Nigeria’s economy is heavily reliant on oil and gas, which accounts for over 90 per cent of its export earnings and around 60 per cent of government revenue according to World Bank report of 2021.
Transitioning to a green economy can diversify the economic base, reducing dependence on fossil fuels and enhancing resilience against global oil price volatility.
On the side of environmental sustainability, Nigeria faces significant environmental challenges, including deforestation, soil degradation, and water pollution. For instance, Nigeria loses about 350,000 to 400,000 hectares of forest annually (FAO, 2020). Adopting green economy practices can help mitigate these issues, promoting sustainable land use and enhancing ecosystem services.
Thus the green economy presents opportunities for job creation, particularly in renewable energy, sustainable agriculture, and green technology.
Speaking on Green Economy Policies and Strategies for Nigeria, the director general (DG) of the Securities and Exchange Commission (SEC) Dr. Emomotimi Agama, said green economy refers to an economic system that aims to reduce environmental risks and ecological scarcities while enhancing social equity and ensuring sustainable development.
This Agama said integrates principles of sustainability into economic policies and practices, focusing on the efficient use of resources, reducing carbon emissions, and promoting biodiversity conservation.
The DG, who was the guest speaker at a one day national conference organised by Oriental News Nigeria, with the theme “Green Economy, Sustainable Growth, and Infrastructure Transformation.” took audience through strategies by the SEC to drive the country’s transition initiative.
According to the United Nations Environment Programme (UNEP), a green economy “results in improved human well-being and social equity, while significantly reducing environmental risks and ecological scarcities” (UNEP, 2011).
The International Renewable Energy Agency (IRENA) estimates that renewable energy could create up to 52,000 direct and indirect jobs in Nigeria by 2030. This shift can stimulate innovation, fostering new industries and business models that contribute to economic growth.
Green economy policies can improve public health by reducing pollution and promoting cleaner technologies.
According to the World Health Organization (WHO), air pollution causes an estimated 29,000 premature deaths annually in Nigeria (WHO, 2018).
Additionally, sustainable practices can enhance the quality of life for communities, ensuring equitable access to resources and opportunities.
Agama, went further to state key sectors for a Green Economy in Nigeria as well as renewable energy which include solar, wind and hydro.
He particularly mentioned that Nigeria has significant potential in renewable energy, particularly in solar, wind, and hydro power.
The nation receives an average solar irradiance of 4-6 kWh/m²/day, making solar energy a viable option.
Wind energy also holds promise, with the coastal areas of Lagos, Ogun, and Ondo having wind speeds that are suitable for wind power generation.
Hydropower is already a significant contributor, with the Kainji, Jebba, and Shiroro dams generating substantial hydroelectric power.
The Nigerian government aims to increase renewable energy capacity to 30 per cent of total electricity generation by 2030 (NERC, 2020). The conditions have led many Nigerians to seek alternative means of preserving value, with cryptocurrencies becoming a popular choice.
On his part, the managing director of the Rural Electrification Agency (REA), Abba Abubakar Aliyu, who was keynote speaker at the conference said the Agency is deeply committed to the pivotal role energy plays in driving sustainable development.
However, Aliyu noted that Nigeria, with its vast potential, stands at a crossroads but has an opportunity to harness our abundant renewable resources to power economic growth, create jobs, and improve the lives of millions of our citizens.
The Rural Electrification Agency is at the forefront of this transformative journey, he said.
In his words, “Our focus on rural electrification is not merely about providing electricity; it’s about igniting economic activity, empowering communities, and fostering a greener future. Through our initiatives, we are bridging the energy gap, creating sustainable livelihoods, and enhancing access to essential services.”
He went on to say that the path to a green economy requires a holistic approach and also demands collaboration between government, the private sector, and communities. “We must invest in renewable energy technologies, strengthen our grid infrastructure, and promote energy efficiency,” the MD said.
The REA according to Aliyu, is committed to partnering with the private sector to unlock the vast potential of rural electrification. We are creating an enabling environment for investments, fostering innovation, and supporting entrepreneurship in the clean energy space.
The agency he stated recognises the importance of capacity building and knowledge transfer and by empowering communities with the skills and resources needed to participate in the green economy, we are building a sustainable future.
Also, at the conference, the Director General (DG) of the Nigerian Maritime Administration And Safety Agency (NIMASA) Dr. Dayo Mobereola, represented by the Director, Marine Environment Management Department, Mr. Heaky Dimowo, said the world is currently grappling with two major but connected natural challenges- global warming and climate change.
Mobereola, used the opportunity to warn that climate change is a great threat to human existence and the sustenance of the global economy and has consequences on human lives, as every year, exposure to air pollution is estimated to contribute to 7 million premature deaths and climate change is also projected to push more than 100 million additional persons into poverty by 2030.
The DG, therefore said that drastic actions are required to reduce the effects on both the sustainability of the environment and humanity.
All activities that result in GHG emissions therefore need to be minimised as much as possible to lessen the impacts on global warming and climate change, and to achieve sustainable growth and development in all sectors of our economy.
He said the concept of green economy and sustainability is therefore on the front burner of global discourse, as the world aims at promoting optimal and efficient utilisation of resources for human consumption and benefits bearing in mind the need to preserve these resources for future generations.
With the increased awareness of the opportunities the seas and oceans offer, the consciousness of the need to promote safer oceans in a sustainable manner becomes a front burner issue and more is expected of you and I.
He reminded the audience that the ocean acidification, climate change, population growth, and land-to-sea waste, among other factors, affect a sustainable environment.
A green economy should therefore be low-carbon, resource-efficient, and socially inclusive offering growth in the Economy driven by public and private investment in such economic activities, infrastructure, and assets.
The aim being to ensure reduced carbon emissions and pollution, enhanced energy and resource efficiency, and prevention of the loss of biodiversity and ecosystem balance amongst others.
In the maritime sector, Mobereola, said the framework developed is marshalled and facilitated by the International Maritime Organization (IMO), and measures developed by IMO cover all the spectrum of international shipping; including ship design, construction, equipment, manning, operation, and disposal, to ensure that this vital sector remains safe, environmentally sound, energy-efficient, and secure.
Shipping is therefore an essential component of any programme for future sustainable economic growth, he explained adding that the IMO, Member States, civil society, and the shipping industry are therefore already working together to ensure a continued and strengthened emission reduction scheme to facilitate a green economy and growth in a sustainable manner.
The promotion of sustainable shipping and sustainable maritime development is therefore one of the major priorities of IMO in the coming years.
Energy efficiency, new technology and innovation, maritime education and training, maritime security, maritime traffic management, and the development of sustainable maritime infrastructure underpin IMO’s and by extension Nigeria’s maritime sectors commitment to provide the institutional framework necessary for a green and sustainable global maritime transportation system.
In line with the United Nations Sustainable Development Goal (UNSDG)13 &14, IMO on the 15th of July, 2015 adopted the first set of international mandatory measures to improve ships’ energy efficiency.
Since then, the organization has taken additional action including further regulatory measures, the adoption of the Initial IMO GHG strategy in 2018, and, in 2023, the revised Strategy on Reduction of GHG Emissions from Ships was unanimously adopted.
The maritime Sector working with NIMASA is therefore developing a number of measures to ensure that the country transits into and sustains a green economy that places economic development, sustainability, and environmental preservation at the core of strategies to develop the macro economy for a bigger and greater Nigeria.
“I would like to enjoin collective commitment in the quest for a sustainable environment and thank the organisers of this event for giving me the opportunity to speak at this event, and once again advocate the need for Urgent Action to save our world.” he concluded.
Renewable Energy Master Plan
Speakers at the conference spoke passionately about Nigeria’s Renewable Energy Plan.
Panelists who discussed the theme of the summit, Dr. Dayo Mobereola; Mr. Abba Abubakar Aliyu; President, REEA, Prof. Magnus Onuoha; Chairman, Women in Sustainable Power African Network, Chief Mrs Anita Nana Okuribido; Director, Public Affairs and Consumer Protection, NIMET, Mrs Funke Adebayo Arowojobi; Chairperson, Women in Energy, Oil and Gas (WEOG), Mrs. Toyin Yusuf; Chairman, WIRE (An Energy Transition Programme), Prof Amina Batagarawa, and Convener/Executive Director, PowerUp Nigeria, Adetayo Adegbemie, made viable contributions and providing key solutions that can encrypt and decrypt tangled challenges that has created a big gulf in closing the country’s energy gap.
The Renewable Energy Master Plan (REMP) aims to diversify Nigeria’s energy mix by increasing the share of renewable energy to 30 per cent of total electricity generation by 2030.
This target aligns with Nigeria’s commitment to sustainable development and reducing its carbon footprint (Energy Commission of Nigeria, 2015).
The REMP prioritizes the development of solar, wind, hydro, and biomass energy resources. Nigeria’s solar potential alone could provide significant power, with estimates suggesting over 200,000 MW of solar power generation capacity (IRENA, 2017).
Policies And Strategies For A Green Economy In Nigeria
Earlier, Agama, in his presentation explained that formulated policies around the green economy drive aims at encouraging investment in renewable energy as the government offers various incentives such as feed-in tariffs, tax credits, and grants.
These incentives are designed to attract both domestic and international investors and accelerate the deployment of renewable energy technologies.
Green Bond Initiative
The Green Bond Initiative seeks to mobilize capital for projects that have positive environmental and climate benefits. By issuing green bonds, Nigeria aims to finance renewable energy, energy efficiency, and sustainable infrastructure projects. This initiative is expected to attract both local and international investors committed to sustainable development.
The proceeds from green bonds are earmarked for projects that contribute to sustainable development and climate change mitigation. These projects include renewable energy installations, waste management systems, and water conservation projects, aligning with the objectives of the National Climate Change Policy (World Bank, 2020).
By providing a framework for green bonds, Nigeria encourages private sector investment in environmentally friendly projects.
The initiative offers tax incentives, guarantees, and other financial instruments to lower risks for investors and enhance the attractiveness of green projects.
Sustainable Development Goals (SDGs) Implementation
Nigeria’s green economy policies are designed to align with the United Nations Sustainable Development Goals (SDGs). Specifically, SDG 7 aims to ensure access to affordable, reliable, sustainable, and modern energy for all, while SDG 13 focuses on urgent action to combat climate change and its impacts. The implementation of SDGs in Nigeria emphasizes sustainable development practices that promote economic growth while reducing poverty and inequality. Key strategies include enhancing access to clean energy, improving water and sanitation, and promoting sustainable agriculture practices to uplift vulnerable communities.
