NESG, ACF partner to boost Nigeria’s energy transition plan

Nigerian Economic Summit Group (NESG) in partnership with the African Climate Foundation (ACF) has held a “Private Sector Stakeholder Engagement Towards a Successful Nigeria Energy Transition (SESNET)” to strengthen public-private engagement around implementing the Nigerian energy transition plan and supporting the development of the carbon market to drive socio-economic improvement.

The Chief Executive Officer of the NESG, Dr Tayo Aduloju, while delivering the welcome address, highlighted the significance of the session as a platform to engage both the private and public sectors in Nigeria’s energy transition journey.

He mentioned that there was a previous engagement in Lagos with the private sector and emphasised that the current session aims to galvanize the public sector’s participation in the energy transition.

Aduloju who was represented by the facilitator of the Sustainability Policy Commission of the NESG, Dr Eugene Itua, noted that findings relevant to Nigeria’s climate and energy transition objectives would be shared during the session, underscoring the importance of the discussions.

In her overview of the project, a Public-Private Stakeholder Specialist & Thematic Lead Climate Change and Green Economy of the NESG’s Sustainability Policy Commission, Mrs Dolapo Kukoyi said that the project will bring about information sharing and policy reforms that support interventions that drive energy transition and inclusive development, by unlocking opportunities in the energy sector and carbon market, stimulating climate change resilience, and unlocking private sector and employment opportunities, research, development, and economic growth.

She further noted the importance of strengthening public-private engagement, whilst supporting interventions that drive socio-economic improvement.

Mrs. Kukoyi elaborated on the objectives, stating the aim to identify and inaugurate a national plan to create and foster an enabling environment for energy transition.

She recounted the series of engagements that have taken place, starting from November 2023, which focused on informing stakeholders about the status of the plan and gathering perspectives. She expressed hope that in the coming weeks, engagements would be made through public sector advocacy.

In his presentation on the challenges of Nigerian Energy Transition Plan, Facilitator of the Energy Policy Commission of the NESG, Dr Segun Adaju said that Nigeria launched her energy transition plan in 2022 which aims to lift 100 million Nigerians out of poverty and drive economic growth by bringing modern energy services to the total population.

He further noted that it will help manage the expected long-term job loss in the oil sector due to the reduced global fossil-fuel demand, even as Nigeria will play a leadership role for Africa by promoting a fair, inclusive, and equitable energy transition on the continent by streamlining existing and new government-related energy transition initiatives.

Furthermore, Dr Adaju stated that some of the findings of the project revealed Inadequate and high cost of financing, lack of political will and coordination among stakeholders, Low Levels of Public Awareness and Enlightenment, and absence of skilled Capacity.

He also noted that misalignment of public and private sector interests, absence of holistic policy frameworks, and unfavourable enabling environment and policies as some of the challenges of the Nigerian Energy Transition Project.

Adaju reiterated that the Incentives Required from the Government to the Private Sector include Favourable Monetary & Fiscal Policies, Improved Coordination among Stakeholders and Enabling Business Environment.

While presenting on the Status of Carbon Market Framework in Nigeria, the Director-general National Council on Climate Change (NCCC), Dr Salisu Dahiru, highlighted the critical role of the private sector in driving the plan, with finance being recognised as the first pillar in mobilising necessary channels.

Dr Dahiru emphasized the need for a clear leader to direct and coordinate efforts, as currently, there is a lack of coordination between the private and public sectors, with each trying to protect their interests.

He further stressed the importance of awareness and advocacy, advocating for a common narrative that defines what it takes to be a practitioner in this field, with a focus on real specialists.

Furthermore, Dr Dahiru acknowledged that Nigeria has the capacity and policies to support the Energy transition plan and expressed the full commitment of the NCCC to adopting ideas, practices, and projects that can facilitate carbon trading.