Low carbon energy development in Nigeria

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First published by the International Institute for Environment and Development 2013. Ewah Otu Eleri Precious Onuvae Okechukwu Ugwu, International Centre for Energy Environment and Development. The SUNGAS project, The SUNGAS project aims to catalyse development of Nigeria s natural gas and renewable energy. markets through innovation demonstration policy dialogue and advocacy Small demonstration. projects for both renewables and gas to power will show that community based energy facilities are. technically viable financially sustainable and can ensure better access to modern energy services for. rural communities The project is funded by the European Union and is being implemented by the. International Institute for Environment and Development IIED the Niger Delta Wetlands Centre. NDWC and the Living Earth Foundation LEF, Disclaimer This document has been produced with the financial assistance of the European Union. The contents of the publication are the sole responsibility of the SUNGAS project partners and can in no. way be taken to reflect the views of the European Union. The European Union is made up of 28 Member States who have decided to gradually link together their. know how resources and destinies Together during a period of enlargement of 50 years they have. built a zone of stability democracy and sustainable development whilst maintaining cultural diversity. tolerance and individual freedoms, The European Union is committed to sharing its achievements and its values with countries and peoples. beyond its borders, For further information on the work of the European Union see http ec europa eu world.
For further information on the SUNGAS project please contact. Emma Wilson International Institute for Environment and Development IIED. 80 86 Gray s Inn Road London WC1X 8NH UK,Tel 44 0 20 3463 7399 Fax 44 0 20 3514 9055. E mail emma wilson iied org, Cover photo Brian Shaad Gas flare in the Niger Delta. 2 Low carbon energy development in Nigeria,Introduction 4. Energy and poverty in Nigeria 4,What is low carbon development in Nigeria 6. International framework for low carbon development 8. Clean Development Mechanism 9, The prospects for increased international funding 9.
Review of existing national initiatives for low carbon development 12. National policies and programmes to promote low carbon development 12. National institutional framework for low carbon development 14. Private sector participation in delivering low carbon energy in Nigeria 14. Making progress towards low carbon development 16,An agenda for action 18. References 20,General bibliography 22, Table 1 Nigeria Socio economic indicators update with same as in briefing 5. Table 2 Projects in Nigeria registered by the CDM Executive Board as at August 2011 9. Figure 1 GHG Emission for Nigeria by Sector in 2005 excludes land use change 5. Introduction, As a signatory to the United Nations Framework partnerships It offers insights into how the low carbon. Convention on Climate Change UNFCCC and development agenda can help to promote access to. the Kyoto Protocol Nigeria has made international energy for poor and isolated communities in Nigeria. commitments to promoting low carbon development, including meeting its reporting obligations to the At the same time the paper argues that the low carbon. UNFCCC reducing emissions of greenhouse gases agenda alone will not transform Nigeria s energy sector. consistent with its national circumstances and within for climate adaptation and mitigation or to support. the context of poverty reduction and economic growth pro poor development More traditional economic. incentives are required to attract investments into. The UNFCCC the Kyoto Protocol and other the sector to enforce efficiency measures establish. international institutions and processes also provide a sustainable tariff practices demonstrate the feasibility. range of financial incentives to embark on low carbon of renewable energy technologies and ensure. projects These include the Clean Development responsible use of energy resources. Mechanism and REDD Reduced Emissions from, Deforestation and Degradation Nigeria s first REDD.
Energy and poverty in Nigeria,project was approved in October 2011 Others such. as the Green Climate Fund are currently in the Nigeria is Africa s largest exporter of crude oil but of. development stage a population of about 167 million people National. Population Commission 2012 70 per cent live in, Nigerians also have access to funds and incentives poverty indexmundi 2012 A myriad of factors. established outside the UNFCCC process but with drive the growth in poverty in Nigeria and these. the aim of promoting low carbon development LCD include a rent seeking economy weak institutions. including the Clean Technology Fund of which the of government and inadequate levels of investment. World Bank is trustee and the Global Energy Efficiency in human capital and infrastructure especially in. and Renewable Energy Fund established by the providing energy services. European Union,Access to energy services is critical to fuelling. Currently in Nigeria international agencies such as economic growth and in making progress against. the United Nations Development Programme UNDP poverty However about 60 per cent of Nigerians live. the World Bank and the Global Environment Facility literally in the dark without electricity Nigeria Vision. GEF have been promoting low carbon projects 20 2020 About 72 per cent of the population depends. through their in country programmes For example on the traditional three stone fire UNDP and WHO. UNDP sponsored the Nigerian Renewable Energy 2009 According to the World Health Organization. Master Plan while the World Bank is developing a WHO an estimated 95 300 Nigerians die annually. programme under its Clean Technology Fund from smoke from the inefficient use of biomass energy. WHO 2007 After malaria and HIV AIDS this is the, At the same time the Nigerian policy framework to third biggest killer in the country. support and promote low carbon development has, been evolving partly in response to international Contrary to the expectations of the National Energy.
obligations and incentives and partly due to internal Policy deepening poverty has forced a reversal in the. drivers such as the need to develop more options for transition to more modern and efficient energy forms. power generation Today more Nigerians are climbing down the energy. ladder moving from electricity gas and kerosene to. This paper provides a broad overview of the state of traditional use of wood in open fires. low carbon development in Nigeria and its relevance to. the access to energy agenda The paper identifies key Poor access to electric power is the main reason behind. elements of climate compatible development enabling the current de industrialisation in Nigeria Power plant. policies emerging investments existing local level closure and widespread under utilisation of available. implementation efforts and the role of international capacity has become commonplace in Nigeria s. 4 Low carbon energy development in Nigeria,introduction. Table 1 Nigeria Socio economic indicators,Socio economic indicators Value. Population 2011 167 million,Population living in poverty 1980 17 million. Population living in poverty 2010 112 million,Population with access to electricity 47. Number of households without electricity 15 3 million. Number of black outs per day 28,Electricity consumption per capita 150kwh.
of pop dependent on biomass fuel 72,Per capita CO2 emission 2007 0 7 tonnes. Sources Nigeria Poverty Profile 2010 National Bureau of Statistics World Development Indicators Database. December 2010 Little Green Data Book 2011 National Population Commission http www population gov ng. Central Bank of Nigeria website, Figure 1 GHG Emission for Nigeria by Sector in 2005 excludes land use change. Waste 5 9 Electricity Heat 6 2,Manufacturing Construction 1 5. Transportation 8 9,Other Fuel Combustion 6 9,Agriculture 38 7. Fugitive emission 31 4,Industrial processes 0 5,Source Dayo Gilau Samec 2009.
industrial landscape Companies resort to the use of Nigeria produces large amounts of natural and. diesel generators to provide their own electricity The associated gas1 every year in the Niger Delta yet very. millions of generators in the country are a major source little of this gas is used particularly for households. of local pollution and emissions of harmful gases that and institutions In 2010 the nation produced about. cause climate change Meanwhile the nation is missing 2 393 million standard cubic feet scf of gas Of this. out on the opportunities to use natural gas to generate. power for these industries, 1 Associated gas is a form of gas produced as a by product of oil. production activity It is also known as flare gas, amount about 1 811 million scf representing 75 per as part of but not synonymous with sustainable. cent of total production was utilised while about 582 development 2. million scf representing 25 per cent was flared into the. atmosphere Nigerian National Petroleum Corporation Low carbon development has been defined in a number. 2010 This represents Nigeria s single largest source of of ways including the following. greenhouse gas emissions and an energy loss that could. have closed the current national energy demand and A development path that simultaneously restrains. supply gap energy demand growth drives new production. towards low carbon sources and provides sufficient. Today Nigeria lacks a clear agenda for expanding secure energy supply for global economic growth. access to electricity services for the urban and rural REEEP 2007. poor There are no concrete plans for opening up, the emerging electricity industry to public scrutiny Using low carbon substitutes to fossil fuels to reduce. enhancing transparency and accountability of the emissions of GHGs significantly while at the same. sector Furthermore no frameworks exist for a time ensuring economic growth and development. transition to a low carbon energy economy where and enhancement of human welfare and. growth poverty reduction and lower emissions of Sustainable growth which helps reduce GHG. harmful gases will be achieved emissions and environmental pollution Cho 2008. Low carbon development the pursuit of poverty The UK Government s White Paper on Energy in 2003. reducing economic growth and greenhouse gas is one of the first national government references. emission mitigation provides a pathway to addressing to a low carbon economy According to the policy. the energy poverty and environmental decline in document low carbon development is a development. Nigeria A toolkit on how the low carbon agenda can path where higher resource productivity3 contributes. facilitate poverty reduction and growth would be to higher living standards and better quality of life. beneficial Guidance on how these approaches can, be anchored in policy frameworks and reflected in The Japan UK Low Carbon Society project identifies. investments and how influential actors at national strands of action in LCD to include the following. state and local levels buy into it is clearly needed. Take actions that are compatible with the principles. of sustainable development ensuring that the,What is low carbon development in.
development needs of all groups within society are. The term low carbon development has permeated, development literature in recent years Even in Make an equitable contribution towards the global. Nigeria the use of the term is increasingly gaining effort to stabilise the atmospheric concentration. currency Eleri et al 2011 There is nevertheless little of CO2 and other GHGs at a level that will avoid. consensus on the exact elements of this development dangerous climate change through deep cuts in. paradigm Governments businesses donors and global emissions. think tanks openly endorse the idea and principle Demonstrate a high level of energy efficiency and. of mainstreaming climate change in development use low carbon energy sources and production. practice technologies and, Since the Earth Summit in 1992 sustainable Adopt patterns of consumption and behaviour that. development has been major goal for most countries are consistent with low levels of GHG emissions. While climate change has added extra momentum Skea Nishioka 2008. to the sustainable development agenda in some, cases it has been treated as a separate issue and not. mainstreamed into sustainable development IGES, 2008 A low carbon development pathway offers one 2 Sustainable development includes a broader agenda than. way for climate change responses and sustainable energy and climate change as outlined in Agenda 21 http. www un org esa sustdev documents agenda21 index htm. development to find a mutually reinforcing synergy 3 Producing more with fewer natural resources and less. In that context an LCD pathway should be viewed pollution. 6 Low carbon energy development in Nigeria,introduction.
Low carbon development explores alternatives to an Nigeria has set a clear growth and development agenda. unsustainable business as usual approach to economic in its Vision 2020 It seeks to become one of the 20. growth and the potential and implications for a largest economies in the world raise living standards. sustainable green economy based on climate friendly expand access t. 2008 A low carbon development pathway offers one way for climate change responses and sustainable development to find a mutually reinforcing synergy In that context an LCD pathway should be viewed as part of but not synonymous with sustainable development 2 Low carbon development has been defined in a number of ways including the following

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