Desertification in the north, floods in the centre, pollution and erosion in the coast and the associated socio-economic consequences allude to the reality and grave impacts of climate change, so says the Nigerian Economic Summit Group (NESG), while calling on the authorities to set the nation on a net-zero carbon development and resilience-building trajectory.
NESG and the African Climate Foundation (ACF) held a private sector engagement towards a successful Nigerian energy transition project on the 27th of November 2023.
In a paper presentation on Private Sector Engagement Towards a Successful Nigerian Energy Transition Project, the facilitator sustainability policy commission section of the NESG, Dr Eugene Itua, stated that the project has two components, which are energy transition and carbon finance, and that the project aims to assist in driving and encouraging energy transition, unlocking opportunities in the sector and stimulating resilience and economic development.
He said the private sector is at the threshold of assisting in the implementation of the energy transition and carbon finance goals as they can catalyse required finance. Still, he reiterated the need for collaboration to strengthen the participation of private and public sector players to create an enabling environment.
Dr Itua said the Nigerian energy transition project will develop policy briefs based on the research outcomes, using evidence-based support for ATP and carbon emission reduction in Nigeria.
In charge of the energy policy commission of the NESG, Dr Segun Adaju stated that the commitment of Nigeria to achieve net zero by 2060, and Nigeria has launched plans to kickstart the transition. He noted that five sectors shoulder the Energy Transition Project: power, transport, industry, cooking and oil and gas.
Dr Adaju said that for Nigeria to reach the Net Zero Plan by 2060, the Nigeria Energy Transition Plan estimates that the country needs about $ 1.9 trillion, including $410 Billion above projected usual spending and an additional cost of about $10 billion annually.
Dr Adaju reiterated that Carbon finance through the carbon market is crucial and part of a more considerable global effort to raise needed funding to combat climate change and that in developing countries such as Nigeria, carbon finance is seen to contribute significantly to actions in the transition to low-emission and climate-resilient approaches.
He noted that there are several enabling policies, laws, strategies, and plans for net-zero transition to 2060, including the Nigeria Climate Change Act 2021, Energy Transition Plan (ETP), and the Long-Term Vision 2050 (submitted to UNFCCC in 2021) and the Long-Term Low Emission Development Strategy (LT-LEDS) which is currently being elaborated.
Thematic lead, climate change, sustainability policy commission of the NESG, Mrs Dolapo Kukoyi, said that the project aims to strengthen public-private engagement around implementing the Nigerian energy transition plan and support the development of the carbon market whilst supporting interventions that will drive socio-economic improvement.
She also noted that policy briefs that will support the participation of solar projects, aggregation of projects for the voluntary carbon market and quality of data to ensure that adequate data is obtained, including in-country capacity for verification and aggregation, will be compiled.