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Gas Flare 77

Shocker: 888mmcf/d flared gas in 178 sites in N’Delta equivalent to 5GW—NGFCP boss

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The Program Manager, Nigeria Gas Flare Commercialisation Programme (NGFCP), Federal Ministry of Petroleum Resources, Mr Justice Derefaka, has explained that the average total number gas and carbon dioxide flared in confirmed 178 gas flare sites across Niger Delta is equivalent to four to five GigaWatt (5GW) of power.

Recall that the unconfirmed current 3,900MW of power produced in Nigeria is not anywhere near only one GigaWatt which means that harnessing flared gases from the sites will quadruple power generation in Nigeria.

This was part of the high point explained by Derekafa in his presentation at the NGFCP Qualified Applicants Workshop held Monday is Abuja at the PTDF Towers for stakeholders in gas commercialization programme of the Federal Government.

Speaking on the Theme “Regulatory Frameworks, Incentives, Best Practices and Understanding the Request for Proposal Phase to boost investors’ and Qualified Applicants’ Appetites in the NGFCP,” at the event, he also rolled out the critical mandates of NGFCP.

According to him, the department must among others; Reduce gas flaring; Work out how Niger Delta communities can benefit; Drive efforts that will positively impact the Nigerian economy; Present a market-driven solution for the flares; Structure the business environment to a bankable status for investors and lenders; and avoid any adverse impact on the level or safety of Producers’ E&P operations.

Continuing, he averred that the activities of NGFCP are probably the largest flare reduction programme ever attempted globally.

He said “NGFCP has been designed by a Steering Committee (SteerCo) appointed by the Minister to be assisting Implementation Team drawn from the Ministry and DPR, and an Advisory Team sponsored by US Agency for International Development (USAID) and the Global Gas Flaring Reduction Partnership (GGFR) a public-private partnership under the leadership of the World Bank

“SteerCo is driving the NGFCP, while part of its implementation is being done by DPR, who will receive NGFCP from SteerCo after the conclusion of the first auction round.

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Program Manager , Nigerian Gas Flare Commercialization Programme (NGFCP), Mr Justice Derefaka

He said with the mandate of NGFCP, the Department would drive Flare Gas by FGN at competitive market-driven prices and provide opportunity for secure and dependable long-term gas supply enhancing the monetisation of Flare Gas.

“Ability to bid for small or large quantities of Flare Gas depending on the size of their proposed Project size and the Flare Gas quantities offered/available even as clustering opportunities on flare sites may naturally align with others, permitting buyers to gain access to larger quantities of Flare Gas as needed to meet their Project needs,” Derefaka averred.

Earlier in her keynote address, the Permanent Secretary, Ministry of Petroleum Resources, Dr Mrs. Folashade Yemi-Easn, reiterated that “The Federal Government’s strategy to drastically reduce gas flaring is on course in line with the Administration’s commitment to the Paris Climate Change Agreement and Global Gas Flaring Partnership (GGFR) for global flare-out by 2030 whilst committing to a national flare-out target by year 2020 of which Nigeria is a signatory to.”

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