By Moses Patience Chat
An expert in the Nigerian energy sector, Jennifer Okoro, has said that the country needs about N1.9 trillion to successfully implement Net Zero Emissions plan under the Nigerian Energy Transition Plan (ETP).
Okoro who is also the Vice President of Public Policy at Sun King, said this at a Power Dialogue organized by The Electricity Hub (TEH) in Abuja,which was themed: ‘Analyzing the Nigerian Energy Transition Plan’ and ‘Nigeria’s Energy Transition Plan: Reforms and Implementation’.
She spoke on the strategies and targets involved in the energy transition pathway, stated that one important strategy used to connect to many people is the affordability of the products because the company targets mostly the poor.
According to her, “about N1.9 trillion is needed for Nigeria to get to Net Zero in 2060, which is a lot of money”.
She said the most difficult challenge in the Energy Transition Plan is sheer poverty, arguing that unless ” we proffer solutions to Nigeria’s basic needs, such as housing, access to clean water and energy, food, education and more, the Net Zero will continue to elude us for a sustainable future”.
At the event, various experts in the sector reasoned that the ETP would remain just a plan if a feasible pathway is not evolved, especially as the challenge of financing gas initiatives has emerged due to the plan.
They also noted that by 2040, there will be a significant shift in the gas utilization portfolio, which implies that Nigeria will focus on the domestic sector as the global market diminishes.
Speaking on the role of gas, they stated that gas is envisioned as the transition fuel because of its abundant availability whereas Nigeria presently exports around 14% of Liquefied Natural Gas (LNG) gas to the European Union.
According to the experts, one prominent hindrance to our gas development lies in natural gas pricing within the domestic economy. “Particularly, the gas allocated to the power sector is traded at deregulated rates within the industry. This occurs unless an interested buyer or seller is identified. Regrettably, the advantages of this often remain underutilized.”
The experts concluded that energy transitioning is an intensive task, that has to be gradual and intentional to ensure continual improvement and sustainability and that Nigeria which has abundant resources to transition to Net-Zero, needs the right policies, plans and strategies incorporation with regulations, otherwise, it will keep revolving in the circle of carbon emissions.
Other Stakeholders in the sector who were in attendance include Zira John Quaghe, serving as Nigeria’s Focal Person at The African Climate Foundation; Charles Majomi, a Partner specializing in Gas and Energy Transition at The Nextier Group; and Chibuikem Agbaegbu, the Program Manager at Nigeria Off-Grid Market Accelerator, who was the Moderator.