They made the commitment yesterday during Vice President Yemi Osinbajo’s global virtual launch of the Energy Transition Plan.
Nigeria needs over $410 billion to deliver its Energy Access and Transition plan known as (NEAT) by 2060. NEAT is a roadmap to tackle the dual crises of energy poverty and climate change in Nigeria
The World Bank and EximBank are to assist with $1.5 million each to actualise the plan, which Osibanjo and the Nigerian National Petroleum Company (NNPC) Limited, said has the potential to create 340,000 jobs by 2030 and pull 100 million Nigerians out of poverty in a decade.
Shubham Chaudhuri, Nigeria country director, World Bank, said the international bank aims at committing over $1.5 billion towards the country’s energy transition plan.
“We plan to commit over $1.5 billion towards the Energy Transition Plan on renewable energy, on power sector reforms, and potentially hydropower, on clean cooking, and wherever opportunities arise,” said Shubham Chaudhuri, Nigeria country director of World Bank
Chaudhuri explained that the fund would go into “ policy and institutional reforms.”
He added: “We hope to be able to provide support for the fundamentally imperative of energy access but in a way that is consistent with the energy transition, what I think of as the NEAT imperative.
“The Nigerian Energy Access and Transition (NEAT) imperative is what we here at the World Bank are absolutely committed to supporting.”
Adam Cortese, chief executive officer of Sun Africa, a renewable energy solutions company, said that the launch of NEAT has further accelerated his firm’s efforts in making Nigeria a fertile ground for investments in the sector.
“We are in the final stages of discussion with US EXIM Bank on a $1.5 billion financing package,” Adam stated.
“We are truly excited about the future and we are looking forward to helping Nigeria lead by way of example in Africa,” he added.
Vice-President Osinbajo said that Nigeria had set up an inter-ministerial energy transition implementation working group which is “currently engaging with partners to secure an initial $10 billion support package ahead of COP27.”
Osinbajo, in a statement by his spokesman, Laolu Akande, highlighted the significant scale of resources required to attain both development and climate ambitions.
He said that Africa’s increasing energy gaps required collaboration to take ownership of the continent’s transition pathways and that the action should be decisive and urgent.
His words: “For Africa, the problem of energy poverty is as important as our climate ambitions.