FUTURE OF ENERGY SURVEY - NIGERIA March 015, Nigeria Copyright Company by name Shell International appears here BV
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All forwardlooking statements contained in this presentation are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional factors that may affect future results are contained in Royal Dutch Shell s 0-F for the year ended 31 December, 013 (available at www.shell.com/investor and www.sec.gov ). These factors also should be considered by the reader. Each forward-looking statement speaks only as of the date of this presentation, 16 March, 015. Neither Royal Dutch Shell nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this presentation. There can be no assurance that dividend payments will match or exceed those set out in this presentation in the future, or that they will be made at all. We use certain terms in this presentation, such as discovery potential, that the United States Securities and Exchange Commission (SEC) guidelines strictly prohibit us from including in filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 0-F, File No 1-3575, available on the SEC website www.sec.gov. You can also obtain this form from the SEC by calling 1-800-SEC-0330.
APPROACH In 014 Shell commissioned Ipsos to conduct a survey of Nigerians energy concerns, priorities and usage. Research Objectives Quantify interest in the topic of energy and its importance relative to other issues Better understand energy usage habits Identify perceptions of how future energy challenges should be met Methodology Ipsos conducted face to face survey with n=154 metropolitan and regional community members Data was collected from nd of July 4 th of July Data has been weighted by age and gender to ensure the sample collected from each city provides an accurate reflection of its population Copyright by Royal Shell International Dutch Shell plc BV March 015 3
KEY FACTS MORE THAN 4 IN 5 NIGERIANS INTERESTED IN TOPIC OF ENERGY 75% SEE RELIABILITY OF ELECTRICITY AS IMPORTANT ISSUE 56% SEE COLLABORATION BETWEEN GOVERNMENT, INDUSTRY AND COMMUNITIES AS MOST IMPORTANT FACTOR IN BUILDING ENERGY SOLUTIONS 4
KEY FACTS 3% CONSERVE ENERGY BY SWITCHING OFF APPLIANCES WHEN NOT IN USE 45% USE BUS AS MAIN MEANS OF TRANSPORTATION KEROSENE IS THE MOST COMMONLY USED FUEL FOR COOKING 5
INTEREST IN THE TOPIC OF ENERGY UK US Australia Extremely 46% 48% 4% Interested 34% 7% 3% Neutral 9% 10% 11% Not that interested 6% 7% 8% Not at all interested 4% 6% 6% Don t know 1% % 1% Higher than the UK, US & Australia 84% 0% Don t know % Not at all interested (0-) 8% 6% Not that interested (3-4) 8% Neutral (5) % Interested (6-7) Higher interest among the higher educated 6% Extremely interested (8-10) Total Interest n=,154 Q1. On a scale of 0-10 where 0 means you are not at all interested and 10 means you are extremely interested, how interested would you say you are in the topic of energy? Total Interest Male 85% Female 83% Higher Education 86% School Certificate/GCE 83% None/Primary School 80% 6
RELATIVE IMPORTANCE OF ISSUES Reliable electricity Employment / job security 75 75 Having reliable electricity is the top issue for Nigerians Education system 73 Access to health care Security Adequate food supply to meet future needs The cost of living Adequate water supply to meet future needs Affordable Fuel 73 7 69 66 65 6 Security Urban 75% Rural 69% Fuel Urban 65% Rural 59% Environmental pollution 48 0 0 40 60 80 *Numbers reported are Top 3 percentage (8, 9, 10 on level of importance). n 014 =,154 Q. How do you rate each of the following issues on a scale of 0 to 10, where 0 means you think it is not an important issue and 10 means you think it is an important issue? 7
DASHBOARD: MOST IMPORTANT FACTOR IN BUILDING FUTURE ENERGY SOLUTIONS Total Urban Rural Collaboration 56% 60% 51% Economic incentives for clean energy 15% 1% 19% Innovation 14% 14% 14% Ease of access 7% 6% 9% Policy 7% 8% 7% Other - - - Figures above are top 3 responses (%) Q10. What do you believe is the most important factor in building future energy solutions? Base: Total (n=154), Urban (n=1307), Rural (n=847) Significantly higher than rural/urban at 95% confidence interval 8
PERSONAL EFFORTS UNDERTAKEN TO ADDRESS FUTURE ENERGY NEEDS Conserving energy/switching off appliances when not in use Regular payment of electricity/nepa bills/recharge 31 3 Nothing 11 Addressing the vandalization of transformers in communities Maintenance of power equipment/transformers 4 5 I always turn off all our appliances before going to bed and when going out. Contributing my best to the economy 3 By paying my tax Being adaptive without the energy By minimizing electrical waste & switching off various appliances/ lights at home when not in use. By ensuring we preserve water supply I subtitute by buying fuel/don't rely on government for energy I use other means to generate electricity e.g generator I pay my tax and light bill, operational permit and sanitation. *Asked if answered 6-10 Q1, Only shown answers with % or more n 014 = 54 Q13. What is the one thing that you personally do that you consider to be most significant in addressing future energy needs? Copyright by Shell International BV March 015 9
MAIN MEANS OF TRANSPORTATION 50 45 40 45 Age Car 18-30 16% 31-40 5% 41-50 1% 18-30 year olds least likely to drive cars (more likely to use buses 48%) 35 51-60 4% 30 5 0 1 18 15 15 *Keke NAPEP 10 5 0 Bus Car Motorbike Foot other n =154 Q18. What is your main means of transportation? * Keke - Tricycle; * NAPEP - National Poverty Eradication Programme 10
FUEL USED FOR COOKING 100 90 80 87 Region Gas Electricity Wood/Charcoal Urban 3% 5% 18% Rural 6% 8% 6% 70 60 50 40 36 30 0 1 18 10 0 Kerosene Wood/Charcoal Gas Electricity Coal 5 n =154 Q16. What fuel do you use for cooking? 11