Oil and Gas: how the sector will recover post COVID-19
As the African energy sector faces the impact of COVID-19 and the oil price collapse, we look at the African Energy Chamber’s ‘Call to Action’ for the sector.
Following the outbreak of COVID-19 and the collapse in oil prices, African economies and the energy sector is facing increased challenges within the region.
“An unstable and precarious oil prices environment has resulted in substantial cuts in state budgets and public spending, in losses of contracts and hundreds of thousands of jobs put at risk,” commented the African Energy Chamber.
In order to bounce back from this crisis, the African Energy Chamber highlights that a strict and bold government action will need to take place. As a result the African Energy Chamber has released its ‘Call to Action’ detailing the 10 measures for a commonsense energy agenda for Africa.
“Our commonsense approach advocates for measures that will support the continuity of business operations and future sector growth. The oil and gas industry will only work for Africans when we set fair policies and treat oil and gas companies as partners who drive our progress,” declared NJ Ayuk, Executive Chairman at the African Energy Chamber.
“As the voice of the energy industry, we will continue to work with the public and the private sector and other stakeholders to revitalize the African oil and sector by putting Africans back to work,” added Ayuk.
The impact in the oil and gas sector
Not only are the current crises affecting Africa’s most promising exploration prospects, it is also affecting its landmark projects too such as BP, Kosmos Energy’s Greater Tortue Ahmeyim (GTA), ExxonMobil and Eni.
Oil projects that are also being impacted by these challenges include the Pecan Field development, Aker Energy’s letter of intent to charter, operate and maintain the Pecan FPSO, Woodside ENergy’s Sangomar Offshore Oil Project and Shell’s Bonga South West Aparo.
“Delays in the execution or sanctioning of these projects will severely impact African economies whose local goods and services were set to benefit from billions of dollars of subcontracting opportunities,” commented the African Energy Chamber.
Since the outbreak of COVID-19 began the African Energy Chamber has led the communication between the public and the private sector and has been advocating for measures to support the industry and its jobs.
“The African Energy Chamber will continue to call on governments, regulators and private companies to work together on finding the right solutions that work for their country and operations,” concludes the African Energy Chamber.
For more information on business topics in Africa, please take a look at the latest edition of Business Chief EMEA.
5 minutes with... Janthana Kaenprakhamroy, CEO, Tapoly
Founder and CEO of award-winning insurtech firm Tapoly, Janthana Kaenprakhamroy heads up Europe’s first on-demand insurance platform for the gig economy, winning industry awards, innovating in the digital insurance space, and leading with inclusivity.
Here, Business Chief talks to Janthana about her leadership style and skills.
What do you do, in a nutshell?
I’m founder and CEO of Tapoly, a digital MGA providing a full stack of commercial lines insurance specifically for SMEs and freelancers, as well as a SaaS solution to connect insurers with their distribution partners. We build bespoke, end-to-end platforms encompassing the whole customer journey, but can also integrate our APIs within existing systems. We were proud to win Insurance Provider of the Year at the British Small Business Awards 2018 and receive silver in the Insurtech category at the Efma & Accenture Innovation in Insurance Awards 2019.
How would you describe your leadership style?
I try to be as inclusive a leader as possible. I’m committed to creating space for everyone to shine. Many of the roles at Tapoly are performed by women and I speak at industry events to encourage more people to get involved in insurance/insurtech. Similarly, I always try to maintain a growth mindset. I think it’s important to retain values to support learning and development, like reliability, working hard and punctuality.
What’s the best leadership advice you’ve received?
Build your network and seek advice. As a leader, you need smart people around you to help you grow your business. It’s not about personally being the best, but being able to find resources and get help where needed.
How do you see leadership changing in a COVID world?
I think the pandemic has proven the importance of inclusive leadership so that everyone feels supported and valued. It’s also shown the importance of being flexible as a leader. We’ve had to remain adaptable to continue delivering high levels of customer service. This flexibility has also been important when supporting employees as everyone has had individual pressures to deal with during this time. Leaders should continue to embed this flexibility within their organisations moving forward.
They say ‘from every crisis comes opportunity’, what opportunities do you see?
The past year has been challenging, but it has also proven the importance of digital transformation in insurance. When working from home was required, it was much harder for insurers to adjust who had not embedded technology within their operating processes because they did not have data stored in the cloud and it caused communication delays with concerned customers at a time when this communication should have been a priority, which ultimately impacts the level of customer satisfaction. This demonstrates the importance of what we are trying to achieve at Tapoly in driving digitalisation in insurance and making communication between insurers and distribution partners seamless.
What advice would you give to your younger self just starting out in the industry?
Start sooner, don’t be afraid to take (calculated) risks and make sure you raise enough money to get you through the initial seed stage.