BUSINESS

My resignation will not change America’s supports for Africa’s energy growth—–Rick Perry

&NewLine;<p>Two years ago&comma; U&period;S&period; Secretary of Energy Rick Perry&NewLine;attended Africa Oil Week to promote his country’s policies for energy on the&NewLine;continent&period; This the U&period;S&period; Assistant Secretary for Fossil Energy&comma; Steven Winberg&comma;&NewLine;attended to highlight the importance the United States places on fostering relationships&NewLine;with the continent&period;<br>&NewLine;The first question on everyone’s lips was how the recent announcement of&NewLine;Secretary Perry’s resignation would affect the U&period;S&period; outlook towards Africa&period; &OpenCurlyDoubleQuote;If&NewLine;you are asking if there is going to be an Africa policy change&comma; the answer is&NewLine;clearly no&comma;” he says&period; &OpenCurlyDoubleQuote;As you know&comma; Deputy Secretary Brouillette has been&NewLine;nominated by the President&comma; and he will go through the confirmation hearing&period;&NewLine;But I can tell you that the Secretary and the Deputy Secretary are in lockstep&comma;&NewLine;as is the President&comma; with policies such as Prosper Africa and Power Africa&period; The&NewLine;objective for the United States is not changing as it relates to Africa&period;”<br>&NewLine;In a release by Apo Group&comma; made&NewLine;available to OpenLife&comma;&nbsp&semi; Winberg&NewLine;points to the fact that Prosper Africa is a cross-government initiative that&NewLine;involved the Department of Energy and the State Department&period;&nbsp&semi;It is designed&NewLine;to support United States business and energy activities in Africa&period; &OpenCurlyDoubleQuote;There are&NewLine;54 countries in the continent of Africa&comma; and we think that there are great&NewLine;opportunities for the United States to bring our technology and our capital to&NewLine;bear&comma; especially in the energy space&period; I think we also have the opportunity to&NewLine;counter malign actor influence&period; And finally&comma; and probably most importantly&comma;&NewLine;Prosper Africa provides opportunities for sustainable economic development and&NewLine;economic development with transparency&period;”<br>&NewLine;&OpenCurlyDoubleQuote;That is what the United States brings to Africa&comma; and we are pleased to be&NewLine;here&period; We are pleased to be at this conference to help develop relationships and&NewLine;help develop understanding between the United States and the 54 countries in&NewLine;Africa&period;”<br>&NewLine;The strategy is for the U&period;S&period; government to work with U&period;S&period; companies that want&NewLine;to do business in Africa and to work with countries in Africa that want to do&NewLine;business with U&period;S&period; companies&period; &OpenCurlyDoubleQuote;We can indeed shine a bright light on these&NewLine;opportunities&comma;” Winberg adds&period; &OpenCurlyDoubleQuote;We can also assist African enterprise and&NewLine;African countries by introducing them to US companies&comma; and vice versa&period;”<br>&NewLine;&OpenCurlyDoubleQuote;We also have opportunities for African countries to come over to the United&NewLine;States and work with some of our departments so they can understand how we do&NewLine;business and how we create a transparent business climate&period; We have 17 National&NewLine;Labs&period; And we are very open about what those labs do&period; Numerous countries send&NewLine;representatives to visit those labs so that they can understand the&NewLine;technologies that we are working on and how those technologies might be&NewLine;applicable to their situation&period; We are going to continue that activity so that&NewLine;we can become a long-term partner with African nations&period;”<br>&NewLine;Aside from supporting the work of U&period;S&period; businesses in Africa&comma; Winberg is clear&NewLine;that he sees Africa as a prime market for the surplus of gas that the U&period;S&period;&NewLine;shale revolution is delivering&period; &OpenCurlyDoubleQuote;I do believe there is going to be increased&NewLine;oil and natural gas production in Africa&comma; but there is an interim period when&NewLine;African countries may want to avail themselves of our LNG exports&comma;” he&NewLine;explains&period;<br>&NewLine;At present&comma; the United States has the capacity to export seven billion cubic&NewLine;feet per day&comma; which will grow to ten billion cubic feet per day by 2020&period; &OpenCurlyDoubleQuote;In&NewLine;operation or under construction&comma; we will have 15&period;5 billion cubic feet per day&NewLine;today coming online over the next several years&period; The Department of Energy has&NewLine;authorised about 35 billion cubic feet a day&comma;” Winberg adds&period; &OpenCurlyDoubleQuote;There is a lot of&NewLine;headroom there for countries that want to use LNG imports in the interim period&NewLine;while they are developing their own natural gas production&period;”<br>&NewLine;<br>&NewLine;According to Winberg&comma; the U&period;S&period; shale surplus offers another benefit&colon;&NewLine;stabilising the market and providing security of supply&period; &OpenCurlyDoubleQuote;About two and a half&NewLine;months ago&comma; the Straits of Hormuz saw some hostile activity&comma;” he says&period; &OpenCurlyDoubleQuote;If you&NewLine;watched the Brent Crude oil price&comma; it barely moved in and around that&NewLine;hostility&period;”<br>&NewLine;&OpenCurlyDoubleQuote;Then on September 14&comma; the Iranians attacked Saudi Arabia – the attack&NewLine;initially took out half of their production&period; That happened on Saturday&semi; and on&NewLine;Monday when the European markets closed Brent crude was up 9 dollars and within&NewLine;two weeks Brent closed below pre-attack levels&period;&nbsp&semi; That speaks volumes about&NewLine;the robust nature of this oil and gas market&period; If that attack had occurred a&NewLine;decade ago&comma; we would have seen a fly up in oil prices&comma; and I think they would&NewLine;have stayed up&period;”<br>&NewLine;&OpenCurlyDoubleQuote;The fact that we continue to increase the level of oil that we&&num;8217&semi;re producing in&NewLine;the United States and will be a net exporter of energy next year&comma; reduces the&NewLine;impact that those types of attacks can have&period; And if it&&num;8217&semi;s not as impactful as&NewLine;those perpetrators want it to be&comma; then there&&num;8217&semi;s not a lot of value&period; And I think that&&num;8217&semi;s&NewLine;the real message here&period;”<br>&NewLine;Much has been made about the United States stepping away from the Paris Climate&NewLine;Accord&comma; but Winberg is clear that does not mean that the U&period;S&period; is not serious&NewLine;about reducing carbon emissions&period; &OpenCurlyDoubleQuote;The answer to reducing greenhouse gas&NewLine;emissions&comma; whether it&&num;8217&semi;s methane or CO2&comma; is through technology development&comma;” he&NewLine;explains&period; &OpenCurlyDoubleQuote;The International Energy Agency &lpar;IEA&rpar; understands that and talks a&NewLine;lot about the need for carbon capture technology&period;”<br>&NewLine;&OpenCurlyDoubleQuote;If you do the math&comma; you know that without technologies such as carbon capture&comma;&NewLine;utilization and storage&comma; none of the countries can meet any of the goals that&NewLine;they aspire to meet&period; It all comes down to technology&period; One thing that President&NewLine;Trump and the Administration are adamant about is having an &OpenCurlyDoubleQuote;all of the above”&NewLine;strategy in the United States&period; I know there are countries that want to&NewLine;eliminate fossil fuel from their energy mix&period; We do not think that is a wise&NewLine;decision&period; We think it is wise to develop technology to reduce the environmental&NewLine;impact of those fossil fuels&comma; whether coal&comma; oil or natural gas&period;”<br>&NewLine;&OpenCurlyDoubleQuote;Under just about every forecast&comma; and IEA is probably the most influential&comma; 80&NewLine;per cent of our energy needs globally will be coming from fossil fuels for the&NewLine;next 30 to 40 years&period; So&comma; eliminating fossil energy is not practical&period;&nbsp&semi;What&NewLine;is practical&comma; is developing technologies to reduce greenhouse gas emissions and&NewLine;create more efficient&comma; as well as designing a less environmentally impactful&NewLine;use of energy&period;”<br>&NewLine;As for foreign policy in Africa&comma; Winberg is clear that the Trump Administration&NewLine;believes that it is up to African countries to resolve whatever internal issues&NewLine;they have&period; &OpenCurlyDoubleQuote;It is not our role to tell countries what to do&comma;” he concludes&period;&NewLine;&OpenCurlyDoubleQuote;However&comma; what we can do and what we offer is an opportunity to talk to us&NewLine;about policies that will attract capital and policies that will attract&NewLine;technological investments&period;&nbsp&semi; We will continue doing that for countries that&NewLine;want to develop their natural resources&period;”<br>&NewLine;&OpenCurlyDoubleQuote;That has been a focus of this Administration&period; I said earlier that the Trump&NewLine;administration absolutely believes in the &OpenCurlyDoubleQuote;all of the above” energy strategy&period;&NewLine;We want to export our technology and our natural resources&period;&nbsp&semi; We will do&NewLine;everything we can to work with countries that want to avail themselves of what&NewLine;we have to offer&comma; including working with them on various policy issues that&NewLine;they need to resolve to attract capital and attract technology&period;”<&sol;p>&NewLine;

Openlife Reporter

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