Vice President Kashim Shettima formally launched the Intergovernmental Committee on Carbon Market Activation Plan on Thursday, marking the formation of a new committee by the Federal Government that will pave the way for a sizeable $2.5 billion carbon market.
The Vice President’s spokesperson, Stanley Nkwocha, released a statement stating that the committee’s objective is to provide a methodical framework for a sustainable carbon market.
This action facilitates Nigeria’s participation in the lucrative $2.5 billion carbon market and is in line with President Bola Ahmed Tinubu’s goal of reducing the country’s carbon emissions. It is also backed by the Africa Carbon Market Initiative.
The Federal Inland Revenue Service Executive Chairman, Mr. Zacch Adedeji, is the committee’s chair. President Tinubu announced the committee’s formation at COP28 in December 2023.
Shettima stressed the administration’s plan to use natural gas as a transitional fuel during the inauguration at the Presidential Villa in Abuja, as well as the committee’s role in developing a national carbon market policy.
Significant investments, easier emission reductions, and sustained growth in Nigeria are all expected outcomes of this plan.
Shettima said: “I am confident that we are headed in the right direction, especially with the caliber of the technocrats in this room, but the intervention we seek cannot be realized unless the brightest minds in this country come together to oversee our transition.”
“We are here today as a part of a larger effort to position Nigeria and Africa as a whole in green growth industrialization and manufacturing. This demonstrates our dedication to environmental care and sustainable development.”
“This validates our focus on natural gas as a transition fuel while investing in renewable energy sources. Our goal is to provide for the now while preserving the future.”
“There has never been any question about our sincere desire to coordinate market plans and actions connected to carbon. Our commitment to formulating a national strategy for the carbon market is evidenced by the existence of the Intergovernmental Committee on Carbon Market.”
Shettima also pointed out that the introduction of the carbon market mechanism is a significant change, and she urged committee members to see it as an opportunity for cooperation, creativity, and group effort.
In addition to stressing the relationship with the African Carbon Market Initiative as a step towards environmental responsibility and establishing Nigeria as a top destination for carbon market investment, he underlined the shift from conference ideas to concrete actions.
He claimed that by taking this action, Nigeria will be able to participate more fully in both the mandated and optional carbon markets, which might lead to the release of substantial amounts of climate funding.
