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Methanol Fuel Will Benefit Nigerians Greatly – Minister
The Minister of Science, Technology and Innovation, Dr Ogbonnaya Onu, says developing methanol fuel technology policy will benefit Nigerians greatly in getting access to cheaper and cleaner energy.
The Minister said this in Abuja during a road show to sensitise the public on methanol fuel production technology.
The Tide source reports that the Federal Executive Council had approved the National Policy on methanol production technology and methanol value-chain implementation programme in October 2019.
Onu assured that methanol driven economy is beneficial in job creation, technology development and domestication, electricity generation, clean household energy services, chemical industry value chain among others.
“With the introduction of methanol, manufacturers will use it as a feedstock for several product lines.
“As a fuel in the transportation sector, it is cheaper than PMS (petrol), friendly to the environment, has higher octane rating and enhance performance of vehicles,’’ Onu said.
Similarly, he hinted that methanol can be blended with PMS at 15 per cent methanol and 85 per cent PMS, for use in all vehicles without any significant modification.
Onu added that the use of kerosene and firewood for cooking and its attendant health challenges, would also reduce.
“Methanol, being a cheaper and cleaner fuel, will help solve this problem.
“In view of this, the ministry hereby extends a hand of partnership to entrepreneurs and investors in the private sector to invest in methanol production based on science, technology and innovation,’’ he said.
According to the minister, Nigeria has not been adding value to its natural resources and this resulted in limited revenue generation which also affected job creation.
“We exported cocoa but imported chocolate. We exported groundnuts but imported toothpicks. We exported crude oil but imported petroleum products.
“Nigeria is more of a gas nation with huge deposits of natural gas, and natural gas will be useful in the transition which we must prepare our economy,’’ Onu said.
He noted that developed countries are gradually reducing their reliance on crude oil, focusing on cleaner and renewable sources of energy, with electric cars introduced in many countries.
“These initiatives are in fulfillment of the Nationally Determined Contributions (NDCs) of countries, which Nigeria is part, under the 2015 Climate Change Paris Agreement.”
The minister explained that the immediate impact of these initiatives is reduction in the global demand for crude oil.
“It is now time for our dear nation to prepare for a post crude oil era by strengthening the nation’s revenue base in response to the current trend in the world,’’ he said.
Onu maintained that development of methanol fuel technology policy offered the way forward for Nigeria.
“We want to domesticate the methanol technology in the country such that in the future, Nigerian scientists and engineers, in line with President Executive Order No.5, will develop entrepreneurs and businesses,’’ he said.
The Managing Director, Shell Nigeria Exploration and Company Limited (SNEPCo), Elohor Aiboni, said Bonga, Nigeria’s first deep-water asset, has recorded major milestones, due to effective leadership, cutting-edge technology, continuous improvement and collaboration with stakeholders.
She noted that since coming on stream in November 2005, Bonga has maintained a track record of production that saw it achieve one-billion-barrel export on February 13, last year.
In her presentation, titled “The Bonga Journey to a Billion Barrels”, at the ongoing 2024 Offshore Technology Conference in Houston, Texas, United States, Aiboni, said: “SNEPCo is grateful for the contributions of all the parties to the Bonga story and we can all be proud of the milestones.
“Bonga has been consistent. In 2014, nine years after coming onstream, it achieved half a billion barrels of crude and doubled it in 2023. We have worked relentlessly to ensure excellent asset management, project and wells delivery and deployment of technology and innovations in our operations”.
According to her, these factors, “coupled with the supportive partnership of the Nigerian National Petroleum Company Limited and our co-venturers – TotalEnergies, EP Nigeria Limited; Nigerian Agip Exploration; and Esso Exploration and Production Nigeria Limited, make Bonga stand out as a world-class investment case”.
She continued that, “SNEPCo also enjoyed the support of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Content Development and Monitoring Board (NCDMB) in the success of Bonga operations”.
Aiboni also listed the challenges of keeping the Bonga Floating Production, Storage and Offloading vessel full as the asset ages and dealing with unexpected developments with subsea wells and equipment.
She said: “SNEPCo responded with a campaign of operational excellence, which among other initiatives, led to the creation of a programme known as the Bonga Business Improvement Plan that continually reviews and identifies improvement initiatives and drives sustainability in operations and upskilling of staff.
“The Bonga success story has been led by Nigerians who have been managing directors of SNEPCo since it was established in 1993, in a deliberate policy by Shell to develop indigenous manpower for deep-water operations in Nigeria.
“Today, some 97percent of the SNEPCo workforce is Nigerian and overall, Bonga has helped to create a new generation of Nigerian deep-water professionals.
“Our vision at SNEPCo remains to be the best deep-water business, powering growth and achieving net zero emissions in line with Shell’s Powering Progress strategy”.
Banks’ borrowings from the Central Bank of Nigeria (CBN) fell month-on-month, (MoM) by 44 percent to N12.16 trillion in April from N21.7 trillion in March.
Analysis of latest data from the CBN shows that the 44percent drop represents the first MoM decline in banks borrowing from since January when it increased by 268.7 percent to N3.6 trillion from N976.29 billion in December 2023.
However, further analysis showed that banks’ deposits in the CBN SDF grew MoM by 118.4 percent to N428.97 billion in April from N196.37 billion in March 2024.
Banks make use of the SLF to access liquidity to run their day-to-day business operations while the Standing Deposit Facility window (SDF) on the other hand, is an overnight deposit facility that allows banks to lodge excess liquidity (money) with the CBN and earn interest.
The decline in banks’ borrowing from SLF may reflect an increase in banking system liquidity and also the decision of the apex bank last year to remove the limit on the remunerable daily placements by banks at the SDF.
According to the CBN Governor, Mr. Olayemi Cardoso, the CBN removed the cap on the remunerable SDF to increase activity in the SDF window and manage liquidity.
A Financial technology expert, Olatunji Akinrinola, has highlighted the exponential growth of the FinTech industry, which according to him, was driven by technological advancements.
Akinrinola made this assertion in a press release recently, where he stressed that the role of technology in driving this exponential growth in the FinTech sector was very outstanding.
According to him, Technology has revolutionised the way financial services are delivered, making them more accessible, efficient, and inclusive.
“Through innovations such as mobile banking, digital payments, and blockchain technology, FinTech companies have been able to reach a larger population and provided them with access to financial services”, he stated.
Akinrinola emphasised the role of technology in enabling financial inclusion, adding: “Technology has democratised access to financial services, particularly in regions with limited banking infrastructure.
“Mobile money platforms and digital wallets have empowered individuals to conduct financial transactions conveniently and securely, without the need for traditional banking services”.
He also underscored the role of Artificial Intelligence (AI) and data analytics in driving innovation within the FinTech industry, noting: “AI-powered algorithms and predictive analytics have revolutionised risk assessment, fraud detection, and customer personalisation in financial services.
“These technologies enable FinTech companies to provide tailored solutions and mitigate risks more effectively, ultimately enhancing the overall customer experience”.
Akinrinola stressed the importance of regulatory frameworks in fostering the growth of the FinTech industry.
“While technology has accelerated the growth of FinTech, it is essential to establish robust regulatory frameworks to ensure consumer protection and maintain market stability. Regulators play a crucial role in balancing innovation with risk management, thereby creating a conducive environment for the sustainable growth of the FinTech sector”, he stated.
Akinrinola underscored the role of technology in driving the exponential growth of the FinTech industry, saying, “Technology has been a game-changer for the FinTech sector, enabling innovation, expanding access to financial services, and driving economic growth.
“As technology continues to evolve, the FinTech industry will undoubtedly play a significant role in shaping the future of financial services ecosystem”.
Corlins Walter
