……Africa loses $26.2BN annually due to lack of reliable power

By Favour Ulebor, Abuja

The Senate Committee Chairman on Climate Change, Henry Seriake Dickson has said,He said, Africa has 40% of the world’s energy renewable sources, but due to limited financing, we only attracts 2%.

He said this at the, Africa Climate Forum 2023, themed ‘Powering the future: Financing Energy Transition for Sustainable Progress’ on Tuesday, in Abuja.

Seriake also said, creating an enabling environment that would attract funding is necessary to boost energy transition in Nigeria.

He said, “Globally we are faced with challenges of climate change, environmental degradation hence the need for a sustainable energy fussion. The talks in this can’t be overemphasized. Our dependant on fossil fuel has not only contributed to global warming but also resulted to air pollution, it is our collective responsibility to drive this energy transition and financing as you will all agree to, continue to play a special role in this endeavour.

“Transitioning to a sustainable energy future is not an easy task. We have been told that Africa has 40% of the world’s energy renewable sources and yet available finances so far indicates that we have only attracted 2%.

It requires massive investment, a clean energy infrastructure, investment in innovative technologies and a shift generally in our energy consumption matters but with great challenges also comes with great opportunities.The transitioning to clean energy is not just about mitigating the effects of climate change but it is enormous.

“Financing this transition represents a win win scenario for all and for the entire economy.
There are things to consider, we have to necessarily look at the possibilities that promote public private partnerships, incentives and subsidies, carbon pricing, education and creating awareness., technology and innovation education and creating awareness, moving forward.” He said.

Speaking on the need for collaboration to enable a smooth energy transition, Seriake said, “There’s need for synergy between all ministries departments and agencies. Financicing the transition will require legislative intervention, whether by strengthening existing legislation or bringing a new legislation that will promote finances for energy transitioning; essentially as we all know, we cant make any headway unless we create an environment that would attract the needed financing for this energy transition”.

The DG Global Centre for Law, Business and Economy, George Nwangwu said, the lack of reliable power results to economic loss, estimated at $26.2BN annually; adding that Africa’s energy transition must be handled properly.

He said, “The lack of reliable power poses a major constraint to both private citizens and businesses, resulting in annual economic losses estimated at $26.2BN, which is equivalent to 2% of GDP.

“The global community is seeking ways to transition to renewable energy sources to save our planet. However, if the energy transition in Africa is not handled properly, it could potentially pose an existential threat to the continent itself” he said.

In his words, Director General, National Council on Climate Change, Dr Salisu Dahiru said, “we all need to cooperate further, and we need to make sure that the investment in climate is going to be conducive not only for offshore investment promoters but also for the private sector in Nigeria” he said.