Your Inputs into Energy Transition Plan are Crucial’ – NAPO Tells National House of Chiefs
The Minister for Energy, Hon. Dr. Matthew Opoku Prempeh, has expressed his confidence in the contributions of the National House of Chiefs towards the drafting of the National Energy Transition Plan.
Dr. Prempeh, who is also known as ‘Napo’, made this statement when he addressed the National House of Chiefs in Kumasi on Tuesday as part of engagements with various stakeholders with the aim of seeking inputs in the formulation of a National Energy Transition Plan. He was joined by the deputy Minister for Transport, Hon. Frederick Obeng, members of the National Energy Transition Team and senior officials from the Ministries of Energy and Transport.
In his remarks, Dr. Prempeh noted that the global advocacy for energy transition has huge implications for Ghana and therefore we need to strategically plan to overcome the challenges imposed by the agenda and to move with the rest of the world towards cleaner energy. He made it clear, however, that we will do this at our pace cognizant of the fact that we are not as resourced as the developed countries.
He noted that the recent push for accelerated energy transition has received significant support from global stakeholders expressed as follows:
•UK Government has pledged not to support funding for oil and gas projects. It has also adopted a policy to end the sale of new petrol and diesel cars in the UK by 2030.
•The US government has halted new oil and natural gas leases on public lands and waters, and began a thorough review of existing permits for fossil fuel development. The government has also set a goal to reach 100 percent carbon pollution-free electricity by 2035,
•In 2019, the World Bank announced that it would stop financing upstream oil and gas projects.
•In November 2020, the European Investment Bank announced its policy to stop all fossil fuel lending including gas by the end of 2021.
•A group of 457 investors, which oversees more than $41 trillion in assets combined have committed to net zero, and a coalition group of 79 company CEOs have called on the G7 — Canada, France, Germany, Italy, Japan, the UK and US — to work harder on reducing greenhouse emissions and cut funding for fossil fuels.
•The Major International Oil Companies (IOCs) under shareholder and legal pressure have all adopted emission reduction targets and are cutting hydro carbon production and transforming their companies and investment strategies. This has led to a refocusing on “advantaged” and “agile” projects. They have embarked on cost cutting measures, divestments and reducing exploration in frontier areas.
•In 2020, BP announced its decision not to explore in new markets. Similarly, Shell announced that it would not undertake exploration in frontier areas after 2025. Chevron, Exxon Mobil and Conoco Philips under shareholder pressure have agreed to back emission reduction targets. Shell recent court ruling imposing a 45% cut relative to 2019 level emissions by 2030.
The Minister further revealed that in line with preparing a National Energy Transition Plan, the Ministry of Energy in December 2021, formed the National Energy Transition Committee. He recalled further that on 22nd February 2022, the National Energy transition Forum was launched at Kempinski Gold Coast Hotel by H.E. the Vice President. The forum was replicated in all the other regional capitals and stated that valuable feedback has been obtained from these engagements.
Dr. Prempeh told the meeting of National House of Chiefs, presided over by its Vice President, Naa Puowele Karbo III, Lawra Naa (Upper West) that, it is thus imperative to engage distinguished Chiefs to gain their support as well as their frank opinions on the findings of the Committee for the finalization of the National Plan.
“Valuable inputs from yourself and distinguished Chiefs gathered here today I believe will go a long way to enrich the work of the Committee to produce the best plan which will be in the interest of our country”, he stated.
