Experts at Nextier’s 104th Power Dialogue have urged the government to develop inclusive climate policies that address the needs of vulnerable communities. The session, moderated by Salamatu Baba Tunzwang, Team Lead Entrepreneurship Support Facility, ECOWAS Rogeap, focused on the importance of a just energy transition that balances economic growth and climate action.
The 104th Power Dialogue, titled “Balancing Economic Growth and Climate Action in Nigeria”, featured a panel of experts, including Barr Ruth Sorannadi, Regional Coordinator, Climate Parliament; Nkiru Chime, MD, Infragora Advisory, Infragora Global Capital; and Olamide Fagbuji, SSA to the president on Climate Technology.
Speaking on the limitations of Nigeria’s climate policies, Sorannadi highlighted that while Nigeria has regulations to address climate change, such as the 2021 Climate Act, the Act lacks climate adaptation provisions, which are vital for protecting vulnerable communities.
She stressed that the Act should be expanded to include targeted funding for climate adaptation. Sorannadi also suggested revising the Land Use Act of the 1970s, proposing that it include land relocation and resettlement provisions.
The legal expert emphasised the need for public interest litigation and more substantial corporate social responsibility (CSR) frameworks. Sorannadi argued that companies responsible for damaging communities through their actions should be held accountable, adding that affected communities should be able to seek legal recourse or communicate directly with companies regarding the harm caused.
Furthermore, Sorannadi advocated for integrating climate resilience into Nigeria’s economic policies. She suggested mainstreaming climate considerations across national development plans, as Section 19 of the Climate Change Act outlined and establishing sector-specific guidelines for energy, infrastructure, and agriculture.
She also called for strengthening climate legislation to align with global best practices, such as the Nationally Determined Contributions (NDCs), and enhancing coordination between the National Council on Climate Change and other relevant organisations.
On her part, Chime underscored the central role of energy in economic growth and poverty alleviation, particularly for Sustainable Development Goal (SDG) 1, which focuses on eradicating poverty. She argued that the financial sector could play a pivotal role by designing instruments that allocate resources for renewable energy investments.
Chime suggested exploring sustainability-linked bonds and de-risking financial mechanisms, such as specialised insurance policies, to make investments in clean energy more attractive to the private sector.
She also highlighted the importance of long-term capital investment, especially from the pension and insurance industries, in supporting sustainable energy projects.
She emphasised that infrastructure investment could be viable with the right policies, ensuring stability and reducing risks, stressing the government’s crucial role in facilitating large-scale energy investments.
As the president’s adviser on climate technology, Fagbuji reiterated that vulnerable communities are a key priority for the government, given the visible impacts of climate change. He noted ongoing efforts to improve coordination among governmental bodies responsible for implementing climate action plans.
Fagbuji emphasised the creation of the Climate Council under the Climate Act, which legally strengthens the country’s climate action framework.
He provided examples of government initiatives addressing climate change impacts, such as water irrigation boreholes, reforestation programmes, and efforts to reduce energy poverty in drought-affected northern Nigeria.
Fagbuji also discussed Nigeria’s Energy Transition Plan, which sets a pathway for the country to shift from fossil fuels to renewable energy by 2060. According to him, this plan recognises gas as a transition fuel, acknowledging that business as usual will not lead Nigeria to a net-zero economy by 2060.
He emphasised the need for a balanced energy transition approach that accounts for economic and livelihood concerns. He noted the inclusion of sectors like transportation and agriculture in the revised Energy Transition Plan.
He discussed the practicalities of initiatives like the presidential compressed natural gas (CNG) programme, which aims to promote gas as a fuel for transportation. He also raised the issue of clean cooking, highlighting how reliance on wood fuel contributes to deforestation and undermines forest cover.
Fagbuji pointed out that while the Ministry of Environment produced a policy on clean cooking in 2022, it lacks an implementation plan. He called for strengthening the implementation of clean cooking technologies that address energy poverty, especially for vulnerable groups like women and children, to create business opportunities.
Rounding up the discussion, Tunzwang emphasised the importance of collaboration and balance in addressing these challenges. She noted that while Nigeria can achieve economic growth and environmental protection, compliance remains an issue.
Tunzwang urged stakeholders to engage actively and stressed that with proper value creation, investments would follow, emphasising the need for Nigeria to focus on internal growth to boost investment opportunities.
The 104th Power Dialogue underscored the need for unified action, strengthening climate policies, holding businesses accountable, investing in sustainable solutions, and prioritising vulnerable communities for a resilient future.
Catch up on the event here: https://www.youtube.com/watch?v=B5duq5etoEQ