FG unveils 2% ecological fund, 10% green bond for clean cooking financing

• As govt approves national clean cooking policy

THE Federal Government has set aside two per cent of the ecological fund yearly and 10 per cent of green bonds for clean cooking financing in the country.

The percentage will be domiciled in the Ecological Fund Office and releases will be made to the Clean Cooking Committee for implementation of actions based on the clean cooking budgets of the Ministries Departments and Agencies ( MDAS) and the sub- committees.

Under the green bond, the government will through relevant MDAS develop specific clean cooking projects to be financed by the bond, while projects that have the potential for maximum positive impact will be prioritised.

Since its inception in 2017, the bond has been issued twice, and over N25 billion was realised and used to finance green projects. Government has consistently featured clean cooking in yearly national budgets. The new policy will also leverage the existing Central Bank of Nigeria ( CBN) N500 billion funds to finance renewable energy initiatives.

The provisions are contained in the 29- page document ‘ National Clean Cooking Policy’ approved by the Federal Executive Council recently. Through the policy, the MDAS will make budgetary promotion of clean cooking actions and each MDA will commit not less than N50 million yearly for clean cooking activities.

Nearly 30 million households depend on wood as a source of fuel for cooking using traditional threestone and metal tripod stoves. Smoke from open fires results in over 77,000 fatalities in Nigeria yearly.

Moreover, the traditional cooking method is expensive, burning up to 90 per cent more wood than is necessary and costing poor families money that could be put to better use on education, health, and nutrition.

The use of firewood also contributes to deforestation and climate change, achieving universal access to clean cooking fuels and technologies by 2030, and net zero emissions from cooking by 2060 requires a seismic shift in policy.

MEANWHILE, Federal Government the has pledged its support towards the domestication of the policy by implementing key recommendations. Minister of Environment,

Balarabe Lawal, who spoke at the launch of the policy, said: “We will embark on extensive awareness to communicate the co- benefits that cleaner cooking solutions bring, provide technical and business training, as well as building capacity of local producers and distributors.”

He also announced plans for fiscal and monetary incentives to encourage local manufacturers of various clean cooking fuels and technologies in the country.