... rallies investors, stakeholders support
The Edo State Government has called for the support and collaboration of the Federal Government and other stakeholders to maximally harness the state’s gas and energy potentialities.
The Managing Director, Edo State Investment Promotion Office (ESIPO)- Ease of Doing Business Secretariat, Mr. Kelvin Uwaibi, made the appeal while addressing journalists in his office in Benin City.
Emphasizing the contribution of Edo State to the energy industry in Nigeria, Uwaibi noted that Azura-Edo alone contributes 10 percent of the electricity supply to the national grid, adding that the state also currently accommodates about six different multi-national companies that use natural gas to generate energy in the state.
According to him, “Azura-Edo is contributing meaningfully to the growth of the energy sector in this country. It contributes about 10 percent of electricity to the national grid. As you may know, it is located in Orhionmwon local council. Seplat Energy has a gas processing plant which is located in Oben, also in Orhionmwon. Duport Energy Park is located in the same local council too and it contributes 50MW to Edo’s energy pool. Ossiomo is located in Ologbo, Ikpoba-Okha, and Network Oil and Gas Limited is in Benin. These companies all use gas to generate energy. So, Edo is a hub for gas.”
This industry needs support from the federal government and other stakeholders to grow. There has to be competitive tarrifs. Let me give you an example. When Ossiomo Power was shutdown for five days in August last year, it was on record that this country lost over $1.9 million due to the disruption of gas supply to the plant. And you will agree with me that some of the challenges faced by oil and gas companies in Nigeria include sabotage, oil theft, and vandalism. These are some of the reasons why the investors need support from the federal government.”
He added, “The business of government is to create the enabling environment for businesses to thrive. And as it stands today, the issue of oil and gas rests with the federal government. This is why we are calling on them for support, either by reviewing policies to pave way for such support or in any other form.
“The federal government is responsible for regulating the oil and gas industry, while sub-nationals play a minimal role, hence the need for the federal government to support states driving investments into the gas sector.”