Mrs Tenioye Majekodunmi, the Director-General, National Council on Climate Change (NCCC), says Nigeria is ready for 32.2 per cent emission reduction by 2035.
Majekodunmi said this on Thursday during a meeting on Climate Finance and Carbon Markets on the side of the 30th United Nations Climate Change Conference of the Parties in Belem, Brazil.
According to her, the per cent emission reduction will have an estimated annual Carbon market value of about 2.5 billion dollars by 2030.
“This reflects a strategic vision to leverage mark-based and non-market mechanisms to meet and exceed the country`s Nationally Determined Contribution (NDC) commitments.
“This ambitious target is underpinned by the potential for significant investments in low-carbon and clean energy projects, which will reduce emission and drive sustainable economic growth, create jobs, and provide new revenue streams for climate interventions.
“As Africa`s largest economy, Nigeria is poised to lead as Africa`s hub for high-integrity Carbon market investment, setting the benchmark for low-carbon, climate-resilient socio-economic development, “ she said.
NCCC director-general said the Carbon Market Activation Policy (CMAP) was designed to bolster Carbon market activities in the countries.
According to her, the policy provides the guidelines and procedures that will foster Nigeria`s objective to reduce GreenHouse Gas (GHG) emissions while promoting sustainable development through the carbon market mechanism.
“This policy informs Nigeria`s efforts to provide a well-defined system that will coordinate progress in GHG emissions reduction, address fiscal-related issue (like taxes, subsidies among others and build investor`s confidence.
“Also, to establish a detained institutional arrangement that clearly defines the roles and responsibilities of key stakeholders and ensures the generation of high integrity and high-quality Carbon credits, while also safeguarding market transparency.
“A key objective of this policy is to facilitate Nigeria`s participation in national, regional, continental, and international Carbon markets,” she said.
She said the policy would also enhance development of governance and regulatory mechanisms that would encourage international and local investors to develop emission reduction projects to support national climate mitigation goals while availing funds for sustainable development.
Speaking, Mrs Tariye Gbadegesin, the Chief Executive Officer, Climate Investment Funds, said Nigeria had one of the best Carbon Market Framework policies in the world.
Gbadegesin maintained that the nation was indeed really ready for the carbon market in the country.
According to her, Nigeria`s institutional framework provides clear roles and responsibilities for all the institutions that will be involved in the carbon market mechanism.
“This will ensure that there is no overlap or duplication of responsibilities. This robust institutional framework will govern the country`s participation in both Article 6 mechanisms under the Paris Agreement and Voluntary Carbon Market ( VCM) .
“The Nigeria`s institutional framework also provides other mechanisms such as the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).
“The institutional framework will be backed by the regulatory framework that the government intends to develop,” she said.
