In a recent session of the House of Representatives, a significant motion was introduced, calling on the federal government to tap into the burgeoning climate investment funds, which are currently estimated to be around $23 billion. This resolution came after a motion was put forth by Hon. Daniel Amos during the plenary yesterday.
Hon. Amos highlighted that the African Carbon Market Initiative has projected that Nigeria could potentially generate over $500 million annually by 2030 while simultaneously supporting over three million jobs through reduced carbon emissions. He pointed out that Nigeria is already a signatory to the 2015 UN Climate Change Conference (COP21) Paris Agreement, which the country ratified in 2017. Following the enactment of the Climate Change Act, Nigeria also announced its commitment to achieving net-zero emissions by 2060 in 2021.
Arguing for further investment in sustainable green projects, Amos emphasized the potential job creation, innovation stimulation, and overall economic development that could result from such initiatives. He referenced estimates that place the total value of green funding—received from significant climate change advocacy organizations like the Green Climate Fund, the Global Environment Facility, and others—at $23 billion for 2024, not including additional financing from bilateral and multilateral aid, private sector investments, and domestic resources.
Moreover, Amos explained the significance of carbon credits, which represent one metric ton of CO2 or greenhouse gas emissions removed from the atmosphere. He cited that the global voluntary carbon market was valued at around $2 billion in 2022 and is expected to grow by a factor of at least 15 by 2030, as governments and corporations seek offsets to meet net-zero emissions targets.
As a result, the House urged the National Climate Council to ensure that all Ministries, Departments, Agencies, and Companies develop and effectively implement sustainability plans. Additionally, they advocated for the establishment of a separate budget envelope each year, funded by green funds from development partners and multilateral agencies, to be allocated to the relevant MDAs.
Furthermore, the House mandated its committees on Climate Change, Renewable Energy, Environment, and Ecological Fund to collaborate with the Executive in educating citizens, companies, and MDAs on sustainable practices when designing and executing various projects and programs. It also tasked the Committee on Appropriation to work closely with the Ministry of Budget and Planning to incentivize MDAs that adopt sustainable practices. This includes providing additional funding beyond their standard budget allocations starting from the 2025 budget estimates for those with established carbon credit potentials and programs, which must be submitted at the conception stage to the Federal Executive Council (FEC).
