African Energy Chamber Talks Energy Stakes at Russia-Africa Summit

By Boris Esono Nwenfor

BUEA, July 29, 2023 – The African Energy Chamber-AEC proved just why it is the leading voice on energy in Africa with a strong showing at the Russia-Africa Summit and Economic and Humanitarian Forum in St. Petersburg. Leading a delegation from the AEC to the Summit was the Executive Chairman NJ Ayuk. In his characteristic style, NJ Ayuk was bold in articulating seminal issues and stakes for Africa in the energy debate.

The second Russia-Africa Summit took place in the Russian city of St. Petersburg from July 27-28. The summit saw participants sign several multilateral and bilateral accords. The accords are geared towards increasing cooperation at the highest level and promoting constructive dialogue within the framework of existing international, regional, multilateral and bilateral Russian-African mechanisms on a wide range of strategic, political and economic issues of mutual interest.

Despite the presence of Russian companies including Lukoil. Rosneft, and Gazprom in Africa, NJ Ayuk says African Oil producers are still disappointed at the slow pace of Russian investment in the energy industries. “There needs to be stronger cooperation between Africa and Russia to fight energy poverty and climate change. Africans want to get married, Russians just want to date, so we need to watch this dating game,” NJ Ayuk, Executive Chairman of the African Energy Chamber-AEC said.

"Wealthy countries have used natural gas to expand human life, to expand prosperity, to grow their economies. It is fundamentally wrong to tell Africans that they have to abandon fossil fuels and wait for wealthy countries to give them handouts and development aid in the name of an energy transition," NJ Ayuk told Sputnik on the sidelines of the Summit.

Alongside other important stakeholders like Gabriel Aduda, Permanent Secretary Political and Economic Affairs Office, Office of the Secretary to the Government of the Federal Republic of Nigeria, Kopeng Obed Bapela, Deputy Minister of Department of Public Enterprises of the Republic of South Africa, Antonio Oburu Ondo, Minister of Mines and Hydrocarbons of the Republic of Equatorial Guinea, Maxim Sergeev, General Director, Inter RAO – Export LLC, Nikolay Shulginov, Minister of Energy of the Russian Federation, Nurislam Syubaev, Deputy General Director for Strategic Development, TATNEFT, Carlos Zacarias, Minister of Mineral Resources and Energy of the Republic of Mozambique, NJ Ayuk took part in a panel on Russia-Africa: Prospects of Energy Cooperation.

Gas is a priority for Africa.

"I think gas is going to be something that is so promising, huge amounts of gas reserves that have been discovered and that need to be brought into development, especially in Nigeria and Congo," Ayuk told Sputnik when asked about potential vectors of energy cooperation with Russia.

"We are looking at gas, developing gas, not just for export but for domestic use, making energy poverty history and driving a gas-based economy to improve people's lives," Ayuk said on the sidelines of the Russia-Africa Summit in St. Petersburg.

According to Rystad Energy - "Energy Addition for Africa" - Sub-Saharan Africa holds 140 billion barrels of oil equivalent, of which only one-third is developed, and two-thirds of undeveloped resources are natural gas. New investment in oil and gas exploration and production is necessary, not only to maximize recent discoveries along Africa's 40,000-km coastline but also to meet rising energy demand globally and stabilize price hikes.

NJ Ayuk noted that 600 million Africans do not have access to electricity and 900 million Africans do not have access to clean cooking technologies, most of them women. He also expressed confidence that Africa could become energy sustainable.

"We will continue to meet with Russian companies, encourage them to continue to invest in Africa and to partner with Africans on projects that would alleviate energy poverty," Ayuk added.

West’s pressure to abandon fossil fuel is "fundamentally wrong”

Speaking to Sputnik, the Executive Chairman emphasized that Africans will not abandon fossil fuels, as they need natural gas for affordable and abundant energy to pursue economic development. Ayuk criticized the notion of wealthy countries providing handouts and development aid in the name of the energy transition.

With over 600 million without access to electricity and over 900 million without access to clean cooking solutions, Africa cannot afford to leave its oil and gas in the ground, Ayuk says. When faced with an energy crisis, Europe has once again turned to coal, and yet Africa continues to be told to abandon its oil and gas, Ayuk argues.

Many African countries are also unhappy that developed countries have exploited their gas and are now seeking new sources because of soaring prices and supply constraints following Russia's invasion of Ukraine. Africa has major gas reserves in countries including Nigeria, Mozambique and Senegal but many are still largely unexploited.

African countries need to use their gas reserves to lift more people out of poverty and build industry as they try to catch up with more developed countries, according to experts. Africa holds around 13% of the world's natural gas and 7% of its oil but has the world's lowest per capita energy use.

With invest in African Energy forums this year in London, Oslo, Paris, Dubai, and Hambourg, participation at several key energy events and high-profile dialogue with stakeholders across Africa, the presence and participation of the AEC at Russia-Africa Summit and Economic and Humanitarian Forum in St. Petersburg ensured continuous attention on Africa’s energy future.

In the meantime, preparations remain in high gear for the African Energy Week (AEW) 2023, slated for October 16-20 in Cape Town, South Africa. stablished in 2021 under the premise to make energy poverty history by 2030, African Energy Week (AEW) is the African Energy Chamber’s annual event, uniting African energy leaders, global investors and executives from across the public and private sector for four days of intense dialogue on the future of the African energy industry.

Under the theme The African Energy Renaissance: Prioritizing Energy Poverty, People, the Planet, Industrialization, and Free Markets, AEW 2023 returns bigger and better than ever before, serving as the official meeting place for Africa’s energy elite. At the forefront of the African energy industry, AEW promotes the role Africa plays in global energy matters, centered around African-led dialogue and decision making. Covering the entire energy sector and value chain, AEW represents the only conference on the continent representative of the entire sector.