Driving Nigeria’s industrial growth: The power of gas and flexible technology

This article is based on Season 1, Episode 4 of the the Energy Situation Room Podcast 

Listen to the full episode here: 
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Nigeria stands at a pivotal moment in its energy evolution, possessing the largest natural gas reserves in Africa with approximately 200 trillion cubic feet. In a recent episode of the Energy Situation Room, hosted by Wärtsilä Energy, Terence Mentor sat down with Wale Yusuff, Managing Director of Wärtsilä Marine and Power Services in Nigeria, to discuss how the nation can leverage this resource to drive long-term economic and industrial growth. 

The Central Role of Gas in Nigeria’s Vision 
Gas is already the backbone of Nigeria's power sector, accounting for 75% of national electricity generation. However, Yusuff emphasises that its utility extends far beyond the power grid. Gas serves as a critical feedstock for heavy industries, including cement, steel, fertilizer, and petrochemicals. 

Nigeria is bridging critical infrastructure gaps by utilising innovative distribution methods to reach areas beyond the pipeline network. This includes the use of Compressed Natural Gas (CNG), which is compressed and trucked to specific locations, and Mini LNG plants that allow for the transport of larger volumes in liquid form before being re-gased at the point of use.  

These solutions are central to the "Decade of Gas" initiative, which aims to leverage Nigeria’s reserves to drive a sustainable transition toward the country’s net zero goals. Beyond providing energy, these technologies foster industrial growth for the cement and fertiliser sectors while creating new value chains and local employment opportunities. 

Navigating the Energy Transition 
Nigeria has committed to ambitious environmental goals, including achieving Net Zero by 2060 and the "30-30-30" vision, aiming for 30 GW of power with a 30% renewable energy mix by 2030. Yusuff argues that gas is the "transition fuel" that makes these goals achievable. 

The transition, as outlined by Wärtsilä’s research, follows a strategic three-step pathway:

• Increase Renewables: Continually adding solar and wind to the energy mix. 
• Add Balancing Power: Using flexible engines to compensate for the intermittency of renewables
• Phase Out Inflexibility: Gradually retiring older, inflexible power plants while maintaining grid stability with future-ready engines

The Advantage of Engine Technology 
A significant portion of the conversation focused on why engine technology is uniquely suited for the Nigerian landscape. Unlike traditional turbines, gas engines offer unmatched flexibility. They can ramp up or down quickly to stabilise the grid when renewable output fluctuates. 

Furthermore, engines are highly resilient to common local challenges:

• Low Pressure Tolerance: Engines can continue to operate even when gas pipeline pressure drops, a situation where other technologies might fail. 
• Fuel Quality: They are more tolerant of varying gas qualities compared to competing technologies. 
• Future-Ready: These engines are designed to eventually run on "future fuels" like hydrogen or other Power-to-X solutions, ensuring the infrastructure remains relevant for decades. 

A Paradigm Shift 
Ultimately, Yusuff views the move toward flexible, gas-powered engine technology as a necessary "paradigm shift" for Nigeria. By combining the country's vast natural resources with flexible technological innovations, Nigeria can build a stable, sustainable, and industrialised future. 

Written by

Terence Mentor