Nigeria Aims for Green Economy Transition with Hydrogen Energy Initiatives

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Minister of Environment, Balarabe Lawal, says the country is trying to transition to a green economy through renewable projects including hydrogen energy initiatives.

The minister said this during the Global Africa Hydrogen Summit and clean energy maximisation in Namibia.

Minister Lawal said that harnessing hydrogen could bolster Nigeria’s economy by generating foreign exchange and position the nation as a regional hub for green hydrogen production and export. He highlighted the dual approach of utilizing both blue hydrogen from natural gas for domestic needs and green hydrogen for broader market applications.

“Nigeria is faced with a huge energy crisis,” Lawal stated. “As a party to the United Nations Climate Convention (UNFCCC) at COP 26 in Glasgow, we committed to achieving net-zero emissions by 2060. In line with this pledge, we are making substantial efforts to transition to a green economy through renewable projects, including hydrogen energy initiatives.”

The minister pointed out that Nigeria is rich in resources such as sunlight, wind, and water, which can be harnessed to maximize the potential of green energy. He stated, “Through this project, we aim to enhance energy access, positioning Nigeria as a leader in hydrogen technology and innovation. This will foster local expertise and drive advancements in the clean energy sector, ultimately boosting economic development and addressing energy poverty.”

Lawal also underscored the social impact of these initiatives, noting that the green energy project is expected to create numerous jobs, particularly for youth and women, who are often more vulnerable to the adverse effects of climate change. “Our focus on renewable energy, including hydrogen, aims to lift about 100 million people out of poverty and mitigate job losses resulting from the decarbonization of the oil sector,” he added.

In a significant development, the minister announced that U.S.-based FuelCell Energy has signed a Memorandum of Understanding (MoU) with Oando Clean Energy Limited (OCEL) to develop a large-scale green hydrogen power plant in Nigeria. The proposed project will range from 5MW to 15MW, with FuelCell Energy supplying its advanced fuel cell and electrolyzer technology, as well as potential carbon capture and sequestration technologies.

Additionally, Lawal revealed that the Kaduna State Government, in collaboration with the Qatar Government, is proposing the installation of a $350 million hydrogen plant in Kaduna State, further enhancing Nigeria’s position in the burgeoning hydrogen economy.

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