The Federal Government of Nigeria has entered into a partnership with the United Nations Environment Programme (UNEP) and the Frankfurt School of Finance and Management to enhance awareness and investment in clean captive installations for industrial clients in sub-Saharan Africa. This collaboration was the focal point of a one-day workshop held in Abuja, organized by the Energy Commission of Nigeria (ECN), UNEP, and Frankfurt School, to disseminate knowledge gained from the implementation of the Clean Captive Installations for Industrial Client project in sub-Saharan Africa.

During the workshop, the Acting Director General of ECN, Engr. Joseph Sunday Olayande, commended the partners for selecting Nigeria as one of the four countries benefiting from the project. He emphasized the significance of Nigeria’s industrial sector in driving the country’s economy and highlighted the potential for the manufacturing sector to embrace clean captive power solutions. According to World Bank surveys, electricity constraints are a major challenge for the manufacturing sector in Nigeria, with 48.1% of enterprises identifying electricity as a significant constraint. Olayande further explained that only a small percentage (3-4%) of energy consumption in the Nigerian manufacturing industry comes from grid-connected electricity, with the majority relying on fossil-fuel-based captive power.

Engr. Olayande expressed enthusiasm for the project, emphasizing its potential to support clean renewable energy sources and contribute to the growth of industries and commercial sectors, thereby boosting the economy. He outlined the Commission’s role in coordinating project activities in Nigeria, bringing together stakeholders and ensuring a comprehensive understanding of the concept, which can be relayed to respective countries, agencies, and private sectors.

Tobias Panofen, Deputy Head of the Frankfurt School – UNEP Collaboration Center for Climate and Sustainable Energy Finance, provided insights into the four major components of the project’s implementation, including baseline studies, awareness raising, economic and financial tools and assessment, realization of pilot projects, and knowledge dissemination and outreach. Panofen highlighted the importance of accumulating experience and track records from the pilot projects to create clarity and visibility within the industrial sector, reduce perceived risks, and foster market growth for captive installations, even in the absence of long-term financial support.

Ike Obin, the Principal Industrial Officer of the Federal Ministry of Industry Trade and Investment, commended the project, emphasizing its role in promoting sustainable industrial growth and reducing greenhouse gas emissions in the region. He pledged support to the Energy Commission of Nigeria in promoting the adoption of clean captive installations and encouraged other stakeholders to join this initiative, emphasizing the collective goal of building a more sustainable future.

Funded by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) through the International Climate Initiative (IKI), the project is being implemented by UNEP in collaboration with the Frankfurt School of Finance and Management. The project focuses on four pilot countries: Kenya, Ghana, Nigeria, and South Africa, with the Energy Commission of Nigeria serving as the coordinating office for Nigeria.