in Lagos, including PPMC, Navgas and NIPCo, had dried up as the vessel, Gaz Providence, which was to supply them the product, has been detained and prevented from berthing.

    Adeshina said the development was not healthy for the industry and the economy as the crisis, if not addressed, may worsen the scarcity even after the vessel is released and allowed to discharge its content.

    “Just as we seek the immediate release of Gaz Providence, we will also like to implore the government to intervene so that the two warring parties can sheathe their sword in the interest of the country. This is because the vessel being detained is a 9,000 tonnes capacity one, despite the monthly consumption being over 12,000 tonnes.

    “So, what this means is that even if the vessel is released today, it would only be able to meet consumption for no more than one month. By this it means that if the standoff between NIMASA and NLNG is not resolved before then, we may be going from a bad-to- worse situation.

    Adeshina said the call for the release of the vessel was not borne out of sentiments but sound reasoning as the owners of the vessel had paid necessary fees.

    “This is not about taking sides between the two parties, but about following sound logic.We believe nothing stops NIMASA from releasing the vessel even while it pursues its case with NLNG.This is because the owners of the vessel have paid all statutory fees and so should be allow to discharge the contents of the vessel for onward supply to terminals and depots,” he said.

  • Lagos LPG to get supply from NLNG, NIPCO

    The Lagos State liquefied petroleum gas (LPG) known as ‘Eko Gas’, which is being run in partnership with private sector operators, will get supply from the Nigeria Liquefied Natural Gas Limited (NLNG), it was learnt.

    This is to guard against supply of substandard LPG also called cooking gas, to consumers.

    Chairman, LPG group of Lagos Chamber of Commerce and Industry (LCCI), a partner in the project, Omo’ ba Bambo Ademiluyi, said all safety measures had been taken into consideration. He spoke against the backdrop of the alleged substandard LPG in circulation and explained that the partnership was aware of supply of high propane content LPG, which is dangerous considering the obsolete and substandard gas cylinders in the system.

    He explained that even though the LPG (cooking gas) with high propane content is mostly distributed in the North because it is supplied from Niger Republic, the safety measures factored into the Eko Gas project is tight.

    He said all the LPG that would be supplied to Eko Gas would come from NIPCO and Nafgas facilities. The two firms get their supply only from the NLNG. “Therefore, the issue of supply of product with high propane content will not arise,” he added.

    He noted that the companies that would supply the cylinders will be member-firms of the chamber to ensure that the integrity of the cylinders is guaranteed.

    Ademiluyi said: “We are mindful of the LPG in circulation, and the utensils that are being used to take LPG from the filling plants to the homes. We are aware and also Standard Organisation of Nigeria (SON) and the Department of Petroleum Resources (DPR). We are all aware that a lot of these cylinders are very old and a lot of the new ones are substandard. However, for this scheme, the people that will be supplying all the cylinders, utensils, and skid plants, among others, are members of LCCI, their companies will not cut corners. They are all registered with the DPR, they have certification for their imports and we don’t expect anything untoward.

    “As regards high propane content LPG, it is predominantly circulated in the north, because it comes from Niger Republic. The two plants where we will be taking LPG from for this key project are NIPCO and Nafgas. Those two facilities don’t take LPG from anywhere except NLNG. Therefore, the integrity of this scheme is tight. One of the key things taken into consideration is safety because a single explosion of cylinder can bring the scheme down.

    “We have also designed an elaborate awareness creation programme for the scheme to educate people on the need to convert to use of LPG.”

    Lagos State Commissioner for Energy and Mineral Resources Taofeeq Tijani, said Eko Gas project, which was rolled out last week is approved by the Executive Council (Exco).

    He said: “The chief executive of the state is backing the initiative because the product is efficient, safe, support the environment and will be a benefit to the people.

    “The Ministry of Energy and Mineral Resources has got approval from the governor and executive council of Lagos State to adopt LPG as the fuel of choice for Lagosians. Having got the approval, we have worked with all stakeholders particularly the LPG Group of LCCI, those involved in LPG cylinders and products marketing. We have worked out the formula on how we will inform Lagosians on how we will distribute affordable cylinders and all the places the products can be obtained.

    “LPG skid tanks will be built in strategic locations for easy access of the product by consumers. The product will be launched in Surulere today. It is an opportunity for Lagosians to convert from use of kerosene, charcoal, and firewood to a cheaper, safer, cleaner and more reliable fuel.

    “Why we embarked on the initiative is because LPG is used worldwide as fuel and Nigeria produces the product in large quantities and most of our refineries have LPG as a by-product. International oil companies particularly NLNG and ExxonMobil, among others produce it. NLNG dedicated 150,000 metric tonnes to be used in Nigeria but as I speak, Nigeria is the largest supplier and lowest consumer of the product in Africa. The 150,000MT is still available and Nigerians are yet to consume up to that volume.

    “Therefore, part of this initiative is to work with all stakeholders to fully utilise consumption of this volume and more. We are also looking at companies that have built storage tanks in Lagos, NIPCO 4,000MT, Nafgas 8,000MT, Pipeline and Products Marketing Company (PPMC), a subsidiary of Nigerian National Petroleum Corporation (NNPC) 4000MT. These storage facilities will help us move the products from where it is produced to demand centres in Nigeria.”

  • ‘Retailers not liable for off-spec cooking gas’

    The Liquefied Petroleum Gas Retailers Association of Nigeria (LPGARAN) has absolved its members of marketing off-specification liquefied petroleum gas (LPG), which the group referred to as Niger gas.

    They condemned some unidentified persons who used the social media network to accuse their members of selling the gas to Nigerians.

    The National President of LPGARAN, Michael Chika Umudu, and the National Secretary, Ayobami Olalekan Olarinoye, said that the dissemination of such information by some competitors was aimed at discouraging members of the public from patronising LP Gas, which is also known as cooking gas.

    The group was accused of selling cheap but dangerous high-propane cooking gas allegedly imported from Niger Republic in their retail shops but absolved owners of LPG refilling plants. “The information is intended to scare members of the public away from gas retailers in order to achieve the selfish ends of its authors who doctored a story by the media and disguised under it. It is untrue and should be disregarded,” the group said.

    On how the problem started, LPGARAN explained that the two major elements that make up LPG (cooking gas) are propane and butane. Propane, they said, has high pressure but it is about 45 per cent cheaper than butane, which has low pressure but very costly. The requirement by the Standard Organisation of Nigeria (SON), the group said, stipulates that butane and propane should at least be mixed on equal measures of 50 per cent each.

    SON’s prescription of 50-50 mixture of propane and butane, LPGARAN said, was based on the hot weather and the state of most of the gas cylinders in Nigeria, which are aged and unsuitable for LPG with high propane content. Because propane exerts much pressure on the cylinder, aged cylinders such as the ones used in Nigeria, are very susceptible to explosion. To be on the safe side, SON directed that marketers import LPG with more butane content or at least with 50 per cent each of butane and propane but some marketers disregarded this and continued to import LPG with high proportion of propane.

    According to LPGARAN, the former President of National Association of LP Gas Marketer (NALPGAM) had condemned the continued importation from Niger Republic of LP Gas with very high proportion of propane, highlighting the danger in such products but dishonest competitors chose to accuse retailers.

    LPGARAN said: “The Niger gas is a very high pressure LP Gas which is capable of causing incessant explosion of cylinders, pipes, and rubber hose. Indeed, there is increase in reported incidents of explosions since some LP Gas depot operators began to import the gas about two years ago.

    “LPGARAN for about two years now has been raising the alarm on the danger that Niger Republic gas poses to members of the public and market operators. The association has reported this to the Nigeria LP Gas Association (NLPGA) led by Alhaji Awalu Ilu. LPGARAN has been calling on LP Gas plant operators to stop patronising the depot owners who import the Niger gas because gas retailers buy their gas only from gas plant operators and not from depots.

    “Just early this year, February 7 and 8, the Standard Organisation of Nigeria (SON) hosted LP Gas Technical Committee Meeting in Lekki, Lagos, with priority on quality of LP Gas. Umudu and Olarinoye condemned the continued importation of the Niger Republic gas and demanded that regulatory agencies only allow for production and importation of LP Gas with lowest possible propane content. We specifically demanded for not more than 20 per cent propane and not less than 80 per cent butane.”

    Umudu said the debate on this particular issue took more than 50 per cent of the time spent in the two-day event. Virtually all major stakeholders including NLPGA, LPGARAN, NALPGAM, SON, DPR, NNPC, PPMC, Local Refinery managements as well as depot owners and representatives of LP Gas engineering companies were present at the meeting. At the end of the meeting, he said it was agreed that only LP Gas with low propane content should be allowed for domestic related consumptions. Regulatory agencies were consequently asked to streamline and enforce the decision.

  • Operators meet to enhance Nigeria’s LPG consumption

    Operators and other stakeholders in the gas sector of the petroleum industry met in Abuja to brainstorm on how to boost consumption of liquefied petroleum gas (LPG) also called cooking gas.

    The stakeholders, according to a statement, made efforts to fashion out strategic policies that will aid rapid growth in domestic LPG consumption in the country. The policies include forms of awareness creation on the benefit of LPG usage and best way Nigeria can rapidly develop the market.

    The meeting, which was co-sponsored by NIPCO, an indigenous downstream operator in the oil and gas, articulated a policy paper on domestic LPG usage, which would be submitted to the Federal Government for consideration in order to develop a viable and thriving LPG market.

    Managing Director, Nipco, Mr Venkataraman Venkatapathy, who spoke at the summit, said his company supported the meeting as part of its conscious initiative of deepening the LPG market through a well articulated policy for the benefit of all stakeholders.

    The company, he noted, had over the years put in place a massive 4,500 MT LPG storage facility and supported plethora of events for stakeholders to deepen the domestic gas market.

    The Managing Director recalled scores of joint sponsorships and sole campaigns undertaken by the company aimed at boosting LPG use as cooking gas and vehicular fuel, citing the LPG summit organised by the Senate, Federal Ministry of Environment auto gas fuel exhibition, Cooking gas Awareness programme organised by Lagos Chamber of Commerce and Industry (LCCI), among others.

    According to him, these initiatives are primarily to provide veritable platforms for a sustained campaign on the economic and environmental benefits of LP gas against the backdrop of the abundant gas resources in the country.

    He reiterated that Nipco is not in the LPG business as an investor alone but as a corporate entity desirous of availing the populace the benefits of using gas with the introduction of its three and six kilogramme cylinder with single burner stove.

    Venkatapathy explained that as part of the company’s conscious resolve to improve access to gas, LPG skid are being deployed to major cities across the nation using some of the company’s branded outlets.

    The skid, which is akin to a mini- gas station, he noted, offers dual purposes. He said it can be used to refill for domestic gas cylinders and refuel vehicles using LPG as auto fuel with its attendant economic and environmental benefits.

    He assured stakeholders of the company’s interest in increasing gas infrastructure in the country as epitomised in its investment running into billions of naira in the sector.

    The NIPCO chief commended the Ministry of Petroleum Resources for its vision for the sector and its assertion that LPG remains one of the veritable engines for economic growth of the nation in line with the gas master plan.

    He also commended the efforts of the leadership of the Nigerian LP Gas Association (NLPGA) for its various advocacy initiatives, which largely brought about the strategic policy discussed at the two-day conference.

    The summit was declared open by the Minister of Petroleum Resources, Mrs. Diezani Alison- Madueke and handed over 100 participants, who agreed that even though LPG use is a critical component of the gas master plan, there is still need for a policy document to harness gas resource and deepen its domestic use, especially as cooking fuel.

    Executive Secretary, Petroleum Products Pricing Regulatory Agency (PPPRA) Mr Reginald Stanley, who also facilitated the conference, urged all stakeholders to take keen interest in the policy document with a view to finalising it before the end of January 2013 preparatory to its submission to the Federal Government for approval.

  • SON to enforce LPG cylinders requalification

    Hard times await importers and marketers of substandard and old Liquefied Petroleum Gas (LPG) cylinders as the Standards Organisation of Nigeria (SON) and other stakeholders are set to enforce the implementation of requalification programmes for LPG cylinders to enhance safety for the users.

    The regulatory agency dropped the hint at the Second Nigeria Liquefied Petroleum Gas Association (NLPGA) Conference in Lagos entitled: “The Cylinder: A vital tool for LPG growth in Nigeria.”

    Head, Metrology Department of the agency, Obiorah Manafa, who spoke on the enforcement and protection of the LPG sector with emphasis on cylinders, revealed that plans are afoot to constitute a technical committee comprising members from all sectors to develop a framework for the workability of the requalification scheme.

    He noted that the situation in the country where cylinders are either imported or produced locally and sold to users without any programme for their maintenance and requalification by marketers is not healthy for the industry and the country.

    He said the absence of such programme had caused more substandard and old cylinders of 15 years and above to be in circulation in the country, a development responsible for the safety issues that LPG has had to contend with over the years.

    Citing the cases of China and India where requalification is working, he said it would be advisable for Nigeria to adopt the China’s model where cylinders are owned by individuals unlike India were cylinders are owned by marketers.

    He, however, tasked stakeholders including plant owners, marketers and retailers to cooperate for the programme to succeed in Nigeria.

    He listed some of the benefits of requalification of cylinders to include enhancing safety of lives and properties in the industry, creating more confidence in the minds of the users, boosting the LPG business and providing more business for indigenous cylinder manufacturers as well as eliminating most of the sub-standard and old cylinders from circulation.

    President, Alhaji Auwalu Ilu, said the focus of this year’s conference on cylinders was apt because Nigeria uses LPG mostly for domestic purpose.

    He said until recently, most cylinders were unbranded and owned by the consumers hence bestowing upon them the responsibility of ensuring that the cylinders are fit and safe for use.

    He added that because consumers lack idea on the maintenance and requalification of cylinders, they see nothing wrong in purchasing second hand cylinders.

    He noted that the association is about to review the LPG standard with SON as a result of the safety challenges that were observed with the imported LPG from Niger Republic.

    Speaking on opportunities, which Nigeria stands to realise by switching to LPG, Yomi Awobokun, Managing Director, Oando Marketing said a large portion of the $1.1b investment required is to be gained in exports of the gas and its cylinder.

  • ‘Oando’s LPG programme can save Nigeria N5b yearly’

    ‘Oando’s LPG programme can save Nigeria N5b yearly’

    Oando Marketing PLC’s Liquefied Petroleum Gas (LPG) programme, under which the company introduced OGAS 3-kilogramme cooking stove for low income households, is capable of solving the perennial problem of deforestation in Nigeria.

    This was one of the high points of the presentation and discussion during an Oando/ACCESS AFRICA – Agriculture, Climate Change and Entrepreneurship Support Services summit in Abuja, which has as theme, ‘LPG as a climate control tool in Africa: The Sustainability Agenda.’

    According to the discussants, the clamour for the use of LPG for cooking was premised on the fact that it would check uncontrolled felling of trees for firewood, with its attendant deforestation and indoor air pollution consequences.

    This year’s summit, the first edition, which was chaired by a former First Lady and Founder, Women’s Right Advancement and Protection Alternative, (WRAPA), Justice Fati Abubakar, noted that over 90 per cent of households in Nigeria use firewood or Kerosene despite harmful effects.

    The summit acknowledged that though deforestation was a global challenge, it noted that a situation where three million cubic feet of wood was cut annually for firewood in a country, which ranked as sixth largest producer of natural gas in the world was unacceptable.

    Chief Executive Officer, Oando Marketing PLC, MrYomi Awobokun, in a lead presentation, remarked that “annually, the country spends about N5billion to tackle desertification through the national afforestation programme. This cost is avoidable.

    “If the government at all levels adopt the use of LPG as the preferred cooking fuel, and avail the people, especially those in rural Nigeria, an affordable cooking stove like the OGAS 3-kg stove, we will be making tremendous saving that can be committed to other important areas of our national life”.

    Citing statistics from relevant national and global bodies, the Operations Director of Access Africa, Mr. Jerome Okolo in his presentation, said Nigeria lost 55.7per cent of its primary forests between 2000 – 2005.

    With the country also losing 351,000 hectares of landmass to desert encroachment, according to statistics, Okolo said the rationale behind the proposal for a switch from firewood to LPG was also to save the country from drought.

    He stated that the N760billion spent annually on kerosene by the Federal Government , is equivalent to 16 per cent of the country’s annual capital budget, adding that Nigeria requires only an estimated 20million cylinders to switch from Kerosene to LPG, thereby saving the government over N760 billion annually.

    The Oando’s initiative, which brought together many national and international stakeholders, including the British Department for International Development (DFID) to mobilise commitment towards the adoption of LPG as the preferred cooking fuel, was a boost to the United Nations collaborative programme on Reducing Emissions from Deforestation and forest Degradation (UN-REDD) in developing countries.

    Oando plans to switch 5million homes from the use of dirty cooking fuels to LPG, a clean, safe, convenient, environmentally healthy, and affordable cooking fuel option through its OGAS 3kg initiative to address the menace of deforestation and other problems associated with the use of dirty fuels.

    UN-REDD programme is a global effort anchored by the United Nations to reduce emissions from deforestation and forest degradation. Nigeria is one of the 46 partner countries of the UN-REDD programme across Africa, Asia-Pacific and Latin America and the Caribbean.

    The programme was launched in 2008 and builds on the convening role and technical expertise of the Food and Agriculture Organisation (FAO) of the United Nations, the United Nations Development Programme (UNDP) and the United Nations Environment Programme (UNEP).

    The programme supports nationally-led REDD+ processes and promotes the informed and meaningful involvement of all stakeholders, including indigenous peoples and other forest-dependent communities, in national and international REDD+ implementation.

    Nigeria’s Minister of Environment, Hadiza Ibrahim Mailafia, said the UN-REDD Programme’s invaluable support has enabled the country “to leap-frog from observer to full REDD+ participating country”.