Concerns Grow in Nigeria Over Poor Energy Output
Wed, April 21, 2021

Concerns Grow in Nigeria Over Poor Energy Output

Experts and operators under the Nigerian Association of Energy Economics have expressed their concerns over the poor energy output in the country despite the huge investments in Nigeria’s petroleum and power sector / Photo by: sixoone via Wikimedia Commons

 

Experts and operators under the Nigerian Association of Energy Economics, an organization that provides a forum for the exchange of ideas and professional experience in energy economics, have expressed their concerns over the poor energy output in the country despite the huge investments in Nigeria’s petroleum and power sector. This is according to the Nigerian newspaper The Punch.

Nigeria’s Energy Crisis

One in every five Africans lives in Nigeria. The country also has the biggest economy in the continent in terms of nominal GDP. South Africa is the second biggest economy in Africa but in terms of purchasing power parity (PPP), Egypt ranks second after Nigeria. Based on a United Nations report, Nigeria is set to overtake the US to be the third-most populous country in the world by 2050. Yet, a low energy future is predicted. Although the country is enriched with large solar, hydro, gas, and oil resources and has the potential to generate 12,522 megawatts of electric power from its plants, it is only generating around 4,000 MW, according to the international development agency USAID.

Operators in the energy sectors of Nigeria have pointed out that the World Energy Day has been used to raise awareness on the implementation and creation of policies to conserve natural resources and increase energy efficiency. One of the purposes of the WED, which takes place every 22nd of October, was to show the effect of energy choices made by individuals and countries about the use of environment and energy production.

One in every five Africans lives in Nigeria. The country also has the biggest economy in the continent in terms of nominal GDP / Photo by: Ian Cochrane via Flickr

 

The Nigerian Association of Energy Economics’ experts stated, however, that they are concerned about the low energy output in their country. The organization is also an affiliate of the International Association for Energy Economics, an international nonprofit society of professionals interested in energy economics and which has a presence in more than 70 countries.

NAEE’s President Yinka Omorogbe said that their association was the marking of WED 2019. She also highlighted the effect of having poor energy supplies to their economy. The WED 2019 theme in Nigeria was "Energy Sustainability in Africa: Unlocking the energy and climate change equation." The idea behind the theme was put together to help the nation think carefully of the “place of energy planning” in Nigeria’s energy supply matrix and energy production.

Omorogbe added that this year, they are interested in amplifying and promoting the discussion on energy in their country and why they “must” have such a discussion not just on the part of industries and urban dwellers but also the people living in rural areas. She emphasized that many people in her country are not aware that every energy development issue is due to the lack of modern energy. 

Energy Use for Sustainable Development

Omorogbe believes that good teachers cannot teach in village schools if the said villages have no modern water systems or electricity. Even those water systems are already driven by energy. Basic health also needs energy as medicines have to be stored at certain temperatures.

Energy Consumption and Sources

Access to energy is the key factor for poverty alleviation, economic development, and human well-being. In data provided by scientific online publication Our World in Data, the global primary energy consumption (measured in terawatt-hours per year) in 2017 reached 153,5995.66 TWh. It was comprised of the following: Traditional biofuels (10,895.32 TWh), Coal (43,397.14 TWh), Crude Oil (53,752.28 TWh), Natural gas (36,703.97 TWh), Hydropower (4,059.87 TWh), Nuclear (2,635.56 TWh), Wind (1,122.75 TWh), Solar (442.62 TWh), and Other renewables (586.17 TWh).

On the other hand, the total levels of consumption distributed across the world’s regions in 2015 (latest data available) are detailed as follows: Africa (5,059.03 TWh), Middle East (10,288.57 TWh), Latin America and the Carribean (8,132.41 TWh), Europe and Eurasia (32,963.57 TWh), North America (32,512.09 TWh), and Asia Pacific (63,947.90 TWh). Note that the data includes only commercially-traded fuels (gas, coal, and oil), modern renewables, and nuclear. It does not include traditional biomass sources.

Access to energy is the key factor for poverty alleviation, economic development, and human well-being / Photo by: drpepperscott230 via Pixabay

 

Meanwhile, the global economic data platform CEIC stated that in September 2019, the electricity production in Nigeria reached 8,952 GWh. In the previous quarter, it was only at 8,441 GWh. Based on global standards, Nigeria remains poor in energy supply and production, according to international and local observers on the country’s ability for power generation.

NAEE believes that challenges in energy supply and production hindered the growth of Nigeria as well as its people. Maternal and infant health suffer, for instance, because doctors or nurses have to deliver babies using only a kerosene lamp. Omorogbe added that kerosene is “incredibly expensive” in the country but that is what’s urban poor and rural people are using. 

Global Energy Poverty

The nonprofit organization World Economic Forum has also emphasized that greater energy use is required to boost incomes and end poverty in different parts of the world. It shared the common mistakes that people are making in its fight to end global energy poverty. One is that we are currently equating the energy usage based on household electricity alone and not consider the energy that is used in industry, transportation, agriculture, and commerce.