Good morning, distinguished participants in this Public Forum. I have the privilege of welcoming us all to this event which is organized by the Shehu Musa Yar’Adua Foundation in partnership with Health of Mother Earth Foundation (HOMEF) and with the solid support of Ford Foundation. We hope this forum will trigger other inclusive engagements and platforms to help rouse us from slumber, ask ourselves frank questions, and take a peep at the energy and economic future of our country, Nigeria.
The petroleum civilization is winding down. The handwriting has been on the wall for quite a while. The burning of fossil fuels has taken up the carbon budget and wrapped the earth with a thick blanket of greenhouse gases that have resulted in the hottest days in recent history and calamitous floods, wildfires, and other freak events. While climate change is a global crisis, we cannot deny the fact that we face peculiar impacts at both national and sub-national levels.
For one, the global shift towards more sustainable energy technologies is bound to provoke a precipitous reduction in global demand for hydrocarbon fossil fuels, such as coal, oil, and natural gas. With nearly 86 percent of Nigeria’s export value coming from fossil fuels, the global energy transition will have profound effects on our economy. The prospects of a zero-carbon future will also have a far-reaching environmental, social, and governance impacts on Nigeria.
Most affected by this will be impoverished extractive communities who have been treated as sacrificial zones since the first commercial oil well was drilled at Oloibiri 65 years ago. The impacts of climate change are already being experienced through sea-level rise and coastal erosion. These impacts are multiplied by the massive pollution whose intensity going by NOSDRA reports amounted to 1,300 spills or an average of 5 spills a day in years 2018 and 2019.
The global tumbling of oil fortunes has led to shifts in the calculations of fossil fuel companies. While some are rebranding through a change of name, others are shifting to other energy fields. And some are moving from onshore oil assets to offshore deep-water oil fields.
This forum intends to build an understanding of the potential impact of the inevitable global energy transition on Nigeria. It also seeks to trigger improved inclusiveness in re-source governance and reduce the power asymmetry in climate action. Finally, we hope to see in what ways government can enhance commitment towards the implementation of policies, laws, regulations and initiatives that would lead to equitable economic, social, and environmental outcomes in extractive communities.
This is a pivotal public forum that will set the tone for further community-level engagements. Today we will be learning from economic experts and industry players as we figure out appropriate responses to the dramatic shifts unfolding before us. We are also looking forward to hearing from government officials and community representatives. We believe that even if energy shifts produce stranded assets, actions must be taken to ensure that we do not end up with stranded communities.
Again, let me say what a great honour it is to welcome us all to the forum. Let us make this a major marker on the pathway to a Nigeria where every citizen has access to electricity and energy from clean, safe, and renewable sources. We look forward to a future where no territory will remain a sacrificial zone and where citizens are actively integrated into re-source ownership, management, and energy production.
16 September 2021