A workshop organized in Ethiopia by National Oil Ethiopia suggested the need to develop infrastructure facilities, investment and regulatory standards in order to secure efficient utilization of energy because the demand for oil will double in the coming decade.
During the event Ethiopia’s Water, Irrigation and Energy Minister, Alemayehu Tegenu, said the demand for energy is forecasted to increase by 50 percent in the coming 20 years. He further noted fossil fuel will continue to cover 80 percent of the world energy demand and that oil will be the main energy source in the coming times too.
Alemayehu furthered, Africa is blessed with abundant fossil fuel yet it only consumes six percent from the entire fuel consumption of the world.
Drawbacks in the promoting efficient energy production and utilization in Africa were also presented by the Minister. He said lack of fuel specification, finance, infrastructure and regulatory standards are the major shortcomings being witnessed in Africa.
According to Alemayehu, there is a new Petroleum law in Ethiopia intended to facilitate investment in the sector, improve the safety and operational activities of distributing and utilization of oil. He also noted on the infrastructure works Ethiopia is carrying on with mega hydropower projects and alternative power sources.
It was the opinion of Pierre Reteno, Director General of Africa Refiners Association (ARA,) that African nations will have a significant impact on the global oil demand for the nations will grow in the coming years.
Reteno warned African nations to be ready for the challenges of oil demand and energy production while delivering the right petroleum products to their population in terms of quality and quantity.
The Director General shared Alemayehu’s idea of poor infrastructure being a drawback for oil production and distribution. He furthered other problems to be outdated refiners, inadequate ports, storage and shortage of facilities.
Representative of African Commissioner of Infrastructure and Energy at the African Union noted the Continent’s enormous oil and gas resources contribute 10 percent of the global oil production. He added yet Africa consumes only four percent of the global oil supply.
Nonetheless, the Representative added, Africa is now becoming a key player in the global oil production witnessing new findings of oil and gas. He also noted boosting energy will enable the Continent its development.
Source: The Ethiopian Herald
