…oil and gas only 15%: broader industrial activities responsible for 85% of greenhouse gas emissions – discussants reveal

Thelma Tokunbo

Energy experts have called for a strategic balance between integrating low-carbon technologies and enhancing operational efficiency to reduce global greenhouse emission, while maintaining oil and gas in Nigeria’s development mix.

They also noted that oil and gas account for only 15 percent of industrial emissions, with the greater challenge lying in broader industrial activities contributing to greenhouse gases.

This key discussion point was raised by energy experts during a webinar titled “Transitioning Away from Emissions, not Oil and Gas,” organized by the Nigerian Institution of Petroleum Engineers (NiPeTE) in collaboration with the Lagos Chamber of Commerce and Industry Professional Practice Group (LCCI PPG).

Dr Nuhu Habib, former Executive Commissioner for Development and Production at the Nigerian Upstream Petroleum Regulatory Commission, (NUPRC), noted that while oil and gas production contribute to emissions, it is not the largest source of global greenhouse gases.

He highlighted that oil, and gas will remain key drivers of the global economy for at least the next fifty years.

Habib pointed out that oil and gas account for only about 15% of industrial emissions, emphasizing that the real challenge lies in addressing the broader industrial activities that contribute to greenhouse gases.

He argued for a focus on reducing emissions overall rather than solely targeting oil and gas production, which could negatively impact the global economy.

He also criticised the incomplete financial commitments under the Paris Agreement to support African nations in climate change mitigation, stressing the importance of genuine international collaboration and commitment.

Mr. Gabriel Idahosa, President and Chairman of the Council at LCCI, highlighted the significant emissions from gas flaring and other petroleum activities in Nigeria, which exacerbate climate change and affect public health. He called for innovative approaches to decarbonize the economy while maintaining the growth and stability provided by oil and gas resources.

Idahosa noted that the oil and gas sector is vital to Nigeria’s economy, accounting for about 90% of export revenues and approximately 60% of government revenue.

He also pointed out that Nigeria’s CO2 emissions reached around 120 million tons in 2023, underscoring the environmental impact of its energy sector.

He stressed the need for a robust policy and regulatory environment to support this transition.

While recognizing the Petroleum Industry Act as a positive step, Idahosa advocated for additional measures such as carbon pricing, tax incentives, and stricter environmental regulations to promote clean technologies and sustainable practices.

Engr. Prisca Kanebi, the National Chairman of NiPeTE, emphasized the importance of balancing global greenhouse gas reduction goals with Nigeria’s development needs.

Dr Mohammed Malami, Planning and Commercial Research Officer at Gas and Power Investment Service, NNPC Ltd., called for the strategic integration of low-carbon technologies and improved operational efficiency to reduce emissions without eliminating oil and gas entirely.

He highlighted the crucial role of policy support and collaboration in achieving a balanced energy future.