Energy Challenges and In Security in Nigeria: A Sectoral Perspective, In Okene O.V.C (ed). Reading in Law and Policy: Current Issues and Trends. Faculty of Law Rivers State University

Abstract

Nigeria is energy rich yet its citizens are energy poor. Petroleum is the dominant energy source and the gas sector supplies 66% of fuel for powering the electricity generating plants in Nigeria. Petroleum is the main export commodity and a major foreign exchange earner for the country. Thus, if petroleum resource is properly harnessed, it may contribute seriously in promoting energy security, as well, galvanize the diversification to other energy resource base for Nigeria. An inclusion of renewable energy to the Nigeria’s energy mix would ensure more sustainable economic development and enhance poverty reduction. However, many factors are responsible for the failure to achieve a reliable, affordable and sustainable energy supplies in Nigerian despite the abundant natural resources in the country. Each energy sector, oil gas, coal, hydro and even the emerging renewable energy resources are bedeviled with different and inherent challenges. However, petroleum resource is the main energy provider for this country. Consequently, it is important that a deeper consideration of major segments of this industry, including, the legal and policy framework that affect the various sectors, would help to uncover the potentials of this sector to contribute to sustainable development of Nigeria. The objective of this paper is to uncover and analyze the causes of energy insecurity in Nigeria through the lenses of various sectors of the petroleum industry such as crude oil, natural gas, petroleum products; together with the role of subsidies in promoting a secure energy supply in Nigeria. The paper argues that an elucidation and dissection of the various sectoral problems is apposite for the attainment of energy security in Nigeria.