Vice President Yemi Osinbajo on Monday said that Nigeria's Energy Transition Plan (ETP) would require funding of about 1.9 trillion U.S. dollars up to 2060.
Osinbajo represented by the Minister of Power, Mr Abubakar Aliyu, said this in Abuja while declaring open the ECOWAS Sustainable Energy Forum(ESEF)2022.
"For the sake of emphasis, it is relevant to note that Nigeria's Energy Transition Plan (ETP) would require funding of about USD1.9 trillion up to 2060.
"USD410 billion of this amount is above usual spending and implies that we need to mobilise an additional USD10 billion per annum.
"The realisation of this goal depends on the implementation of our nation's Energy Transition Plan (ETP) which was recently launched by this administration.
"Nigeria's Energy Transition Plan is a prime example of the needed evolution of policies to deliver both the growth in energy consumption necessary for development and the climate response required for the preservation of our planet.
"Our Energy Transition Plan seeks to tackle the dual crises of energy poverty and climate change, and deliver universal energy access (SDG7) by 2030 and net-zero by 2060.
"It is also a bolder articulation of our commitment to sustainability and renewables as earlier proposed in the Electricity Vision 30:30:30,, which aims to provide 30 Gigawatts (GW)of electricity by the year 2030 with renewable energy contributing at least 30 per cent to the energy mix, "he said.
According to him, the success of universal energy access and carbon neutrality is dependent on effectiveness in crowding in these investments.
Osinbajo said that the Federal Government planned to roll out a set of policy measures that would attract financing and investments of up to 10 billion U.S. dollars and create scalability of programmes of over 30 billion U.S. dollars over the coming decades.
The vice president said that these policy measures and programmes would be leveraged on to catalyse the Nigerian ETP; specifically on renewable power.
"For instance, we are updating the Mini-Grid Regulation to raise cap for licensing from 1 megawatt (MW) to 5 megawatts (MW); developing the policy for integration of Utility Scale Solar into the Grid,
"With requirement for 10 per cent of on-grid power to come from Solar by 2025
creating a Solar Stabilisation Fund with a target of 100 million dollars to backstop on-grid solar contracts.
"Completing scalable, private sector-driven Renewable Energy Distribution Franchise pilots (all at Financial Close) including:Konexca Distribution model 90 million dollars with the Kaduna Distribution Company (DISCo)
"Maiduguri Solar Power Island -40 million dollars Kano Interconnected Minigrid - 100MW pilotSecuring 1.5 billion dollars in additional financing through the World Bank to expand the Nigerian Electrification Programme.
"And stabilise the on-grid sector through modernising operations of our Grid and further preparing the grid for renewables, "he said.
Osinbajo said that Government was also developing innovative data tools such as the Integrated Energy Planning Tool designed in partnership with Sustainable Energy for All (SEforALL) and the SE4All Central Data Management System (CDMS) Web portal (nigeriase4all.gov.ng).
He said that government was incorporating Solar PV Alternative Power Supply to select Public Buildings and develop the 3D (Distributed, Decarbonised, and Digitalised) 24 Hours Feeder Programme .
He said that the project would provide uninterrupted power supply to dedicated feeders through a hybrid of grid and renewable power.
"These efforts amplify our commitments and signify our readiness for investments.
"We must work together on strategies and reforms needed to crowd in the investments required for real and impactful projects and progress on the ground.
" To reach our goals, sufficient capital must be made available in the region, and we must do our part in creating the enabling environment for these funds.
"As a region, we must scale such efforts and deliver robust and sustainable energy systems for the prosperity of our people.
"I would like to thank the ECOWAS Commission for their valuable cooperation and encourage all delegates to engage constructively in ensuring the development of enabling policies financing models.
" Private sector participation, and technological applications for a clean and sustainable energy future for the ECOWAS region, "he said.
On his part, Mr Juan Sell, Ambassador of Spain to Nigeria and ECOWAS, said that there was need to address energy poverty and security, adding that access to finance and technology must be taken into consideration to tackle these.
Sell said that during the European Union Summit, the EU-Africa Global Gateway Investment Package was launched with the Africa-EU Green Energy Initiative as a key component to consolidate the existing investment and to add new ones.
"In the framework of the new world the annual indicative programme 2021 2027 of the EU we are planning to allocate 600 million Euros of grants funding in the sustainable energy sector in West Africa alone.
"The EU considers equity and I quote from the message that I have been asked to convey as a key partner in the domain of sustainable energy and has the wish and the vision for a close cooperation in the future, "he said.
Earlier, President of ECOWAS Commission, Dr Omar Touray, said that the adoption of original policies on renewable energy and energy sufficiency by the Heads of State and Government in July 2013 mandated the region to achieve energy target by 2020 and 2030.
Touray represented by Mr Sediko Douka, ECOWAS, Commissioner for Infrastructure, Energy and Digitalisation, said that the forum would afford them the opportunity to ask the region and stakeholders to take stock of progress to date.
According to him, the commission aims to increase the renewable energy policy in the region to overall electricity mix to 48 per cent by 2030 and other policies related to energy efficiency.
He said that ECOWAS was also implementing measure that will add 2000 Megawatts of power generation capacity and in the medium term more than double the annual improvement of energy efficiency.
Doula said that to date, only half of ECOWAS citizens have access to modern energy services and they were constantly deprived of the full benefit of electricity for sustainable development.
He added that if that was not addressed, it would hinder the reason for achieving Sustainable Development Goals (SDGs)by 2030