The Minister of Power, Adebayo Adelabu, revealed on Monday that the Federal Government has pinpointed investment opportunities totaling approximately $23 billion in Nigeria.
These opportunities align directly with the country’s Energy Transition Plan and, according to Adelabu, are poised to not only provide electrical power for economic growth but also generate a substantial net increase in jobs, potentially reaching 340,000 by 2030.
Adelabu further emphasized that the Energy Transition Plan aims to create up to 840,000 jobs by 2060, primarily driven by the power, cooking, and transport sectors, with gas playing a pivotal role as a transition fuel.
Speaking at the 2nd German-Nigerian Symposium on Green Hydrogen, Adelabu highlighted that the Energy Transition Plan opens doors for significant investments, including the establishment and expansion of industries related to solar energy, green hydrogen, and electric vehicles.
He outlined the financial requirements, stating that $1.9 trillion is needed to achieve Nigeria’s Net Zero target by 2060, with an additional $410 billion beyond regular spending, translating to approximately $10 billion annually.
Adelabu identified a $23 billion investment opportunity based on existing in-country programs directly linked to the Just Energy Transition.
Addressing the role of gas in Nigeria’s energy transition, Ogbonnaya Orji, the Executive Secretary of the Nigeria Extractive Industries Transparency Initiative, emphasized the potential of gas to produce blue hydrogen.
Orji acknowledged challenges in efficient gas commercialization and utilization policies, citing NEITI’s report of over $8.2 billion in unremitted revenue, including outstanding gas royalty and unpaid gas flare penalties.
He stressed the need for transparent and effective implementation of gas commercialization policies to align with the global zero-emissions agenda.
The Ambassador of Germany to Nigeria, Annett Günther, highlighted the joint commitment of Germany and Nigeria to drive hydrogen production and use.
Günther referenced German Chancellor Olaf Scholz’s recent visit, emphasizing that the energy partnership extends beyond traditional fossil fuels to include hydrogen as the future gas.
Markus Wagner, the Country Director of GIZ Nigeria and ECOWAS, emphasized the transformative potential of green hydrogen in revolutionizing the energy landscape, reducing carbon emissions, diversifying energy sources, and fostering economic growth.
Wagner acknowledged the longstanding cooperation between Nigeria and Germany in the energy sector and GIZ’s active role in driving positive change.
