Omoboriowo: Gas commercialisation to democratise power supply in Nigeria

Nigeria, a country known for its abundant oil and gas resources, is on the cusp of a significant transformation in its energy sector. Akinwole Omoborewo, the Chairman and Chief Executive Officer of Genesis Energy, recently discussed the pivotal role that gas commercialization can play in democratizing electricity supply to the last mile in Nigeria. In a conversation with CNBC Africa, Omoborewo highlighted the importance of the Electricity Act 2023 and the shift to market-driven tariffs in addressing the longstanding issues in the Nigerian power market. He emphasized the need for independent, decentralized power generation solutions and the potential for gas-to-power and solar energy to drive larger investments and improve the country's energy infrastructure. Genesis Energy, under Omoborewo's leadership, has already made significant strides in this direction, investing in over 120 megawatts of off-grid power generation and operating one of the largest residential mini-grids in West Africa, along with a substantial commercial power plant. These projects are not only expanding access to reliable and competitively priced electricity but also contributing to a cleaner energy mix in the country. Omoborewo underscored the importance of market-driven tariffs in attracting private capital to the sector, citing the need for investors to be able to recover their investments to drive sustainable growth. He also compared Nigeria's relatively low electricity tariffs to other countries like Cape Verde, underscoring the correlation between tariff levels and electrification rates. Looking ahead, Omoborewo acknowledged that the transition to a more efficient and inclusive energy market in Nigeria will take time and require concerted efforts from both the public and private sectors. While the road ahead may be challenging, he remains optimistic about the prospects for Nigeria's energy future, envisioning a landscape where clean and affordable electricity reaches every corner of the country. Ultimately, Omoborewo's insights shed light on the crucial role that gas commercialization and renewable energy solutions can play in unlocking Nigeria's energy potential and driving sustainable development in the region.