Nigeria s vision for achieving sustainable development. However, gas consumption although positive, does not significantlyaffecteconomic growth. Determinants of cooking energy consumption among farming households in owerri agricultural zone, imo state, nigeria chidieberemark n. The rest is from fossil fuels 16% and hydropower 1%. In 2009 nigeria was not among the top ten crude oil producers, but it was the fifth oil exporter 102 mt. This research work focuses on nigeria electricity demand forecast from 202030 towards vision 2025 using time series analysis on past load demand. Energy plays a vital role in the development of any country. Development and dissemination strategies for accelerating biogas production in nigeria. Efficient energy utilization as a tool for sustainable. In many developing countries, a large proportion of household energy requirements is met by use of noncommercial.
Oct 05, 2012 gas consumption causes growth with no feedback. Nigeria as an energy resources nation, blessed immensely with diverse resources such as biomass, natural gas, wind crude oil, solar and coal still have an estimate of 6070% of her population without access to electricity. Nigeria nigeria is the largest economy and the richest oil resource centre of the african continent. The present situation in nigeria is that energy supply does not meet the energy demand. Energy use in nigeria nigeria has a broad base and abundance of fuel sources. Does energy consumption contribute to economic performance. The ability to establish the exact causal pattern between. In january 2020, petroleum consumption for nigeria was 532 thousand barrels per day. Determinants of household energy consumption in nigeria. The energy consumption end use of some selected residential buildings in kaduna and kano in the northern part of nigeria was studied by comparing their energy consumption pattern. In 2017, dry natural gas consumption for nigeria was 609. Nigeria energy market report offers an incisive and reliable overview of the energy sector in nigeria. The forms of energy consumed in nigeria have increased in diversity and intensity with innovations in science and technology and socioeconomic changes. It is, therefore, an established fact that the building sector is responsible for a large share of the words total energy consumption.
Nigeria has oil reserves of about 35 billion barrels 5. Nigeria s primary energy consumption was about 108 mtoe in 2011. Development and dissemination strategies for accelerating. Elijah and nsikak 20 realized that nonrenewable energy in form of natural gas, coal, and petroleum and electricity consumption contribute significantly to industrial growth in nigeria.
The energy crisis of nigeria an overview and implications for. Pdf energy plays a vital role in the development of any country. Youths in nigeria trained in renewable energy technologies and green entrepreneurship. Investigating the impacts of energy access scenarios in the. Electricity consumption and economic development in nigeria. Patterns of energy consumption in nigeria sciencedirect. Households access to electricity and energy consumption. Building energy efficiency guideline for nigeria published by. Foreword over the last decade, nigeria has been one of the shining stars in the african economy, given its status as one of the preferred destinations for global.
Nigeria can provide itself completely with selfproduced energy. The need for nigerian investment in renewable energy. A presentation by michael kelly on behalf of strategic. The nigerian energy sector nigeria is fortunate to have huge energy resources, which potentially give the country ample opportunity to transform her economy and the lives of her citizens. The goal of this paper is not to solve the energy crisis of nigeria, but rather to introduce the depth and complexity of the issues involved. Energy sector nigeria has 12,500 mw of installed generation capacity, being largely dependent on hydropower and fossil gas thermal power sources. K ezugwu abstractthis study focuses on nigeria energy resources and its consumption. Electricity consumption and economic growth in nigeria. The country also remains the largest gas consumer and producer of west africa. Energy is considered as the most important resources of any country. Nigeria has vast natural gas, coal, and renewable energy resources that could be used for domestic electricity generation. The electricity demand in nigeria far outstrips the supply and the supply is epileptic in nature.
The cointegration test identifies long run relationships between total energy consumption and economic growth and also between oil consunption and economic growth. This paper investigated the relationship between energy consumption, carbon dioxide co 2 emissions and gdp in nigeria using autoregressive distributed lag approach to cointegration. Directorgeneral, energy commission of nigeria plot 701c, central area, pmb 358, garki, abuja, nigeria email. Since 1970, nigerias electricity consumption has consistently maintained an upward trend. Hence, the study examined the nexus between disaggregated energy consumption and industrial output in nigeria. Nigeria hit historical highs for both peak generation 4,811mw peak generation on august 25 and total energy generated across the system 4,2mwhh energy generated on august 5.
Since 1970, nigeria s electricity consumption has consistently maintained an upward trend. Nigeria energy data, statistics and analysis oil, gas. Energy consumption by type z petroleum products is the widely consumed energy type and the largest amount of that consumed is imported, despite the countrys status as. Matching electricity supply with demand in nigeria by a. Access to clean and affordable energy is critical for the realization of the united nations millennium development goals, or mdgs. Though nigeria primary energy consumption fluctuated substantially in recent years, it tended to increase through 1998 2017 period ending at 1. Strategic energy limited nigeria subsidies of lp gas markets history of lpg consumtion in nigeria nigeria produced 12% of lpg consumed in the subsaharan africa but accounted for the consumption of only 1% in the west africa region in the late 80s and 90s, lpg consumption in nigeria grew rapidly from.
The use of biomass often worsens poverty and results in low welfare in households. Estimating residential electricity consumption in nigeria to. In response to the growth rates of population and consumption, nigeria s total final energy consumption tfc grew at an average annual rate of 3. The oecd and iea are actively supporting the transition to a greener model of growth. Energy information administration eia estimates that in 20 total primary energy consumption in nigeria was about 4.
Notable power sector reforms are underway in nigeria, including plans for electrification. Tunde olaoye 1, titilayo ajilore 2, kunle akinluwade 3, femi omole 4, adelana adetunji 5. Electricity consumption and economic growth in nigeria 4 vol. One of the most examined issues in growth literature, recently, is the causal linkages between electricity consumption and economic growth. Brighter future and greater prospect abound for solar energy and it need to be incorporated in the nigeria national energy mix 2.
A road map for renewable energy to help achieve this vision. This paper investigated this disparity in the literature using nigeria data from 1980 to 2016. Although it is important to note that currently only 3,500 mw to 5,000 mw is typically available for onward transmission to the final consumer. Disaggregated energy consumption and industrial output in. It is listed on the nigerian and johannesburg stock exchange. The energy situation in nigeria is critical and a key constraint for economic development. The study also shows that there is no causal relationship between electricity consumption and economic growth in either direction. Efficiency of the energy sector and its impact on the. Likewise the same upward trend is witnessed in the emerging economies. However, there are a number of large commercial players in the sector most of whom are located in southwestern nigeria, in close proximity to lagos and its large market of 17. Though nigeria dry natural gas consumption fluctuated substantially in recent years, it tended to increase through 1998 2017 period ending at 609. Energy consumption patterns in the world today shows that nigeria and indeed african countries have the lowest rates of consumption. Thus, the ghgs associated to fossil fuel consumption in such areas will be. Projected sectoral energy demand in nigeria based on 7% growth rate.
Nigeria is the largest oil producer in africa and the tenth largest producer of crude oil in the world. Exploiting renewable energy in quantities and at prices that will. Nevertheless, nigeria suffers from an inadequate supply of usable energy due to the rapidly increasing demand, which is typical of a developing economy. In 2005, total nigerian oil production, including lease condensates, natural gas liquids and refinery gain, averaged 2. Population growth and economic development contribute to an increased need for electricity. Study of nigeria energy resources and its consumption engr c. The study evaluates the energy consumption of both wet and dry processes cement manufacturing plant in nigeria. Sambo introduction electricity plays a very important role in the socioeconomic and technological development of every nation. In this paper, analysis of the energy audit of food processing industry and distillation and bottling company in ota, nigeria has been carried out. The nigeria energy policy report estimated that less than 40 per cent of the population is connected to the national grid. Abstractdevelopment is a key factor in every given society. The energy situation in nigeria is quite different from that of the united states and other more developed.
Energy is critical to the survival and expansion of any economy, but in nigeria, energy consumption has been skewed towards household use, and below thresholds for sector driven growth. En ergy consumption data collected for the period 2003 to 2011 were used to estimate the energy consumption. Bamiro department of agricultural economics and extension landmark university, omuaran kwara state, nigeria j. Pdf energy consumption and economic growth in nigeria. In the context of the developing economies, the growth in energy. Study of nigeria energy resources and its consumption. The second and third sections presents the primary energy supply and consumption, respectively. The empirical results reveal that petroleum, electricity and the aggregate energy consumptionhave significant and positive relationship with economic growth in. Pdf energy consumption, co2 emissions and gdp in nigeria. This study therefore, evaluates the effect of energy. Energy consumption nigeria coal consumption fuel consumption electricity consumption petroleum consumption wood introduction the forms of energy consumed in nigeria have increasingly diversified with innovations in science and technology. It is estimated that, in 2011, gridconnected customers suffered an average of 28 blackouts per day. Nigeria is one of the countries that rely heavily on fossil fuel, especially oil and gas to meet its energy needs.
The nigeria energy policy report estimated that less than 40. Nigeria has experienced all the phases of oil the good, the bad and the ugly. This paper focuses on the causality between gdp and total energy consumption on one part and each of the basic subcomponents of energy consumption in nigeria with a view to finding out if different sources of energy. Nigeria s progress towards achieving sdg7 ensure access to affordable, reliable, sustainable and modern energy for all figure 4. Oando is nigeria s largest nongovernment owned company in the energy industry. It is obvious that energy is the engine that drives the economy of any nation. Energy audit of manufacturing and processing industries in. Most of the energy comes from traditional biomass and waste, which account for 83% of total primary production. Taherzadeh a following the worsening energy crisis of unreliable electricity and unaffordable petroleum products coupled with the increase number of povertystricken people in nigeria, the populace is desperately in. Apart from its direct fiscal effects, the energy sector is strategic for increasing the competitiveness of the nigerian economy, be it as a way of reducing overall energy costs or as a way to further modernize.
Energy consumption in nigeria the most important measure in the energy balance of nigeria is the total consumption of. Evidence from nigeria 249 households do not have sophisticated energy equipment such as gas cookers, electric cookers, etc. The description is composed by our digital data assistant. The nigerian poultry sector is extremely fragmented with most of the chicken raised in backyards or on poultry farms with less than 1,000 birds. Currently only 40% of nigeria s population is connected to the.
Commercial demand, electricity demand, energy generation, electricity supply, energy consumption, forecast, industrial demand, load. Pdf analysis of household energy consumption in nigeria. Nigerias average electricity consumption per inhabitant is only 150 kwh per capita, one of the lowest in the world. Oando is nigeria s largest oil company, headquartered in lagos. Energy consumption patterns in the world today shows that nigeria and indeed african countries have. Pdf the study evaluates thecausal nexus between energy consumption andnigerias economic growth for the period of 1975 to 2010. Section 7 provided the way forward with the concluding remarks covered in section 8. May 19, 2016 the chapter presents the status quo of nigerias energy sector and is divided into five sections. In the appendix, we describe various strategies that could be used to address the solution.
Transmission losses fell by 10% june to august 15th 2015 compared to the first four months of the year. Youths in nigeria trained in renewable energy technologies. However, the implications of these global goals on nigerias energy system. An economy that gradually move from a monolithic fossil economy to one driven by an increasing share of renewable energy in the national energy mix. Though nigeria petroleum consumption fluctuated substantially in recent months, it tended to increase through february 2015 january 2020 period ending at 532 thousand barrels per day in january 2020.
In doing this, energy consumption was disaggregated, and their impacts on economic growth. This article investigates the relationship between energy consumption and the nigerian. Nigeria s population of more than 150 million is growing at an annual rate of 2. Table 1 above reveals the poor state of generation and supply of electricity in nigeria and the need for alternative energy like solar. Nigerian energy support programme nesp deutsche gesellschaft fur internationale zusammenarbeit giz gmbh 2 dr clement isong street, asokoro abuja, nigeria. Nigeria energy market report energy market research in nigeria. Fortunately, nigeria has abundant natural energy resources that can bring her economy to the fore of development. G3 1department of agricultural economics, extension and rural development, imo state university, owerri, imo state, nigeria. For instance, in 2006, the ministry of environment implemented the renewable energy master plan remp, which was a strategy that aimed to increase the contribution of renewable energy to nigeria s total energy production by 2025. The major energy consuming activities in nigerian households are cooking, lighting, and use of electrical appliances in that order.
In 2017, primary energy consumption for nigeria was 1. Pdf energy consumption and nigerian economic growth. The millennium development goals and household energy. Determinants of household energy consumption in nigeria core. The energy commission of nigeria ecn is the government organ with the statutory mandate for the strategic planning and coordination of national policies in the field of energy in all its ramifications, and to ensure adequate, reliable, costeffective and sustainable energy supply for nations economic and sociopolitical development. A walkthrough energy audit of these industries was undertaken to identify the major sources of energy in use, identifying the lapses in energy usage, identifying areas to improve energy usage, determining the level of consumption of the energy.
Regular blackouts also make necessary the use of stabilizers in order to protect electronic equipment and appliances which. Pwcs annual power and utilities roundtable the challenges. Ii, issue 4 july 20 benefits of the huge investment, as electricity unavailability still remains an invisible ghost haunting the nations economy and has successfully wiped off cottage industries due to high cost of generating power independently. Pdf disaggregated energy consumption and sectoral output. Energy consumption and productivity in nigeria omolola s olarinde department of economics, elizade university, ilaramokin, ondo state. Nwofe division of materials science and renewable energy, department of. With a focus on oil, gas, coal and power markets, the report provides a complete picture of the country situation, dynamics, current issues and future prospects. About 55% of the population has no access to electricity and out of the total energy consumption, traditional biomass firewood and charcoal accounts for 86%. The empirical results reveal that petroleum, electricity and the aggregate energy consumptionhave significant and positive relationship with economic growth in nigeria. The paper updates in time and methodology those studies.
Nigerian governments have made efforts towards renewable forms of electricity in the country. The study observes that, energy consumption is a strong determinant of economic growth having an implicit effect in lagged periods and both an implicit and explicit effect on the present economy of nigeria. The total production of all electric energy producing facilities is 29. Energy and cost analysis of cement production using the. The energy crisis of nigeria an overview and implications. Assessment of energy use pattern in residential buildings. Ogunjobi department of economics landmark university, omuaran kwara state, nigeria abstract. Assessment of energy use pattern in residential buildings of. Federal ministry of power, works and housing housing shehu yaradua way, mabushi abuja, nigeria. Energy consumption in niger the most important measure in the energy balance of niger is the total consumption of. This study examines household energy consumption in ogun state. The nigerian energy supply crisis refers to the ongoing failure of the nigerian power sector to provide adequate electricity supply to domestic households and industrial producers despite a rapidly growing economy, some of the worlds largest deposits of coal, oil and gas and the countrys status as africas largest oil producer. In 2005, the energy commission of nigeria in collaboration with the united nations development programme undp drafted a renewable energy masterplan from the national energy policy. Pdf on dec 11, 2017, o kayode and others published analysis of household energy consumption in nigeria find, read and.
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