By Nneka Nwogwugwu
The Minister of state for Petroleum Resources, Timipre Sylva, has announced the reduction of the price of gas to power from $2.50 to $2.18 with immediate effect.
Sylva said the reduction was an offshoot of a negotiation between the federal government and the organised labour.
He said this while declaring open the 2021 Gas Sector Stakeholders Forum organised by the Gas Aggregation Company of Nigeria (GACN) and the Nigerian National Petroleum Corporation (NNPC) for the Ajaokuta-Kaduna-Kano (AKK) gas pipeline project holding in Kano.
Daily Trust reports that the minister said the forum is geared towards sensitizing the Northern part of Nigeria of the opportunities that will come with the revamping of moribund industries in Kano and other states in the corridor of the pipeline.
He noted that experts have estimated that it will take two-three years to revamp these industries to function at optimal level and this will come at the right time when the AKK project is delivered in 2023.
While speaking at the event also, the Minister of Power, Mamman Saleh, represented by his Special Assistant on Policy, Abba Aliyu, noted that the power sector uses more than 60% of the gas currently generated in the country to generate electricity and as such the price reduction will assist the federal government’s goal of delivering sustainable power for the country.