Nigeria Enforces Green Policies for Oil Licences

Starting Wednesday, Nigeria requires oil licence applicants to demonstrate low carbon emissions and renewable energy projects, aligning with its goal of net zero emissions by 2060. The Nigerian Upstream Petroleum Regulatory Commission released a guide and will enforce the policy, requiring methane management and energy-efficient practices.

Nigeria is stepping up its climate commitment by mandating that oil licence applicants provide proof of low carbon emissions and renewable energy integration from this Wednesday, according to the head of its upstream regulatory agency.

Gbenga Komolafe, the chief executive of the Nigerian Upstream Petroleum Regulatory Commission, outlined the new rule aimed at supporting the nation's goal to achieve net zero carbon emissions by 2060. The commission has released the Upstream Petroleum Decarbonisation Template to aid applicants in compliance with these requirements.

Enforcement will begin on January 1, 2025, covering all upstream sector approvals, including divestments. This move underscores efforts to harmonize the petroleum industry with national and international climate objectives while enhancing Nigeria's energy security and economic growth through sustainable practices. Operators are now expected to implement methane management, energy-efficient technologies, and renewable energy sources in their operations.

(With inputs from agencies.)