“Nigeria Needs $1.5 Billion Investment to Cut Methane Emissions by 2030, IEA Estimates”

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As Nigeria Faces Pressure to Curb Methane Emissions as EU Imposes Strict Import Rules

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Nigeria has grappled with environmental degradation from its oil and gas sector for nearly 70 years, exacerbated by ongoing methane emissions primarily from gas flaring. The European Union’s new law mandating methane emissions limits on all fossil fuel imports from 2030 adds significant pressure on Nigeria to intensify efforts in emission control.

Since Shell’s initial commercial oil discovery in present-day Bayelsa State, Nigeria’s oil industry has been marred by controversies, including litigation, community protests, and regulatory challenges. Despite the Petroleum Industry Act’s stricter penalties for gas flaring, Nigeria’s efforts to monetize wasted natural gas through initiatives like the Nigerian Gas Flare Commercialisation Programme have seen limited success.

Energy firms defend gas flaring for safety and maintenance reasons, but international agencies like the International Energy Agency (IEA) argue that with natural gas prices at historic highs, flaring constitutes a wasteful practice with severe climate and health impacts.

The World Bank reports a nominal 45% reduction in Nigeria’s gas flaring over a decade, yet this decline correlates closely with reduced oil production rather than deliberate emission reduction efforts. Methane, the primary component of natural gas and a potent greenhouse gas, remains a critical concern due to its significant contribution to global warming and associated health risks.

Legislators in the EU recently passed a law requiring methane leak detection and repair plans from fossil fuel importers, effective 2030. This move aims to mitigate global methane emissions, with implications for Nigeria, Africa’s largest oil producer and a major EU gas supplier.

Nigeria’s ambitious plans to expand gas supply to the EU through projects like the Trans-Saharan and Trans-Africa pipelines face uncertainty under the new EU regulations. The country’s efforts to comply with methane emission limits are estimated to require substantial investments, with the International Energy Agency suggesting a $1.5 billion budget for emission reduction measures by 2030.

While Nigeria aims to enhance monitoring and reduce methane emissions through advanced technologies and regulatory collaborations, challenges such as pipeline vandalism and regulatory enforcement persist. Oil companies operating in Nigeria are urged to improve transparency in methane emission reporting amid concerns over accuracy and compliance.

The path forward for Nigeria involves stringent regulatory enforcement, technological advancements in emission monitoring, and international cooperation to achieve methane emission reduction targets in alignment with global climate goals.

By Naija247news
By Naija247newshttps://www.naija247news.com/
Naija247news is an investigative news platform that tracks news on Nigerian Economy, Business, Politics, Financial and Africa and Global Economy.

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