Infrastucture Energy Infrastructure Low Carbon Energy DDPaper 26072011 Eke
Infrastucture Energy Infrastructure Low Carbon Energy DDPaper 26072011 Eke
Infrastucture Energy Infrastructure Low Carbon Energy DDPaper 26072011 Eke
Abstracts Nigeria energy security goals are faced with the challenges of large infrastructure development in this era of low carbon economy which requires development of a portfolio of low carbon energy technologies for the electricity and transport markets. Low carbon energy comes from sources that produce lower greenhouse gases than do traditional means of energy generation. These energy generation techniques emit significantly less carbon dioxide than a traditional fossil fuel power plant. Integrating low carbon energy resources into our energy system presents challenges. However, these barriers will need to be addressed if we are to accelerate the development of right energy mix. If a low-carbon energy economy is possible, the big question is how we get there from here considering our current energy predicament. The road ahead will be long and expensive, but it has become essential that Nigeria should get the redesigning of new energy system and infrastructure right. A successful transition will nonetheless require a powerful combination of government policy changes, steady technological progress, and the rechanneling of private investment. The paper presents technologies and infrastructures that are cost effective and will help us meet the desired energy security goals. The paper will attempt to bring Diaspora success story home to integrate into transformation agenda by presenting case studies around the world and proof of adaptability to Nigerian context. Introduction In some cases, the surprise element is only a matter of timing: an energy transition, for example is inevitable; the only questions are when and how abruptly or smoothly such a transition occurs. An energy transition from one type of fuel (fossil fuels) to another (alternative) is an event that historically has only happened once a century at most with momentous consequences. -US National Intelligence Council 2008. Nigeria like the World Bank Group should envision a transition from traditional to modern energy (low-carbon energy) use for poor households that go hand in hand with efficient and environmentally sustainable supply and use of energy, greater choice of energy services for consumers, and macroeconomic and fiscal stability. It is certain that we live in carbon-constrained world which requires immediate transition to handle the dynamics affecting availability and demand for hydrocarbons as we put sustainability of our environment in the center stage via the international climate change mitigation
agenda. This agenda calls for all hands to be on deck to tackle major components such as renewable energy transition, carbon legislation, and the new risks emanating from technological change and climate instability. Historically, energy security has been understood as defence against supply disruption and price instability. Within this mindset, protecting the status quo is paramount. Yet dynamic trends, including the sharp rise in demand from newly industrialising economies, carbon-dioxide (CO2) induced global warming and the growth of alternative energy technologies, mean that protecting traditional energy practices will make us far less secure, and less competitive, in the future (Froggatt and Lahn 2010). This is in addition to the threat that climate change poses to energy infrastructure. These are not issues for the energy sector alone but challenge to entire humanity. Reducing the impacts of the use of energy has been described as one of the key technical, political and moral challenges facing the world today. Fossil-fuel combustion produces CO2, which is a major greenhouse gas. Society now consumes approximately 13 TW (1 TW = 1012, W = 3.2 EJ/year) of energy worldwide, and approximately 80% of that comes from burning fossil fuels (Goldemberg and Johansson 2004, Eke et al. 2011). Kaya (1995) suggests that there is a direct link between net CO2 emissions (indicated by carbon C) and human population (P), economic development (indicated by the gross domestic product (GDP), energy production (E), and carbon-based fuels used for energy production (F). This was modified by Hoffert et al. (1998) to include CO2 sinks (SCO2); hence, C is expressed . . . . . . . . . . . . . . . . . . . . . . . . . . . (1) This relationship shows that the forces that drive the increase in anthropogenic CO2 emissions are population increase, per capita GDP (also known as affluence level), the energy intensity of the economy (E/GDP), and the carbon intensity of the energy system (F/E). The term E/GDP reflects the sectorial makeup of the economy (i.e., how much energy-intensive industry is present), climate effects (i.e., how much heating and/or cooling is needed), and the energy efficiency of the economy (Bachu 2008). As worldwide demand for Energy rises in the face of the current global climatic change, economic crisis and ever increasing environmental constraints, a critical evolution of practicable adaptation schemes for promoting sustainable energy mix and exploitation of fundamental resources is crucial. In an era where global energy demand as a result of increased population growth, industrialization and urbanization is currently placing severe pressure on available sources of energy, the result has been dramatic increase in energy prices and climate change. Despite this huge energy consumption, technological and economic advances, some two billion people are still without electric light. Fossil fuels will inevitably continue to be a major energy source for decades to come, as global population and energy demand is growing rapidly, particularly in developing economies such as Nigeria, China and India, with no
absolute reduction in established emitters such as the USA or the EU (Figure 1). The trend in this figure suggests that liquid fuel, coal and natural gas will continue to dominate energy use but natural gas remains best low carbon energy source option.
Figure 1. World marketed energy use by fuel type (EIA-IEO10) These huge fossil-fuel consumptions directly translate to massive CO2 emmissions and Carbon capture and storage (CCS) pose an important element in transition to low carbon economy (Eke et al. 2011). CO2 emissions are directly linked to climate change which creates many risks and uncertainties for society and industry. Moreover, scientific evidence indicates ever more forcefully that human use of energy is upsetting planetary systems, with consequences that could be catastrophic. The way we manage energy worldwide is creating serious problems for climate and energy security. Anticipated disruption around energy, water and other critical natural resources pose new political, economic and human security challenges. We know that to keep global warming to 2C above historical levels require a stepchange in the way energy is produced, transported and used (Froggatt and Lahn 2010). Managing energy worldwide is creating serious problems for climate and energy security. The need is urgent to rethink the fundamentals and reassess the arrangements and processes for managing energy, in all its diverse manifestations. The technical potential for improvement in many contexts is substantial. But realizing this potential will entail significant changes in institutions, business and finances. Such changes will only happen swiftly and effectively enough if those involved see them as advantageous. Until now, energy generation and supply (distribution) concerns tend to dominate national energy policies, but this should change (already changing?) if Nigeria government sincerely intend to ensure sustainable energy security which calls for complete policy shift towards low carbon energy via CO2 reductions technologies. Low carbon energy is the answer to Nigerias energy security goals as this
is also vital for economic recovery and competitiveness. The energy challenge facing Nigeria is significant but not insurmountable. Ensuring security of energy supply to a liberalised market in modern world full of energy champions requires careful design of both regulation and policy strategy. The government must find its role in creating conducive environment for any company ready to invest, build and operate power generating plants or deliver supplies to Nigeria to compete on level terms with the national champions of other countries. Nigeria already has significant energy infrastructure shortage. The advantage of lacking an existing system at least has a clean sheet advantage in the transition to a low carbon economy. This suggests that Nigeria can leapfrog developed nations in terms of low carbon energy systems, much in the same way as Nigeria and some African countries are jumping from zero telephony to modern information and communications technology. As the US and Europe spend billions to reconfigure their transmission and distribution grids, making them smarter and adding more decentralised, decarbonised power generation to the mix dismantling the systems in place and accompanying vested interests presents a serious challenge (Lahn 2010). Sustainable and low-carbon energy technologies antidote to Nigeria energy security Nigeria transition from traditional to modern energy (low-carbon energy) should focus on two key components - efficient and environmentally sustainable supply. Sustainable energy are renewable as their rate of use does not affect their availability in future, thus they are inexhaustible. The renewable energy resources are generally distributed all over Nigeria, even though wide spatial and temporal variations occur. Thus all regions of the country have reasonable access to one or more forms of renewable energy supply. They are clean and pollution-free, and therefore are sustainable natural form of energy. They can be cheaply and continuously harvested and therefore sustainable source of energy. Low-carbon energy technologies refer to technologies that emit less carbon dioxide (CO2) than the energy technologies that rely on traditional fossil fuels (oil, coal, and gas). They are based on renewable resources (like wind, sun and biomass) or enable the sustainable use of fossil fuels (like carbon capture and storage). Examples of low carbon energy technologies are the ones created through wind power, solar energy (including photovoltacs and concentrated solar power), bioenergy, new electricity grids, carbon capture and storage (CCS), nuclear fission and fusion energy, fuel cells and hydrogen, energy efficiency in buildings or transport. In the long term, the solutions to Nigeria energy security goals are well understood: developing next generation infrastructure (Low carbon energy technologies), reducing our dependence on fossil fuels through a combination of right energy mix & efficiency, smart grids and lowcarbon power sources (renewable). It is essential that Nigeria should
get the redesigning of the energy system and infrastructure right by identifying renewable energy potentials in the different regions of Nigeria as well as adopt low carbon energy technologies in the core plan. The paper focuses on two pillars of energy security, one to establish, promote and maintain right energy resource mix, and a second to deploy low carbon energy solutions to combat climate change. These involves strategic energy sector planning which could provide framework for investment in lower-carbon and lower-cost electricity in rural and urban concentration. The planning should involve publicprivate partnerships in infrastructure development which will translate to affordable, reliable and sustainable energy. Such planning will result to a broader engagement with a range of stakeholders in the sector which is focused on strengthening the enabling environment, information exchange and consensus-building toward a low carbon growth path (e.g. via hydroelectric power) and increasing access to electricity. Nigerias strategic priorities should reflect both its appropriateness to tackling energy security but also the need to incorporate a lowcarbon, high growth economy. The tension between energy security, decarbonisation and affordability place a clear limit on how far energy security can be rolled into the climate change debate, and underlines the importance of addressing it directly. The level of focus on energy security should therefore be dependent on the low carbon energy bearing in mind that low carbon is the answer, not just to climate change but also to energy security. One might be tempted to suggest that energy security would be a more focused policy area than climate change (low carbon energy), but considering that Nigeria is almost building the entire energy infrastructure from the scratch it is incredibly important that both should go together as part of the plan. Why does Nigeria need to move to a "low-carbon economy"? There are several reasons why Nigeria should move to a "low-carbon" economy: Nigeria is experiencing energy infrastructure shortage and should take this lack as clean sheet advantage in the infrastructure development and transition to a low carbon economy. To fight against climate change: fossil fuels are the chief culprits in the production of greenhouse gases. According to the International Energy Agency (IEA) and the Intergovernmental Panel on Climate Change IPCC special report, limiting the temperature increase to 2C will require that CO2 emissions be reduced globally by at least 50% by 2050. The IEA estimates that this reduction in the energy sector will have to be achieved with increased energy efficiency, renewable energy, nuclear
power and Carbon Capture Storage (IEAGHG. 1994, IPCC 2005). To ensure our energy security: today, our primary energy supply is dependent on fossil fuels. Moreover, supplies from fossil fuels are becoming scarcer, more expensive and less secure. On the contrary, the majority low-carbon energy sources, like hydro, biomass, wind, solar or energy efficiency are locally produced and far less dependent from abroad. To create growth and jobs: the development of low-carbon technologies can put Nigeria at the forefront of the fast-growing economic sector of clean and efficient technologies. They will create many new jobs.
What are Nigerias current energy resources and challenges? Nigeria is blessed with abundant energy resources (Table 1). Nigeria in terms of energy utilisation rating could be described to be in vicious circles of energy poverty and crisis. Nigerias energy poverty comes in many forms. Majority of Nigerias population still have no access to electricity; many more are blighted by power cuts, voltage fluctuations and liquid fuel shortages (especially kerosene). Very low electricity generation and distribution which signifies energy poverty of first order throws urban and rural communities to indescribable hardship. Poor rural communities in particular suffer from a reliance on biomass and kerosene, often with deleterious effects on peoples health on children and women in particular and the environment. In Nigeria like other low-income countries, a vicious circle emerges in which subsidised energy prices and often non-payment of bills cripple investment in infrastructure. This leads to inefficient services or delays in connection which acts as a disincentive to entrepreneurship and increased productivity, and keeps poorer communities vulnerable to any hike in energy prices (Lahn 2010). Nigeria as one of the developing economies face the complex energy challenges of how to continue to provide adequate supplies of energy to fuel economic growth while giving millions of people access to energy needed to improve quality of life without adding to the growing cocktail body of green house gas emissions and the critical issue of climate change. Major emission of greenhouse gases in Nigeria arises from activities of fossil fuel energy production including flaring and utilization, but oil spillage and deforestation are also threats to the environment. Deforestation particularly leads to desertification, reduction of environmental oxygen, flooding and erosion. Erosion on the other hand posses a great danger to both lives and properties. Consequently communities in Nigeria are facing increasing threat as a result of climate change, desertification, sea level rise, more intense flooding, changes in rainfall patterns, diminishing water availability, and new health related hazards. These challenges impact negatively affecting the livelihood of the most vulnerable people, adding to the existing problems associated with climate variability and development needs. These challenges demand urgent attention, especially in the
power sector which implies that the task ahead is to accelerate progress especially towards renewable energy mix, increase energy efficiency and low carbon energy sources. The summary of issues and state of energy in Nigeria is presented (Table 2). Table 1. Energy Resources in Nigeria
Resource Wind Potential Solar Potential Coal Reserves Value Units Rank Period Source Area(km) Class 3-7 0 158 1990 NREL Wind at 50m 2,783,723,951 MWh/year 35 2008 NREL Million 209.44 Short 49 2008 EIA Tons Cubic CIA 5,246,000,000,000 Meters (cu 8 2010 World m) Factbook CIA Barrels 37,500,000,000 10 2010 World (bbl) Factbook
Oil Reserves
Title: Sources:
Nigeria Energy Point of Reference: 2010 Total installed electricity capacity (2006): 6,000MW Hydro: 33% Thermal: 67% Total primary energy supply (2007): 106,683 ktoe Biomass: 80.1% Natural gas: 9.9% Oil and petroleum products: 9.3% Hydro-electric: ~0.7% Actual output represents about half of the installed capacity. Government plans to boost power production through new gas plants and Independent Power Producers (IPPs).
Reliance:
Despite significant coal deposits in the country, consumption is insignificant. Nigeria's refining capacity is currently insufficient
to meet domestic demand, requiring the country to import petroleum products. The Nigeria national electricity utility is already considering the importation of 5,000MW of electricity through Calabar from the INGA hydropower project beginning 2015 via the western corridor. However, negotiations are required, as Nigeria's need is considerably greater than that provided by this project. Extended Network: Electricity access: Urban: 40% Rural: 10% Primary transmission of electricity is facilitated by 330 kV and 122 kV lines, with 33 kV and 11 kV distribution feeders supplying major population centres. Capacity Concerns: With the exception of urban supplies that are catered for by commercial dealers, fuelwood is freely collected by rural dwellers. There is a significant disparity between the rate of wood consumption and the rate of reforestation. There is an 80% demand/supply gap in Nigeria, and most businesses self-generate their power. Additionally, the transmission network is overloaded, with a poor voltage profile in most parts of the network. There are frequent system collapses and exceedingly high transmission losses, often in the region of 30-35%. Renewable Energy: Solar Average solar insolation stands at roughly 5.25 kWh/ m2/day. Solar photovoltaic technologies are used for small-scale power supply in some rural electrification programs for some States of the federation. If solar energy appliances with just 5% efficiency are used to cover only 1% of the country's surface area then over 269 MWh of electrical energy can be obtained from solar energy. This amount of electrical energy is equivalent to 4.66 million barrels of oil per day. Wind Wind speeds in Nigeria range from a low 1.4 to 3.0m/s in the Southern areas, to 4.0 to 5.1m/s in the extreme North. Wind
speeds in Nigeria are generally weak in the South, except for the coastal regions and offshore locations. A pilot project in Katsina state was commenced by the government in 2007, and a 30 MW plant constructed by the Manufacturer's Association of Nigeria is under construction. Biomass The Nigerian government intends to develop a sugar-cane plantation fitted with a bioethanol production unit, producing 70-80 million litres annually. It also plans to establish a 5,00010,000 hectare cassava plantation fitted with a bioethanol production unit capable of producing 50-60 million litres each year. The projects are to be implemented in the Jigawa State. The Energy Commission of Nigeria (ECN), the National Centre for Energy Research and Development (NCERD), the Nsukka and the Sokoto Energy Research Centre (SERC) are among the local institutions that have constructed bio-digesters in Nigeria. Geothermal Whilst preliminary studies performed in the 1980s confirmed Nigeria's geothermal potential, and recommended further study, no study has been undertaken to determine the true extent of the country's geothermal power resource. Hydropower The hydropower potential of Nigeria is very high, and it currently accounts for about 29% of the total electrical power supply. The overall hydropower resources potentially exploitable in Nigeria are in excess of 11,000MW. Energy Efficiency: Households consume 95% of the country's fuel-wood supply. Primary energy consumption per capita is 0.72 toe (2007), with the residential sector contributing most to final energy demand. This is primarily due to the use of fuel-wood for heating, light and cooking in many areas of the country. Extension of grid electricity, or the installation of renewable distributed generation systems, would assuage this. Issues identified within Nigeria include the dominant use of incandescent light bulbs and inefficient, often second-hand heating and cooling
equipment. Ownership: Electricity The Electric Power Sector Reform Act 2005, adopted a wholesale competition model as opposed to the single- buyer model or retail competition. In this arrangement, distribution companies buy power directly from generators, and the transmission company is a pure electricity transport and dispatch company. Adoption of this model has paved way for the breaking down of NEPA, the former National Electric Power Authority, into 18 companies, including 6 generators, 11 distributors and one transmission company. In addition, the Act made provision for the reform to occur in phases. First, a 100% state-owned Power Holding Company of Nigeria (PHCN, www.phcnonline.com) is created and vested with the assets and liabilities of NEPA. This company co-exists with Independent Power Producers (IPPs), of which NEPA had signed power purchase agreements. Liquid fuels The Nigerian National Petroleum Corporation (NNPC, www.nnpcgroup.com) manages the state-owned oil industry. The NNPC holds a 49% share in the Nigeria Liquefied Natural Gas (NLNG) Company. The largest joint venture is operated by Shell Petroleum Development Company (SPDC). Additional foreign companies operating in joint ventures with the NNPC include ExxonMobil, Chevron, ConocoPhillips, Total, Agip and Addax Petroleum. Competition The electricity sector has been liberalised, leading to private sector participation in the generation sector, and a number of operational IPPs in the country today. The reform has so far led to the incorporation and unbundling of the national stateowned utility, now known as the Power Holding Company of Nigeria (PHCN). The unbundling has led to the establishment of 18 successor companies from NEPA. Each of the 18 companies has its own management, that is self accounting and not dependent on government funding. The
Bureau for Public Enterprise (BPE) is now preparing each of these companies for privatisation The Nigerian National Petroleum Corporation (NNPC), which in 1988 was divided into 12 subsidiaries, manages the stateowned oil industry, and is responsible, through its subsidiaries, for all operations in the sector. Energy Framework: National Energy Policy The National Energy Policy was approved by the government in 2003 with the overall theme of optimal utilization of the nations energy resources; both conventional and renewable, for sustainable development, and with the active participation of the private sector. The policy articulated, amongst other things, that: Extensive crude oil and natural gas exploration and development shall be pursued with the view to increasing their reserves base to the highest level possible, The nation shall continue to engage extensively in the development of electric power with the view to making reliable electricity available to 75% of the population by 2020; as well as to broaden the energy options for generating electricity. Renewable Energy Master Plan for Nigeria (REMP) 2006 With support from the UNDP, it articulates: Nigerias vision for achieving sustainable development, A road map for renewable energy to help achieve this vision; The Plan also envisions: Gradually moving from a fossil economy to one driven by an increasing share of RE, Exploiting RE in quantities and at prices that will promote the achievement of equitable and sustainable growth, An energy transition from crude oil to a less carbon intensive economy increasingly powered by gas and RE. Energy Debates: The lack of a stable energy supply (in this case electric power) is the primary challenge to the country in its race to become one of the world's top 20 economies by 2020. At the same time,
it is also evident that methods to find a permanent solution to this problem have remained a top priority of government, at least in the past nine years. Energy Studies: A feasibility study on Solar-PV in the country has been carried out in 2004 and it was found out that solar PVs is the most efficient and economical way to electrify villages in this region. The Community Research and Development Centre has produced a guide entitled Energy Efficiency Survey in Nigeria: A Guide for Developing Policy and Legislation. www.credcentre.org/Publications/EE%20Survey%20Nigeria.pdf Role Government: Energy Commission of Nigeria (ECN) The ECN (www.energy.gov.ng) was established by Act No. 62 of 1979, as amended by Act No. 32 of 1988 and Act No. 19 of 1989, with the statutory mandate for the strategic planning and co-ordination of national energy policies and all its ramifications. By the Mandate, the ECN is empowered to carry out overall energy sector planning and policy implementation, promote the diversification of energy resources, including the introduction of new and alternative energy resources, for example solar, wind, biomass and nuclear energy. Ministry of Energy In 2007, the new Federal Ministry of Energy came into existence as a result of the merger of the power sector, the Petroleum Ministry and other relevant parastatals. The newly created Ministry of Energy streamlines the activities of the sector, and eliminates the problem of unnecessary overlap and varying standards in the handling of matters relating to the sector. It also has a role to ensure that the activities of all energy related agencies are co-ordinated. Government Agencies: There are five Energy Research Centres under the Commission with specific technical/research roles. These are: The National Centre for Energy Research and Development (NCERD), at the University of Nigeria, Nsukka (responsible for research in solar and renewable energy), The Sokoto Energy Research Centre (SERC), at Usmanu
Danfodiyo University, Sokoto (also responsible for research in solar and renewable energy), The National Centre for Energy Efficiency and Conservation (NCEEC) at the University of Lagos (responsible for research in energy efficiency and conservation), The National Centre for Hydropower Research and Development (NCHRD) at the University of Ilorin (responsible for research in hydropower),and The National Centre for Petroleum Research and Development (NCPRD) at the Abubakar Tafawa Balewa University, Bauchi (responsible for research in petroleum, oil and gas). Energy Procedure: National Energy Development Project Funded by the World Bank and active from 2005 to 2010, this project supported the governments energy sector reform effort and facilitated the sectors smooth transition to the new market and institutional structure. Electricity and Gas Improvement Project Funded by the World Bank from 2009 to 2014, the development objectives of the Electricity and Gas Improvement Project for Nigeria are to: 1. Improve the availability and reliability of gas supply to increase power generation in existing public sector power plants; and 2. Improve the power network's capacity and efficiency to transmit and distribute quality electricity to the consumers. Energy Regulator: The Nigerian Electricity Regulatory Commission (NERC, www.nercng.org) is responsible for regulating the electricity sector. The legislative framework, though delayed, is being finalised. The oil industry is regulated by the Department of Petroleum Resources (DPR, www.dprnigeria.com), a department within the Ministry of Petroleum Resources. Degree Independence: The Electric Power Sector Reform Act 2005 provides for the tenured appointment of seven Commissioners for the NERC,
with one of them designated as Chairman/Chief Executive Officer, and another as Vice Chairman. The Commissioners are nominated by the President and confirmed by the Senate. Funding for the commission comes from operational revenue, for example from the granting of licenses, and such monies as allocated by the government for the Commission's operation, or provided upon request of the Commission. The Director-General of the Energy Commission of Nigeria is the Secretary to the Commission. The Commission has the power to regulate its own proceedings. Regulatory Framework: The NERC is currently working on appropriate feed-in tariffs and other regulatory incentives for prospective investors, to promote renewable energy generation in the country. Besides this, the commission is also establishing a legal and regulatory framework for embedded electricity generation, as well as Independent Electricity Distribution Networks to encourage the establishment of off-grid generation/distribution plants in the country, to improve the population's access to electricity. Regulatory Roles: The Energy Commission of Nigeria is charged with energy policy formulation and coordination. The NERC is responsible for ensuring safe, reliable electricity access for as much of the populace as possible, as well as encouraging private-sector participation in the electricity sector, the monitoring of sector actors and standards of fairness promotion, and the protection of consumer rights. The DPR ensures compliance with industry regulations; processes applications for licenses, leases and permits, establishes and enforces environmental regulations. Energy Role Regulation: The Rural Electrification Agency of Nigeria was inaugurated in March 2006 to rapidly expand rural and peri-urban access to electricity in the country in a cost-effective manner, employing both grid and off-grid options. It emphasizes the application of subsidies, primarily on access expansion rather than consumption, since the intention is to encourage greater participation of the private sector providers.
Regulatory N/A Barriers: Source: REEEP Policy Database, EIA, NREL, CIA World Factbook
Nigeria Energy Security Goals - The Diaspora Perspective & Insight No country can develop without energy. We need energy for domestic, agricultural, industrial, commercial and official activities. Access to energy is the dividing line between the poor countries and the rich countries. This explains why the developed countries of the world have and consume far more energy than the developing and underdeveloped countries. If Nigeria must tackle the problem of poverty, the country will need to provide energy for her citizens. The problem lies in the fact that in the midst of abundant availability of resources (Table 1), such as solar, biomass, oil, gas and coal, etc, Nigeria still wallows in abject electricity scarcity. We suggest immediate reform in the public policy and reposition the energy strategy capable of stimulating public investment partnering with the private sector as the only credible route to meet our low carbon energy security goals which will automatically restart our economy. We suggest that Nigeria should strictly realign their energy sector reform and transition programme to conform to the World Bank Group Energy and Mining Sector Boards objectives of reducing poverty and increasing sustainable economic growth in developing and transition economies. The Board believes that achieving these objectives requires sustainable and affordable energy services for all, including the poor, and that these services can best be provided by creating efficient markets in energymarkets that are open to investors and enterprises both large and small, private and public, centralized and decentralized. And the Board believes that expansion of access to energy services for the poor needs to be based on markets that function on sound commercial principles and on the preservation of the environment (The World Bank Groups Energy Program 2001). Our analysis of energy in line with this vision, we hence propose some initiatives from various countries of the world to bring home Diaspora perspective in some of the projects we believe should help in the energy & environmental sector transformation agenda. Name of initiative being proposed: From Nigeria energy resource reserve (Figure 1), it is obvious that fossil fuel especially natural gas reserve is abundant will continue to dominate energy mix with significant contribution from other renewable sources. Nigeria gas resources like global natural gas resources are vast and can help improve energy security. However, nuclear power plant is not an option to our energy security goals as
other established nuclear plant users are putting up policies to lower growth or stop nuclear plant use. If Nigeria wants to decarbonise electricity (low carbon energy) we need to do it [fit CCS to existing and new gas plants]. Nigeria should insist on new CCS policy as major part of energy transition agenda so that new gas plants should be subject to the same rules that force new coal plants to fit carbon capture and storage (CCS) technology in other countries. Nigeria should join the Golden Age of Gas which incorporates a combination of new factors that could support a more positive future outlook for gas. To realise Nigerias vision for energy, some of the recommended low and sustainable energy technologies were were: Renewable Energy, Power and Waste Management Waste to Energy; this technology involves conversion of municipal solid wastes or other wastes to energy. This initiative cuts across Power, Renewable Energy and Waste Management.
Gas to Liquid (GTL) - Low carbon energy and carbon abatement technology of interest. GTL will convert flared or stranded gas to liquid petroleum products, both proposed technologies provides option of CDM and automatically makes Nigeria one of the countries implementing climate-friendly technologies and CO2 emissions reduction options (climate change goals).
Constructed Wetlands and Ecological Engineering: This technology simply involves the design of ecosystems for the mutual benefit of humans and nature. Engineered wetlands greatly advance the treatment capacity of wetland treatment systems and enable a simple, low cost alternative to challenging wastewater or pollution problems such as oil spill in water or land and refinery effluent.
Type of initiative: Low Carbon Energy, Renewable Energy, Power and Waste Management Technologies Country and location in which similar intervention has been implemented: China (Beijing Gaoantun), UK (Scotgen Dumfries Scotland, Baldovie Dundee, Kent Enviropower Ltd, Anglia waters, Mayfield Refurbishment and Upgrade, Heathrow Airport (London),etc), Iceland (Husavik), Alberta Canada, USA (various: Amoco Refinery (Casper Wyoming), ARCO Refinery (Wellsville, New York), Buffalo Airport (Buffalo, New York), etc Evidence to support that the same can be adapted to the Nigerian context: Municipal solid waste is abundant every where in Nigeria, hence making waste to energy technology adaptable to Nigerian context. Flared gas is cheap or almost free in Nigeria making gas to liquid very suitable to our context. Constructed Wetlands and Ecological Engineering serves as a longterm solution to our numerous oil spills, refinery and industrial effluents. We need to apply this technology today in all newly built refineries/ old ones, and industries as part of a new "green economy" to continue an effective remediation of our natural resource and support the Niger Delta region. Cost effectiveness/ Expected Outcome:
These technologies are cost effective considering that the feed stocks (municipal solid wastes/biomass) and flared gas are cheap or almost free in Nigeria. The proposed technologies are cheaper than any existing energy (power) generating technologies in our country including gas power plant. Moreover, these technologies will help us meet the desired energy security goals. Constructed Wetland treatment system is a simple, low cost alternative to challenging wastewater problems and remediation. The petroleum that we use to fuel our society started out millions of years ago as plants, and like plants, it is biodegradable. Many types of microbes are adapted to use that petroleum as a food source, and they exist naturally in wetlands and marine environments. The human challenge is to intelligently work with those ecosystems to accelerate that healing process from a few decades to a few years. We (I & partners) spent years to develop this idea (technology) and it has already been proven by the oil industry in treatment systems operating around the world. Using the power of the environment to clean things up as quickly as possible is within our (Nigeria) grasp. This technology is easily integrated into any (power plant, refinery, private household/estate, various industries, etc ) facility design, e.g. Constructed wetland was integrated into Minnesota Municipal Power Agency recently constructed 260-MW combined-cycle power generating facility near Faribault, Minnesota. We wish to bring the success story home and formerly invite the Federal Ministry of Environment/Petroleum/Energy, Industries, regulatory bodies, policy makers and private investors to partner with us. We suggest that Nigeria should adopt the World Bank Group energy business lines as stated below: Helping the Poor Directly Facilitating access to modern fuels and electricity Reducing the cost and improving the quality of energy supplied to low-income households Ensuring that energy subsidies are targeted to and reach the poor Promoting energy-efficient and less polluting end-use technologies for traditional fuels Creating energy service enterprises run by the poor Supporting energy needed for social services (health, education, communication) Improving Macroeconomic and Fiscal Balances Rationalizing energy taxes Replacing public investments with private ones Managing risks associated with contingent public liabilities Closing loss-making coal mines and oil refineries and financing restructuring costs that fall on government budgets Enhancing effective payment by all energy users to eliminate operating subsidies to state-owned enterprises
Improving procurement and marketing of imported and exported energy products Promoting Good Governance and Private Sector Development Creating objective, transparent, and non-discriminatory regulatory mechanisms Introducing and expanding competition and cross-border trade Divesting assets to strategic investors and regulating markets in ways that are socially responsible and corruption free Catalyzing private investment by liberalizing entry to energy markets Strengthening the voice of consumers and communities Strengthening local financial institutions to provide long-term financing for rural energy business Protecting the Environment Promoting clean transport fuels and switching from coal to gas Facilitating environmentally sustainable extraction, production, processing, transport, and distribution of oil, gas, and coal Strengthening environmental management capacity in energy supply Removing market and regulatory barriers to renewable energy and energy efficiency investments for power and biomass (such as improved cooking stoves for the poor) Reducing gas flaring and facilitating carbon trading and joint investments to reduce greenhouse gas However, timely and successful development of these resources depends on a complex set of factors, including government policy choices, technological capability and market conditions. However, timely and successful development of these resources depends on a complex set of factors, including government policy choices, technological capability and market conditions. The paper recommends that the government should actively liaise with Nigerians energy experts in Diaspora, donor, private sector, civil society and other partners operating in infrastructure sectors as well as other important multi-sector government stakeholders, particularly those involved in infrastructure financing. We have to manage development of energy infrastructure with the transition of dependence on carbon-based fossil fuels towards lowcarbon energy sources. Despite anticipated challenges, the end goal is attractive as a diverse low-carbon energy supply implies greater security and boost in economy. It is also in our interests to join forces and act now to mitigate against catastrophic climate change. Conclusion Nigeria power large power lack is an advantage in terms of designing the right & sustainable energy mix
Carbon capture and storage MUST play significant role in our bid to attain energy security. All hands should be on deck especially private investors as there are limits to what the government can spend on electricity Nigeria should stop all plans on Nuclear energy source and focus on low carbon (gas power plant with CCS and renewable energy) source References Antony Froggatt and Glada Lahn, Sustainable Energy Security: Strategic Risks and Opportunities for Business. Chatham HouseLloyd's 360 Risk Insight White Paper, June 2010. Glada lahn, Chatham House: Shining Examples (Low Carbon Solutions to Energy Poverty), World Petroleum, First Magazine, Apr 2010. Andrew Brinkley and Robert McIlveen, Running on Empty Coming to Terms with UK Gas Dependence. Policy exchange, January 2010. Goldemberg, J. and Johansson, T.B. ed. 2004. World Energy Assessment: Overview 2004 Update. New York: United Nations Development Programme. http://www.undp.org/energy/docs/WEAOU_full.pdf. Eke, P. E., Naylor, M., Haszeldine, S., and Curtis, A. 2011. CO2/Brine Surface Dissolution and Injection: CO2 Storage Enhancement. SPE Projects, Facilities & Construction 6 (1): 41-53. Kaya, Y. 1995. The role of CO2 removal and disposal. Energy Conversion and Management 36 (69): 375380. Hoffert, M.I., Caldeira, K., Jain, A.K., Haites, E.F., Harvey, L.D.D., Potter, S.D., Schlesinger, M.E., Schneider, S.H., Watts, R.G., Wigley, T.M.L., and Wuebbles, D.J. 1998. Energy implications of future stabilization of atmospheric CO2 content. Nature 395 (29 October 1998): 881884. Walt Patterson, Managing Energy: Rethinking the Fundamentals Managing Energy Technology. Working Paper, Chatham House, October 2010. IEAGHG. 1994. Carbon dioxide disposal from power stations. Technical Study, ISBN 1 898373 15 9, IEA Greenhouse Gas R&D Programme, Cheltenham, UK.
IPCC Working Group III. 2005. IPCC Special Report on Carbon Dioxide Capture and Storage, ed. B. Metz, O. Davidson, H.C. de Coninck, M. Loos, and L.A. Mayer. Cambridge, UK: Cambridge University Press. http://www.ipcc.ch/pdf/special-reports/srccs/srccs_wholereport.pdf. The World Bank Groups Energy Program. Poverty Reduction, Sustainability and Selectivity. Washington, DC USA 2001.
Speaker Profile
Dr Paul Eke, BEng(Hons), MSc, PhD, Engr, CEnv, CEng Chairman NIDOE UK North
Dr Eke is an Entrepreneur, Consultant, Chartered Engineer (CEng) with the UK Engineering Council, Registered Engineer (Engr) with Council for the Regulation of Engineering in Nigeria (COREN) and Chartered Environmentalist (CEnv) with the UK Society for the Environment. He holds BEng (Hons) in Chemical Engineering from Enugu State University of Science and Technology, MSc in Oil and Gas Engineering from Robert Gordon University Aberdeen and PhD in Civil and Environmental Engineering from the University of Edinburgh. Dr Eke is an international consultant with diverse experience/interests and has delivered services in various sectors such as Energy, Environment, Engineering, Oil & Gas, Carbon Abetment, Business & Technology development, Research and Project Management. Dr Eke has published several papers and made numerous presentations at national and international seminars & conferences. He is the founder and currently an Executive Director of Peprime Limited, an international company engaging in diverse sectors with major interests in Energy, Engineering and Environmental services. Dr Eke is passionate about Nigeria dream and believes that hope for a better Nigeria lies in our (Nigerian Professionals in the Diaspora and home) resolve to be an instrument of change we need to enhance the advancement of Nigerians, and humanity in general. He is an activist with total commitment and constantly mobilises people for development. He is Chairman, NIDOE UK North and NIDOE Diaspora Bill Committee Chairman.