The provision of clean, sustainable, and reliable energy access is tied to almost every country’s development goals, especially for low and middle-income economies. In the race to mitigate climate change, most developed countries, especially in Europe and Northern America, have committed to achieving net-zero emissions by 2050. Nigeria has not been left out in this goal as the nation has proven that transforming its energy system is a priority through its economic sustainability plans and the President’s ambitious announcement at COP26 in Glasgow for Nigeria’s commitment to achieving net-zero emissions by 2060. This ambition requires feasible and strategic shifts from the current development model of the country. If Nigeria is to become carbon neutral, a major challenge that must be adequately resolved is the country’s overdependence on fossil fuels especially crude. The Nigeria oil and gas sector plays a significant role in the economy, contributing about 65% of government revenue and over 85% of total exports. This could be perceived as an obstacle to the country’s decarbonization ambition because of its heavy dependence on the production of non-renewable resources.
The most feasible pathways for Nigeria to achieve its universal access to energy and achieve zero emission reduction targets within the stipulated timeline while improving energy access and fostering sustainable development include:
- The large-scale adoption of clean, renewable energy and technology interventions. Nigeria is already making great strides to achieve its decarbonization ambition. Not quite long, Nigeria passed legislation entitled “Climate Change Act, 2021” to demonstrate the Nation’s commitment to the United Nations (UN) Framework Convention on Climate Change (UNFCCC), the Paris Agreement, Nationally Determined Contributions (NDCs), the Kyoto Protocol, UN Sustainable Development Goals (SDGs) and other standards and guidelines relevant to climate change adaptation and mitigation. The enactment of the Act further reiterated Nigeria’s President’s pledge to reduce carbon emissions and build resilience to the negative impacts of climate change at the Glasgow COP26 Conference. As the Nigerian power sector is the second largest contributor to Green House Gas (GHG) emissions in the country, the Act would enhance opportunities through the expansion of the deployment of renewable energy, such as solar, wind, hydrogen, etc., for on-grid and off-grid power generation
- Promotion of energy efficient and energy conservation behaviours and modern technologies whilst reducing of GHG emissions along the Nigerian electricity sector value chain. Via the Climate Change Act, the Nigerian Oil and Gas sector has the potential to create opportunities through the adoption of more cost-efficient techniques for the exploration and production of hydrocarbon products and the reduction in GHG emissions caused by gas flaring activities in the Niger Delta through gas commercialization and utilization within the domestic market for power generation, transportation fuel, etc.
Nigeria need to understand the politics of energy markets, and utilize our natural gas resources aggressively. The fact is that an emerging economy with a growing need for energy cannot abruptly abandon the reliable energy resources but have to seek more efficient and effective ways to utilize these resources just like our ample reserve of natural gas. This net-zero transition plan of Nigeria focuses on full electrification of the economy by 2060 via a massive build-out of renewable energy capacity. This requires a phased approach with credible milestones and targets.
This net-zero ambition can lead to economic transformation across all sectors. Still, funding could be a challenge as it will continue to play a critical role as far as energy transition and carbon emission reduction is concerned. This feasible net-zero 2060 pathway will require huge funding across the country’s economy over the next 40 years, and most of this will be for the power sector. It is imperative that the Nigerian government fosters international cooperation, support, and technology transfer with countries that have successfully been on this path with adoptable blueprints.