Stakeholders Call for Sustainable Financing in Nigeria’s Energy Transition

During a recent stakeholder engagement in Abuja, key players in the renewable energy sector emphasized the need for a sustainable financing model to achieve Nigeria’s Energy Transition Program (ETP).

The event, organized by the Yar’Adua Foundation, focused on “Maximizing Just Energy Transition Opportunities through an Inclusive Country Platform.” Participants highlighted that mobilizing private sector finance is crucial for the successful implementation of ETP initiatives.

Mr. Patrick Okigbo from Nextier Advisory Energy Transition Limited advocated for a robust funding model, suggesting that Nigeria could emulate the petroleum development funding model, wherein proceeds from oil could be redirected to support the ETP. He stressed that government funding alone would not suffice and that a comprehensive financial plan is essential to attract private investments.

Okigbo underscored the importance of energy security, framing it as critical to national security. He called for placing communities at the center of energy transition efforts, emphasizing the need for community-based strategies to mitigate any negative impacts of the transition. “To achieve energy transition in Nigeria, we must engage with the people and address their specific needs,” he stated.

He also urged the government to strengthen its commitment to the ETP, advocating for decisive action over mere dialogue. Addressing macroeconomic uncertainties, improving infrastructure for renewable energy, and fostering collaboration among stakeholders were also highlighted as key steps forward.

Mr. Olumide Onitekun from the African Policy Research Institute (APRI) reinforced the concept of a just energy transition, advocating for the defunding of fossil fuels while prioritizing social justice across economic, racial, and gender lines. He noted that achieving this vision will require strong political will, private sector involvement, and a structured funding approach.

Earlier in the event, Mr. Amara Nwankpa, Director of Partnership and Development at the Yar’Adua Foundation, pointed out that while the ETP is ambitious, it currently does not align with the most cost-effective pathway to total electrification. He urged participants to envision a future where renewable energy propels economic growth, job creation, and broader energy access.

The event concluded with a panel discussion on fostering an inclusive and equitable energy transition, along with presentations outlining stakeholder commitments to advance energy transition efforts in Nigeria.