Federal government invests 48 million euros in phase 2 energy support programme to propel Nigeria’s energy transition
In a significant move to bolster Nigeria’s energy landscape, the Federal Government has committed a staggering 48 million euros towards the second phase of its Energy Support Programme.
Joshua Yari, the Component Lead of the Enabling Environment Nigerian Energy Support Programme (NESP), made this announcement at a one-day summit organized by the Energy Commission of Nigeria (ECN) in collaboration with Abloom Trust Nigeria Ltd in Abuja.
Themed “Prospects of Energy Transition Plan,” the summit served as a platform to unveil the ambitious initiatives aimed at transforming Nigeria’s energy sector.
Yari underscored the collaborative effort behind the project, highlighting the co-funding by the European Union and the German Federal Ministry for Economic Cooperation and Development. Additionally, he revealed the Nigerian government’s commitment to inject nearly 19 million euros into the programme’s third phase. Moreover, Yari outlined the significant support from the World Bank, in conjunction with the Nigerian Electrification Programme, bringing in a substantial investment of 750 million dollars. This investment is earmarked to facilitate the integration of renewable energy and energy efficiency, particularly in rural areas, thereby fostering sustainable development.
The Energy Transition Plan, according to Yari, focuses on five critical areas, with one of its primary objectives being the creation of an enabling environment to attract and sustain investments within Nigeria’s energy sector.
Dr. Mustapha Abdullahi, the Director-General of ECN, emphasized the necessity for Nigeria to address various challenges hindering its energy transition goals. These challenges include investment barriers, grid integration issues, and the need for robust policy frameworks. Abdullahi proposed innovative policy measures, regulatory reforms, and investments in grid modernization as key solutions to overcome these hurdles and facilitate a seamless transition towards sustainable energy practices.
Moreover, Abdullahi stressed the importance of collaboration with stakeholders to navigate the complexities of Nigeria’s energy transition journey effectively. He emphasized that such collaboration would foster robust discussions, knowledge sharing, and the formulation of actionable policy recommendations to drive the country’s energy transition agenda forward.
“Energy transition is not merely a buzzword. It is a fundamental shift in our approach to energy production and consumption,” Abdullahi emphasized, highlighting the criticality of embracing transformative strategies to meet Nigeria’s evolving energy needs.
Ogbugo Ukoha, the Executive-Director of the Nigerian Mainstream and Downstream Petroleum Regulatory Authority (NMDPRA), lauded the promising impact of environmental optimization as Nigeria transitions away from heavy reliance on Premium Motor Spirit (PMS) towards maximizing gas utilization in the country.
The concerted efforts of both government and private sector stakeholders, coupled with strategic investments and collaborative initiatives, are poised to accelerate Nigeria’s energy transition trajectory, ensuring a sustainable and resilient energy future for generations to come.
