The Federal Government has reaffirmed its commitment to create a conducive environment for the sustainable growth of the Liquefied Petroleum Gas (LPG) sector in the country.
The Hon. Minister of State for Petroleum Resources (Gas), RT. Hon. Ekperikpe Ekpo stated this during the 13th NLPGA Conference and Exhibition with the theme “Saving Nigeria from the Brink; Gas for Vehicle, Generator, and Agriculture,” organized by the Nigeria Liquefied Petroleum Gas Association (NLPGA) in Abuja.
The Minister described the theme of the conference as apt which captured the critical point which we stand as a nation and as a key player in the global energy sector.
Ekpo stated that “Our journey towards this envisioned future is predicated on the successful collaboration between the government and the private sector.
To this end, we are committed to creating a conducive environment for investment, innovation, and sustainable growth through policy frameworks and initiatives that support the LPG sector’s expansion”.
The Minister stated that the government’s role in creating enabling policies cannot be overstated as the Petroleum Industry Act (PIA) 2021, among others, has provided a legal framework that encourages investment and ensures the stability of the gas market, saying that, the regulatory clarity, alongside financial incentives would propel the country closer to her goals.
He said NLPGA has demonstrated unwavering dedication to the promotion of LPG as a catalyst for socioeconomic transformation.
“Your efforts have significantly contributed to the impressive growth seen in the LPG sector, from a modest supply of 60,000 MT in 2007 to over 1.3 million MT in 2021, representing astronomical growth.
This growth has not only contributed to energy diversification but also generated over 150,000 jobs, thus driving economic development and improving the lives of our people”, the Minister stated.
He said the Conference was convened to build on these successes and address the energy transition gap with a sense of urgency and strategic direction with focus on harnessing the potential of LPG in transforming the transportation sector through the wider adoption and use of Autogas, creating divest fuel options for domestic generators, stimulating growth in agriculture, and protecting our environment from deforestation which are key areas that form the backbone of Nigerian economy.
The Minister noted that the use of LPG as a cleaner, more efficient fuel for vehicles was a practical step toward reducing carbon footprint and managing the environmental impact of the transport sector.
He pointed out the need to explore innovative approaches to LPG utilization in power generation, providing a reliable and sustainable energy source for millions of Nigerians currently dependent on less eco-friendly fuels.
Ekpo noted that “In the realm of agriculture, LPG could play a transformative role in reducing deforestation associated with traditional biomass use and providing a cleaner alternative for agro-processing, thereby contributing to food security and rural development.
He charged participants at the event to proffer solutions and take actions that would lead to tangible outcomes that contribute meaningfully to the economy, environment, and society at large.
While expressing appreciation to the NLPGA for organizing the conference, he expressed confidence that with its continued partnership, Nigeria would be positioned as a global leader in the LPG sector, “We will not merely bridge the energy transition gap; we will leap over it, setting the pace for others to follow”, he stated.
Earlier in his opening remarks, the President, Nigerian Liquefied Petroleum Gas Association, NLPGA, Felix Ekundayo said the association has been at the forefront of policy and advocacy over many successive administrations, noting that, the association has steered the sector consistently resulting in 20%+ compound annual growth rate (CAGR) over the last 17 years.
The President said the industry was leveraging on its past successes to oversee a rebound in the growth of the gas sector under the administration despite various challenges such as inconsistency in charges and levies and difficulties in accessing capital for development faced by the industry.
Ekundayo said the 13th NLPGA Conference and Exhibition would provide a forum to brainstorm on what can help the government and the people in rescuing Nigeria from the brink of its energy crisis with existing possibilities in the use of gas for vehicles, generators and in Agriculture.
Day one of the event witnessed panel sessions on topics such as “Why Auto-gas is the alternative fuel; LPG: The road to five millions Tonnes; LPG interventions: Past, Present and Future; Identifying financial incentives for the decade of gas, among others.
The event also attracted regulators, industry leaders,experts, stakeholders, investors, students and young professionals across the LPG spectrum.