Business

Global Energy Transition Must Be Sensitive To Africa’s Priorities -Osinbajo

Published

4 years ago

October 21, 2022

The Vice President, Prof Yemi Osinbajo, has said that the global energy transition must be managed in a way that is sensitive to Africa’s priorities.
In a statement, yesterday in Abuja, Osinbajo’s spokesman, Laolu Akande, said the vice-president spoke virtually at the 2022 Standard Bank Climate Summit themed, “Africa’s Path to Carbon Neutrality”.
Osinbajo’s focus was on how to manage the energy transition to net-zero in the context of Africa’s unique challenges, such as energy poverty.
The vice-president said that the current global energy transition was both an opportunity for the preservation of the earth, unlocking the potential and livelihoods of millions of people, especially those in developing countries.
“The current energy transition is an opportunity like none other for the preservation of the planet.
“But, it can also be a vehicle for unlocking the development potential and livelihoods of millions of people; there is no reason why we cannot have both.
“The global community must account for diverse realities and accommodate various pathways to net-zero, particularly for African nations.
“This is because they need financial and technical support as well as the flexibility to develop as swiftly as possible,” he added.
According to Osinbajo, this will ensure a fair and balanced energy transition that leaves no one behind.
The vice-president said: “How we manage the global energy transition must be sensitive to Africa’s priorities.
“The global energy transition must place energy access for both consumptive and productive uses at the heart of climate action.”
Osinbajo said that to ensure a global energy transition that was favourable, African nations needed to engage more critically and vocally on the matter.
The vice-president made reference to Nigeria’s Energy Transition Plan(ETP) as a leading light.
“The value of having a nation-specific, data-driven plan as the basis of our activities and engagements cannot be overemphasised.
“The plan provides a clear financial estimate for the achievement of Nigeria’s energy access and transition goals.
“The ETP finds that an additional 10 billion dollars over business as usual is required annually till 2060 to shift the entire economy to a net-zero pathway; we hope to see more of such plans on the continent,” Osinbajo said.
He said that efforts were being made to have a pan-African position on energy transition.
Osinbajo said: “This is underway with certain countries including Nigeria developing and signing on to the Kigali Communiqué which came out of the Sustainable Energy for All Forum in June, and outlines principles for a just and equitable energy transition.
“We must take ownership of our transition pathways and design climate-sensitive strategies that address our growth objectives.
“We must clearly and thoroughly articulate our priorities, strategies and needs.
“Though Africa’s current unmet energy needs are huge, future demand will be even greater as populations expand, people move into the middle class and rapid urbanisation continues.”
The vice-president recalled that in 2020, Sub-Saharan Africa had 568 million people without access to electricity.
Osinbajo said that the aforementioned represented more than three-quarters of the world’s total un-electrified population.
According to him, most developed nations have 100per cent energy access.
The vice-president said: “Surely, the race to net-zero must not leave people in the dark.
“Also, Sub-Saharan Africa remains the only region in which the number of people without access to clean cooking fuels and technologies is rising.
“19 of the 20 countries with lowest clean cooking access rates are in Africa.
“Limiting the development of gas projects, as a critical energy transition pathway for Africa, violates enshrined principles of equity and justice.
“It also poses dire challenges for African nations while making an insignificant dent in global emissions.”
Osinbajo said Africa had contributed the least of any global region to greenhouse gas emissions and currently emits under 4 per cent of global emissions.
The vice president said that under no plausible scenario were Africa’s emissions a threat to global climate targets.
“Unfounded predictions should not serve as excuses to limit our energy technology options.
“Limiting financing of gas projects for domestic use in Africa would pose a severe challenge to the pace of economic development, delivery of electricity access and clean cooking solutions, and the scale-up and integration of renewable energy into the energy mix,” he added.
On financing energy transition, Osinbajo said a balanced and just approach to the energy transition recognised that finance was key.
He said that lack of access to finance remained the biggest challenge for accelerating action on energy access and climate goals in Africa.
The vice-president restated the call on developed countries to bridge the disparity in energy investments.
“Of the $2.8trillion invested in renewable energy from 2000 to 2020, only about 2per cent, $60billion came to Africa.
“It has been estimated by the International Energy Agency that Africa will need around $133billion annually in clean energy investment to meet our energy and climate goals between 2026 and 2030,’’ he said.
The Standard Bank Group, which hosted the event, had committed to achieving net zero carbon emissions from its own operations for newly built facilities by 2030.
The group also said it would be targeting net zero emissions for existing facilities by 2040, and from its portfolio of financed emissions by 2050.

Business

Association Seeks Intervention to Save Domestic Airlines

Published

21 hours ago

August 10, 2026

The Tide

The Vice Chairman of the Airline Operators of Nigeria (AON) and Chairman of Air Peace, Mr. Allen Onyema, has called on the Federal Government to urgently intervene in the nation’s aviation industry, warning that several domestic airlines may cease operations if the current challenges confronting the sector are not addressed.

Onyema gave the warning at the public presentation of the book, Pathways, Pilgrimage and Destiny: The Biography of Alhaji Muneer Bankole, held in Lagos and was obtained in Port Harcourt, at the weekend.

He described the aviation industry as being highly capital-intensive with relatively low financial returns, stressing that domestic airline operators are grappling with severe economic pressures that threaten their continued existence.

According to him, the industry has reached a critical stage and requires immediate government intervention to avert the collapse of many indigenous carriers.

Onyema warned that unless decisive measures are taken within the next 30 days, several Nigerian airlines could be forced to shut down their operations due to the harsh operating environment.

He also cautioned aviation labour unions against any planned picketing of airlines over the alleged non-remittance of the five per cent Ticket Sales Charge, saying such action could disrupt flight operations across the country.

The Air Peace Chairman maintained that if any airline was singled out for industrial action, other domestic operators would stand in solidarity, arguing that labour unions should not be used as instruments for resolving debt-related disputes between airlines and government agencies.

He lamented that more than 50 Nigerian airlines had folded over the years despite the success of many of their promoters in other sectors of the economy, attributing the trend to the difficult business environment in the aviation industry.

While reaffirming the commitment of airline operators to support government revenue generation, Onyema stressed that policies capable of crippling airline operations should be reviewed in the interest of the sector.

He noted that a thriving aviation industry remains critical to national economic growth, employment generation and improved connectivity across the country.

The AON Vice Chairman urged the Federal Government to engage relevant stakeholders and adopt sustainable measures that would strengthen the operational capacity and financial stability of indigenous airlines.

He expressed optimism that with timely policy support and constructive engagement between government and industry stakeholders, the nation’s aviation sector would overcome its current challenges and continue to contribute meaningfully to Nigeria’s socio-economic development.

King Onunwor

Business

CBN Reforms Impact Consumers As Dollar Card Spending Limits Rise

Published

21 hours ago

August 10, 2026

The Tide

The Central Bank of Nigeria’s (CBN) foreign exchange reforms are beginning to deliver tangible benefits to consumers, as banks expand international spending limits on naira cards amid improved liquidity in the foreign exchange market.

The new limit represents a sharp increase from the $6,000 quarterly cap introduced in November 2025 and is 20-times higher than the $1,000 quarterly limit announced in July 2025.

The move comes as analysts point to a more liquid foreign exchange market following reforms introduced by the CBN over the past three years.

“This reflects the improved liquidity in the foreign exchange market. It also shows the focus of banks in maximising income from card payments,” said Ayokunle Olubunmi, head of Financial Institutions Ratings at Agusto & Co.

Muda Yusuf, chief executive officer of the Centre for the Promotion of Private Enterprise (CPPE), said the increase in card spending limits reflects the significant improvement in liquidity and confidence in Nigeria’s foreign exchange market.

“It’s an indication that the liquidity in the foreign exchange market has improved significantly and we can see that from the stability of the exchange rate. We can also see that reflected in our foreign reserves. All of these things reflect the level of confidence,” Yusuf said.

According to him, businesses and individuals are no longer under pressure to obtain foreign exchange for legitimate transactions, unlike in the past when access to dollars was constrained.

“It also means that citizens and those who use foreign exchange are no longer desperate about foreign exchange usage. Whether you want to use it through your card or access it for international trade, there is no anxiety, there is no pressure and there is no desperation.

All of these things have arisen because the level of confidence in the foreign exchange market and the outlook for the market have been very reassuring,” he said.

Yusuf added that the adjustment of international spending limits by banks demonstrates growing confidence in the sustainability of the foreign exchange market reforms.

“That is why we are seeing all these positive developments around the use of the naira card abroad and the limits that are now being adjusted by banks. It is a very good development and I hope we can sustain it. I am confident we will.”

The increase follows a series of policy changes by the apex bank aimed at deepening the foreign exchange market and improving access to foreign currency for legitimate transactions.

Under the CBN’s Foreign Exchange Manual, Fourth Edition, the maximum tuition fee remittance for Nigerian students pursuing undergraduate and postgraduate studies abroad was raised to $25,000 per semester, from the previous $15,000.

“Payment of tuition fees for undergraduate/postgraduate studies shall be subject to a maximum limit of $25,000.00 per semester,” the Manual states.

The expansion of international card limits also reflects growing confidence among lenders that foreign exchange liquidity has improved enough to support retail dollar transactions.

Speaking recently at the BusinessDay 14th Annual CEO Forum in Lagos, CBN Olayemi Cardoso, governor of the CBN said buying and selling activities now increasingly determine outcomes in the foreign exchange market, unlike in the past when market participants relied heavily on routine Central Bank interventions.

According to Cardoso, Nigeria’s net foreign exchange reserves have risen from just over $3 billion at the start of the reform programme to more than $40 billion, while gross reserves have climbed to about $52 billion, providing stronger confidence for investors and enabling the Central Bank to reserve interventions for periods of market stress rather than day-to-day liquidity management.

The restoration and expansion of international naira card spending limits are increasingly being seen as one of the clearest signs that the benefits of the CBN’s foreign exchange reforms are beginning to reach households, students and businesses making legitimate cross-border payments.

Business

WEC: FG Inaugurates Governing Board … As Nigeria Rejoins Council

Published

21 hours ago

August 10, 2026

The Tide

Nigeria has rejoined the World Energy Council (WEC) with the inauguration of a National Member Committee and Governing Board to strengthen the country’s participation in global energy policy and investment discussions.

The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, disclosed this in a statement, last Thursday.

The Governing Board is chaired by the Chairman of Waltersmith Petroman Oil Ltd., Abdulrazaq Isa, while a former Chief Upstream Investment Officer of NNPC Ltd., Bala Wunti, will serve as the inaugural Chief Executive Officer.

Other members of the board are Prof. Wumi Iledare, Dr Mustapha Abdullahi, Mrs Aisha Farida Katagum, Dr Ainojie Irune, Dr Emmanuel Okon, Dr Victor Ekpenyong and Dr Imamuddeen Talba.

The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, who disclosed this in a statement, last Thursday, said the board comprises of experts in energy policy, regulation, investment, operations, research, technology and enterprise development.

Welcoming Nigeria into the council, Wilkinson said the country’s membership would strengthen its contribution to global energy discourse.

Wilkinson noted that “Nigeria has a significant leadership role to play within the global energy community.

“Nigeria has a significant leadership role, and the Member Committee will help bring that expertise and voice onto the world stage at the Riyadh World Energy Congress in April 2027 and beyond.

“Nigeria’s participation comes at a pivotal time as the country seeks to expand energy access, strengthen energy security, accelerate gas development and mobilise the capital required for industrialisation and sustainable economic growth.

“WEC Nigeria will convene leaders from across the energy ecosystem, apply the WEC’s globally recognised Energy Trilemma framework to Nigeria’s unique context, and promote evidence-based dialogue, practical collaboration and informed policymaking.

“It will also ensure that Nigerian and broader African perspectives contribute meaningfully to global energy conversations,” she said.

Wilkinson expressed confidence that Nigeria would play a significant leadership role at the World Energy Congress scheduled for Riyadh in April 2027 and beyond.

The statement also quoted the Chairman of WEC Nigeria, Isa, as describing the country’s participation as an opportunity to deepen national and African leadership within the global energy community through practical solutions tailored to regional development priorities.

He said the platform would promote collaboration across sectors and attract sustainable investments into Nigeria’s energy sector.

The Chief Executive Officer of WEC Nigeria, Wunti, was quoted in the statement as saying that the council would connect leadership, evidence and investment to build a secure, affordable and sustainable energy system.

“This system will be capable of driving economic growth and shared prosperity.”

According to him, the platform will also connect Nigerian institutions and businesses with international knowledge, technology, partnerships and investment opportunities through the World Energy Council’s global network.

Recall that WEC, founded in 1923, is the world’s oldest independent and impartial community of energy leaders and practitioners, advancing informed, collaborative and practical action across the global energy system.

Nigeria has been a member of the council with the Nigerian National Committee originally approved and established on April 6, 1960 before its re-establishment and expansion this year.

The renewed membership would provide an independent, technology-neutral platform bringing together government, industry, academia, finance and civil society to address Nigeria’s energy security, energy equity and environmental sustainability.