Dublin, Ireland — In spite of rising prices of Liquefied Petroleum Gas, LPG, also known as cooking gas, Nigeria lost $228.2 million to gas flaring in eight states of the federation, between January and April 2021, according to data released by the National Oil Spill Detection and Response Agency, NOSDRA.
Using current exchange rate of N409.61 to a United States’ dollar, this translates to a loss of N93.47 billion to the country in the four-month period.
In its report on gas flaring in the country, NOSDRA noted that oil and gas firms flared 65.2 billion standard cubic feet (SCF) of gas in the eight states, which it listed as Abia, Akwa Ibom, Bayelsa, Delta, Edo, Imo, Lagos and Rivers State.
The report noted that the companies were also expected to pay penalties of $130.4 million, an equivalent of N53.41 billion.
It also added that as a result of the volume of gas flared, the eight oil-producing states suffered emission of 3.5 million tonnes of carbon dioxide (C02) into their atmosphere, while it added that the volume of gas flared was capable of generating 6,500 gigawatt hours of electricity.
Giving a breakdown of the volume of gas flared, NOSDRA reported that Delta state recorded the highest gas flaring incidents, as oil and gas firms polluted its atmosphere with 27 billion SCF of gas, valued at $94.3 million (N38.63 billion), with penalties payable at $53.9 million, an equivalent of N22.08 billion.
The volume of gas flared in Delta, the report added, translated to C02 emissions of 1.4 million tonnes, and was capable of generating 2,700 gigawatt hours of electricity.
Specifically, NOSDRA noted that Delta suffered gas flaring of 8.36 billion SCF, 7.06 billion SCF, 4.789 billion SCF and 6.741 billion SCF in January, February, March and April 2021, respectively.
Rivers State followed, according to the report, as oil and gas firms operating in the state flared 15.9 billion SCF of gas, valued at $55.6 million; with penalties payable at $31.8 million; an equivalent of 843,400 tonnes of CO2 emissions and power generating potential of 1,600 gigawatt hours of electricity.
Bayelsa state, suffered CO2 emissions of 493,000 tonnes, as oil firms operating in the state flared 9.3 billion SCF of gas, valued at $32.5 million; with penalties payable at $18.6 billion, while the gas flared was capable of generating 928 gigawatt hours of electricity.
In Edo state, the 8.3 billion SCF of gas flared in the first four months of 2021 was capable of generating 829.2 gigawatt hours of electricity; translated to 440,400 tonnes of CO2 emissions; was valued at $29 million; with penalties payable at $16.6 million.
Imo State recorded 3.7 billion SCF of gas flaring, valued at $12.9 million; equivalent to 195,300 tonnes of CO2 emissions; and capable of generating 367.7 gigawatt hours of electricity; and penalties payable at $7.4 million.
Akwa Ibom, Abia and Lagos states recorded the flaring of 692,700 SCF, 221,200 SCF and 217,900 SCF of gas, valued at $2.4 million, $774,100 and $762,500, respectively.