Saturday, November 16

Nigeria Needs $1trn to Develop Energy Sector

By Dwelleth Morountodun

The Vice President of Nigeria, Prof. Yemi Osinbajo   has disclosed that the sum of $1 trillion  is required to modernize Nigeria’s

energy infrastructure in twenty-nine years between 2014 to 2043.

 Osinbajo, who was represented by the Minister of Science and Technology, Dr. Ogbonnaya Onu, disclosed this while declaring open the National Energy and Climate Change Summit on Thursday in Abuja.

 According to Osinbajo, the government is working assiduously to attract domestic and foreign –direct investment into the energy sector of economy, in spite of the daunting challenge of $1trillion needed to modernize the sector.

 He further said that the Federal government is making effort to develop policies that would achieve security of energy supply to the nation and also tackle the menace of global warming and climate change.  

 “Our energy and energy related policies are not only geared towards energy supply but to also mitigate global warming. Our nationally determined contributions (NDCs) to the Paris Climate protocols are robust”. He added.

 “To further support private investment, we have increased transparency and openness in governance, instituted several executive orders to remove bottlenecks in business registration and permits etc. We are convinced that this will help us create more jobs, create additional wealth and reduce poverty in our country “, the Vice-President added.

 He called on foreign investors to work with local investors and professionals in line with the Presidential Executive Orders No. 5, urging    the summit to provide high-level forum to discuss energy and climate change as they relate to economic development and environmental protection.

The presentation of the report on the study of the Energy Investment Risk Assessment (EIRA) for Nigeria scored Nigeria Energy Investment Risk as moderate.

 He called on all on all stakeholders to study the report and come up with recommendations that will enhance the investment climate in our energy sector

 According to the Vice-President “I am confident that this would guarantee adequate, reliable, cost –effective, and environmentally acceptable energy supply for a diversified economy as articulated in the Economic Recovery and growth plan (ERGP)”.

 “I am hopeful that at the end of your deliberations, you will be able to provide solutions towards improving sustainable energy supply and access in the country” he added.

 Earlier in his welcome address, The Director-General of the Energy Commission of Nigeria (ECN), Prof. Eli Jidere Bala said that the Commission on behalf of Nigeria entered into collaborative activities with the IECh Secretariat to assist it monitor the performance of the energy sector .

 He added that “One of the of the parameters that influence the effectiveness   of the energy sector is the level and extent of investment made to develop its infrastructure for adequate , reliable , cost effective   and environmentally acceptable energy supply.

 The European Union Head of cooperation to Nigeria and ECOWAS  , Kurt Gornelis said that the EU under its current multi-annual programme has committed an envelope of 150million euros to support Nigeria through several projects cuttings across the electricity value chain of the Nigeria electricity sector as well as the off-grid sector.  

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