Minister of Environment, Mr. Mohammed Abdullahi

Climate change: FG launches Emission Trading Scheme to drive green economy

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Federal Government has launched the Emissions Trading Scheme (ETS), geared towards providing policy recommendations that will guide National transition of a green economy.

Minister of Environment, Mr. Mohammed Abdullahi

According to government, the establishment of the trading scheme is in line with the legal framework provided in the Climate Change Act 2021 to help in the reduction of greenhouse gas emissions through a carbon market base approach to meet its Net Zero target.

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Minister of Environment, Mr. Mohammed Abdullahi while launching the scheme at the flag off Business meeting on Development of Emissions Trading Scheme, in Abuja the nation’s capital, said a collective investment in addressing climate change will provide immense dividends for global economy.

“Nigeria realises that its efforts on carbon management policy stands to gain from aligning our national emissions planning to international mechanisms such as Emissions Trading Scheme (ETS). this flag-off event signals the commencement of activities that would lead to the establishment of the Nigeria Emission Trading Scheme (ETS), sensitize the public, and ensure coordination with other relevant arms of government/development partners under the leadership of the Federal Ministry of Environment with active collaboration of the Federal Ministry of Trade & Industries.” Mr. Abdullahi explained.

Abdullahi also stressed that the Ministry would provide coordination at all levels required to galvanize and entrench climate action for the country.

“Nigeria cannot afford to ignore the possibilities of generating upwards of 250 metric tons of CO2E annually amounting to an estimated value in excess of 3 Billion USD. The Federal Ministry of Environment is therefore poised to explore all options that are driven by our domestic realities and yet in tune with global benchmarks and best practices to ensure the development of a scheme that adds value to the environment, trigger bankable and commercial transactions which will ultimately generate jobs. It is important to note that this event will trigger the critical first steps towards defining roles and responsibilities to institutions and entities that will ensure the objectives of the National Emissions scheme is met which should essentially deliver on an effective mechanisms for successful carbon pricing for Nigeria. We are not in a hurry but we are determined to do a 100 meters dash in this process.” He stated.

The Director General, National Council on Climate Change, Dr, Salisu Dahiru said that the event was to deliberate on the Emission Trading Scheme to understand how it fits into the framework that has been developed towards achieving the country’s Nationally Determine Contributions, NDC’s.

“I believe each and everyone of us has a role to play, the idea will be on complementing each other efforts to build a common and formidable platform that will help to ensure that all the commitments and declarations the President Muhammadu Buhari has made are implemented to the fullest. for us in the National Council we are going to provide an enabling environment for all the various players in the Climate Change discourse to come together and forge a common ground so that the implementation of various mitigation and adaptation strategies as contain in our NDC’s initiatives that are ongoing in the country would be implemented to the fullest.” Dr, Dahiru explained.

UNDP Country’s Representative, Mr. Mohamed Yahaya, maintained that an emission trading scheme is potentially one of the most powerful tools to build an effective global response to climate change to meet the NDC’s commitments the Nigerian government has made to the United Nations Framework Convention on Climate Change.

“Today, in Nigeria, we would need to take critical look at all sectors especially the transport, energy and the construction sectors. These are the sectors in which emissions are actually shooting up instead of going down despite the improvement in technological innovations and advancement. These are the areas that affect the ordinary Nigerians on daily basis. It would be nice if we are able assist those who know what they need to do by giving them the right incentives and protecting the vulnerable against the consequences,” he said.

“Mr Yahaya said that the carbon trading would provide lot of environmental benefits to the country. In some countries, carbon emission trading has been known to be source of means of generating money for nature-based solutions to climate change, this believe, can be said to be the same for Nigeria in the nearest future.” Mr Yahaya stated.

Representative of the Netherlands Ambassador to Nigeria, Mariska Lammers said that the Dutch government commended the high ambitions the Nigerian government have set in the commitment of NDC’s and its ambition to have a net zero target by 2060.

“The Dutch government will support the Nigeria’s adaptation and mitigations to the impact of Climate Change, we are very happy to be here, we like to support you and work together to meet your emissions target,” she added.

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