By Micheal Eboh

The Federal Government has called on banks and financial institutions in the country to help finance the development and deployment of renewable energy technology in Nigeria, saying that it will soon put in place the necessary framework to encourage investment in the sector.

This, the government said, will help in the drive towards ensuring a green economy and tackle the issue of climate change.

Speaking at the first edition of the Nigerian Sustainable Finance Week summit, in Lagos, Minister for Environment, Mrs. Hadiza Mailafia, represented by her Senior Technical Assistant, Dr. Mohammed Al-Amin, however, said that the government needs the industry to indicate their commitment, support and strong leadership to help it develop an achieve an effective policy blue print in renewable energy financing.

“Effective negotiations will not be achieved without push from the private sector. Direct leadership by business will help guide policy development and demonstrate a resolute commitment to drive forward the transition to a profitable green economy,” she noted.

She highlighted the benefits of financial institutions’ support in financing the deployment of renewable energy technology and green economy to include the creation of jobs in various sectors to provide support for the new businesses that will emerge, such as green energy, organic agriculture, eco-friendly textiles, green building among others.

Mailafia added that investment in renewable energy will help government access more foreign direct investment, while at the same time, stimulating and encouraging private sector growth.

She said that it will also engender the introduction of carbon credit system in the country, adding that carbon prices expand the potential for both public and private financing by raising public revenue and creating private sector demand for emission reduction.

According to her, there are so many benefits of going green for the economy, especially as Nigeria is endowed with an abundance of renewable energy resources.

On the measures put in place to encourage investment in the green economy initiative, he said the government has established a number of institutional frameworks to encourage sustainable investment through the Federal Ministry of Trade and Investment, the Nigerian Investment Promotion Council, NIPC and the Nigerian Independent Power Project, NIPP.

She added that the government has put in place a number of environmental management policies, the requisite legal frameworks, banking sector reforms and pilot projects on solar energy and other renewable energy sources.

Mailafia said further, “The perception of the transition to a green economy requires a refocus. The shift to green growth is more than an environmental issue but is an economic revolution that presents tremendous opportunities for business.”