In the tumultuous and often turbulent energy sector, nobody stands taller than Mele Kyari, Group Managing Director of the Nigerian National Petroleum Corporation (NNPC). As the head of the apex oil and gas corporation, Kyari spearheaded a transformative effort to revolutionize the way the nation produces and distributes its most vital resource.
From the moment he assumed his position at the helm of affairs of the NNPC, he was driven by a fierce sense of purpose and an unshakable commitment to excellence, implementing a series of bold and innovative reforms that have transformed the sector. Under his leadership, the NNPC has become a beacon of hope and a model of excellence. The NNPC revamped and upgraded its refining capacity, with the ultimate goal of achieving self-sufficiency in the production of petroleum products.
Refineries are brought back to life after years of neglect and disrepair, with significant investments in maintenance, repairs and upgrades. There's the ongoing rehabilitation of the Port-Harcourt refinery, which has been non-functional for several years due to poor maintenance and lack of investment. Under Kyari's leadership, the NNPC has entered into a partnership with Italian oil company, Eni, to rehabilitate and upgrade the refinery, with a target of achieving full production capacity by 2023.
In addition to the Port Harcourt refinery, Kyari also initiated the rehabilitation and upgrade of the Warri and Kaduna refineries. When completed, the collective capacity of these refineries will slow down the rate of fuel importation to a trickle. It will save billions for the government, decrease the burden on petroleum marketers, and spare the masses the agony from incessant fuel price hikes.
In addition, Kyari has overseen the implementation of a number of innovative initiatives designed to maximize the efficiency and effectiveness of the NNPC's operations. These include the establishment of a new trading subsidiary, the creation of a new crude oil marketing division, and the implementation of a new performance management system.
The NNPC is famously known to be long on empty talk and short on transparency. Not anymore. Under the leadership of Mele Kyari, the company has taken significant steps towards enhancing accountability in the industry, by publishing monthly financial and operational reports.
These reports provide detailed information on the organization's operations, including revenue, expenditure, and production figures. This level of transparency is unprecedented in the Nigerian oil and gas industry and has been hailed as a significant step towards promoting a culture of disclosure and openness, and fighting corruption.
Kyari's vision goes beyond the transformation of the nation's refining capacity. He has also been an advocate for the development of our vast natural gas resources, promoting the use of gas as a cleaner and more sustainable alternative to fossil fuels.
Under his leadership, the NNPC has embarked on a massive effort to increase domestic gas utilization, with the aim of diversifying the nation's energy mix and reducing its carbon footprint. This has involved the development of new gas infrastructure, the expansion of existing facilities, and the promotion of gas-based industries such as petrochemicals and fertilizers.
These efforts have yielded impressive results, with Nigeria now the largest producer of Liquefied Natural Gas (LNG) in Africa, and one of the top 10 producers globally. The nation's gas reserves, estimated at over 200 trillion cubic feet, provide a huge opportunity for growth and development, and Kyari is determined to ensure that Nigeria takes full advantage of this potential.
Under his direction, the NNPC has launched several initiatives, including the Nigerian Petroleum Exchange (NPEX), a platform for trading Nigerian crude oil and other petroleum products, and the Nigerian Content Intervention Fund (NCIF), a $200 million fund aimed at supporting the development of local content in the industry.
Shall we talk about his devotion to the development of renewable energy in Nigeria? Kyari believes that the nation's vast renewable energy resources, including solar, wind, and hydropower, provide a huge opportunity for growth and development, and has been working to promote their utilization.
The Kyari-led NNPC has launched several renewable energy initiatives, including the development of a 20 megawatt (MW) solar power plant in Kaduna State, and the commissioning of a 7.5 MW solar power plant at the NNPC's headquarters in Abuja.
Hei has worked tirelessly to promote transparency, accountability, and good governance in the Nigerian oil and gas industry. He has been a vocal advocate for the passage of the Petroleum Industry Bill (PIB), a comprehensive reform package aimed at overhauling the industry's regulatory framework and promoting investment and growth.
After years of delay, the PIB was finally passed into law in August 2021, marking a major milestone in the history of the Nigerian oil and gas industry. Kyari was among the stakeholders who worked tirelessly to ensure the passage of the bill, and his efforts were instrumental in its success.
The PIB has already wrought significant changes, with provisions for the unbundling of the NNPC, the creation of new regulatory bodies, and the promotion of local content and investment. It is expected to attract significant investment into the Nigerian energy segment, creating jobs, promoting growth, and enhancing the nation's energy security.
One of his most notable accomplishments is the achievement of full payment of Nigeria's joint venture cash call arrears to international oil companies (IOCs) amounting to $5.1 billion. This feat was achieved through the introduction of the Alternative Funding Approach (AFA), which replaced the previous cash call payment model.
The AFA model allowed for the utilization of NNPC's own funds to finance its share of joint venture operations, thereby reducing the country's reliance on external borrowing and increasing the flow of investment into the industry. This model has since become a blueprint for other oil-producing countries in Africa.
Another important feather in his cap is the successful negotiation of the OPEC+ production cut agreement, which has helped stabilize global oil prices and boosted Nigeria's revenue from crude oil sales. This agreement, which was signed in April 2020, saw Nigeria agree to cut production by 417,000 barrels per day, a significant reduction that helped balance global oil markets and protect the country's revenue.
Kyari's innovative approach to the management of Nigeria's oil and gas resources has also led to the discovery of new oil and gas reserves in the country. In 2021, the NNPC announced the discovery of oil and gas reserves in the Kolmani River II Well on the Upper Benue Trough in the North-Eastern part of Nigeria.
This discovery, which was made under Kyari's leadership, has been described as a significant milestone in the nation's quest to achieve self-sufficiency in oil and gas production, and a boost to the economy.
It has been said that a man's peers are the best barometers of his success. They are the ones who know him intimately and have witnessed his deeds and words in the most varied circumstances. In this vein, it is instructive to note that Mele Kyari is the toast of stakeholders and industry watchers. .
Kyari's contemporaries have arrayed him with numerous garlands for his exceptional performance and dedication to excellence. In 2020, he was awarded the prestigious Forbes Best of Africa Award, which recognizes the achievements of oustanding African business leaders who are driving economic growth and development on the continent.
He was also recognized by the African Leadership Magazine as the African CEO of the Year 2020, a testament to his leadership and the success of his reforms in the NNPC. In 2021, the International Association of Energy Economics (IAEE) also honored him for his transformative leadership style with the "Outstanding Contribution to the Energy Industry Award".
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Kyari's matchless exploits as the NNPC boss continues to attract attention and plaudits from far and near. In 2021, he was recognized as the African Energy Executive of the Year by the African Energy Chamber, a testament to his commitment to excellence and innovation.
He was also given the Lifetime Achievement Award in 2022, by the Nigeria Oil and Gas Conference and Exhibition (NOG) in recognition of his outstanding contributions to the Nigerian oil and gas industry.
Of course, the road to success has not been without its challenges. Kyari has had to contend with a number of obstacles and setbacks, including a concerted campaign of calumny waged against him and his colleagues by a group of malicious mischief-makers.
But Kyari has not been deterred by these challenges. He has remained steadfast in his commitment to excellence, and has continued to push forward with his transformative agenda despite the odds.
And the results speak for themselves. Under intense pressure and scrutiny, the NNPC has become a world-class institution, capable of competing with the best and brightest in the global energy industry. Its employees are dedicated, skilled, and motivated, and its operations are efficient, effective and sustainable.
There is no doubt that Mele Kyari is a leader of unparalleled vision and courage, and a man whose matchless exploits have transformed the Nigerian oil and gas industry for the better.
His legacy will endure for generations to come, inspiring others to follow in his footsteps and build on his remarkable achievements. As Nigeria looks to the future under a brand-new government, men like Mele Kyari will remain relevant and crucial to the delivery of good governance and continuity.
