Already,the country is targeting increase from 4,000MW to 10,000MW and gas production from 26,000 to 46,000 mega watts to meet its energy needs in the next few years.
EIA, in its International Energy Outlook report released at the weekend, said the energy needs of Nigeria among other countries in Africa, would increase in tandem with its growing population in the next few decades. It said the growth in energy consumption is driven by the its growing economy, among other indices..
It said China and India’s rising prosperity is a major factor in the outlook for global energy demand, adding that the power requirements of the two countries have been more than double in recent times.
The report said: “These two countries combined, account for half the world’s total increase in energy use through 2040. This will have a profound effect on the development of world energy markets.”
It said energy demand will increase to 820 quadrillion British thermal units (Btu) in 2040, up from 524 quadrillion Btus, adding that China’s energy use will double that of the United States by 2040.
It said renewable energy and nuclear power are the fastest growing source of energy consumption, with each increasing by 2.5 per cent per year. stressing that fossil fuels, including oil, natural gas and coal will continue to supply almost 80 per cent of the world’s energy through 2040.
The report said natural gas is the fastest growing fossil fuel in EIA’s outlook, and will continue to dominate the landscape.
It said non-OECD in Europe, Middle East and the United States, accounted for the largest increase in natural gas production globally.
The explosion in supply from unconventional sources will underpin growth of natural gas demand, while high oil prices will encourage countries to focus on liquid fuels “when feasible”, the report stated.
The report projected benchmark Brent crude to average $105 this year, and $100 by 2014, adding that prices will increase long-term with the world oil price reaching $106 a barrel in 2020, and $163 in 2040 in the reference case.
Information from The Nation was used in this report.