TECHNICAL PROGRAMME | Energy Leadership – Future Pathways
Energy Access for All
Forum 25 | Hall 10 - BAHRI Technical Programme 5
12
October
14:00
15:15
UTC+3
Through the continued expectation of increased energy demand on a worldwide scale in the next few decades, the challenge of providing reliable, sustainable, affordable energy for everyone is growing. On the one side the world is transitioning to a lower carbon energy future, on the other side, the cost of new energy sources and new energy supply channels face the challenge of affordability. Balancing these in the future will require additional effort to ensure access to energy for all by 2030. With the added consideration of geopolitical developments we will have to reconsider energy strategies worldwide to achieve this.
This study examines the potential contributions of renewable energy to achieving universal electricity access in Nigeria within the framework of sustainable energy transition. Specifically, we adopt the Open Source Spatial Electrification Tool (OnSSET) to carry out a GIS-based rural electrification assessment to examine the options for achieving universal electricity access in Nigeria to support sustainable energy transitions. We focus on Sokoto State, Nigeria. Based on OnSSET modelling, the total number of unelectrified settlements in the study area is estimated at 1,453 with a corresponding population of 1.28miilion. Our results show that mini-grid PV will be the least-cost electrification option for electrifying most of the unelectrified settlements. Based on our assumption of basic electricity demand, the cost of electrifying the settlements is estimated at US$231.4million, and the additional capacity that will be required will be 125MW. Given the large number of unelectrified settlements and the financial requirement for achieving universal electricity access, we proceed to prioritize the settlements using the multi-attribute utility theory (MAUT) and identify settlements that will have the highest utility if electrified based on five criteria: financial, economic, social, demographic and political. We conclude by noting that the technical, institutional, and governance constraints to achieving universal electrification in Nigeria are being addressed, however, the financial constraints persist. We recommend that financial support by multilateral development organizations should also include support for setting assembling or manufacturing facilities for renewable energy equipment in Nigeria as this will substantially reduce the cost of mini-grid projects as well as the associated risks of such projects in terms of cost recovery due to exchange rate fluctuations.
Clean cooking remains the most underfunded component of Africa’s energy transition, despite its profound implications for climate, health, and gender equity. Over 900 million people on the continent still rely on biomass and other polluting fuels for cooking, contributing to more than 700,000 premature deaths annually and significant forest degradation. While clean cooking solutions—such as LPG (liquefied petroleum gas), improved biomass cookstoves, and electric cooking—are technically viable and aligned with SDG 7 and net-zero goals, affordability remains the principal barrier to widespread adoption.
A recent breakthrough in climate cooperation offers a new pathway. In 2023, Ghana and Switzerland authorized the first clean cooking mitigation activity under Article 6.2 of the Paris Agreement. Facilitated by the KliK Foundation, this initiative supports the distribution of next generation cookstoves to households in Ghana and issues Internationally Transferred Mitigation Outcomes (ITMOs) based on verified emissions reductions. This example demonstrates how carbon markets can be harnessed to support both national climate goals and local development priorities, particularly energy access.
This paper explores the potential of carbon markets as a scalable financing mechanism to accelerate clean cooking adoption across Africa. We provide a comparative analysis of clean cooking carbon projects in Kenya, Rwanda, and Ghana, evaluating their emissions reduction methodologies, credit issuance trends, and revenue generation. Drawing on recent field data and carbon registry records, we demonstrate that well-structured clean cooking projects can generate between 1–3 tCO₂e per household annually, translating into meaningful revenue at current voluntary market prices.
However, the paper also highlights key challenges—including market fragmentation, high transaction costs, evolving standards, and limited national readiness to implement Article 6 mechanisms. To overcome these barriers, we propose a pan-African carbon finance facility for clean cooking, supported by harmonized MRV (monitoring, reporting, and verification) protocols, pooled crediting platforms, and regional project aggregation. This model would reduce risk, enhance credit quality, and attract investment at scale.
By anchoring clean cooking within national energy strategies and NDCs (nationally determined contributions), and by positioning it as a climate solution eligible for results-based finance, governments and partners can catalyze the sector. Our findings make the case for integrating carbon-financed clean cooking into Africa’s broader energy planning to achieve access, affordability, and climate mitigation simultaneously.
This paper contributes to the discussion on energy affordability and transition equity by presenting clean cooking not just as a development imperative but also as a climate-aligned investment opportunity. As geopolitical tensions and supply chain pressures reshape energy markets, clean cooking carbon finance offers a decentralized, resilient, and people-centered approach to delivering energy for all by 2030.
A recent breakthrough in climate cooperation offers a new pathway. In 2023, Ghana and Switzerland authorized the first clean cooking mitigation activity under Article 6.2 of the Paris Agreement. Facilitated by the KliK Foundation, this initiative supports the distribution of next generation cookstoves to households in Ghana and issues Internationally Transferred Mitigation Outcomes (ITMOs) based on verified emissions reductions. This example demonstrates how carbon markets can be harnessed to support both national climate goals and local development priorities, particularly energy access.
This paper explores the potential of carbon markets as a scalable financing mechanism to accelerate clean cooking adoption across Africa. We provide a comparative analysis of clean cooking carbon projects in Kenya, Rwanda, and Ghana, evaluating their emissions reduction methodologies, credit issuance trends, and revenue generation. Drawing on recent field data and carbon registry records, we demonstrate that well-structured clean cooking projects can generate between 1–3 tCO₂e per household annually, translating into meaningful revenue at current voluntary market prices.
However, the paper also highlights key challenges—including market fragmentation, high transaction costs, evolving standards, and limited national readiness to implement Article 6 mechanisms. To overcome these barriers, we propose a pan-African carbon finance facility for clean cooking, supported by harmonized MRV (monitoring, reporting, and verification) protocols, pooled crediting platforms, and regional project aggregation. This model would reduce risk, enhance credit quality, and attract investment at scale.
By anchoring clean cooking within national energy strategies and NDCs (nationally determined contributions), and by positioning it as a climate solution eligible for results-based finance, governments and partners can catalyze the sector. Our findings make the case for integrating carbon-financed clean cooking into Africa’s broader energy planning to achieve access, affordability, and climate mitigation simultaneously.
This paper contributes to the discussion on energy affordability and transition equity by presenting clean cooking not just as a development imperative but also as a climate-aligned investment opportunity. As geopolitical tensions and supply chain pressures reshape energy markets, clean cooking carbon finance offers a decentralized, resilient, and people-centered approach to delivering energy for all by 2030.
Clean cooking remains the most underfunded component of Africa’s energy transition, despite its profound implications for climate, health, and gender equity. Over 900 million people on the continent still rely on biomass and other polluting fuels for cooking, contributing to more than 700,000 premature deaths annually and significant forest degradation. While clean cooking solutions—such as LPG (liquefied petroleum gas), improved biomass cookstoves, and electric cooking—are technically viable and aligned with SDG 7 and net-zero goals, affordability remains the principal barrier to widespread adoption.
A recent breakthrough in climate cooperation offers a new pathway. In 2023, Ghana and Switzerland authorized the first clean cooking mitigation activity under Article 6.2 of the Paris Agreement. Facilitated by the KliK Foundation, this initiative supports the distribution of next generation cookstoves to households in Ghana and issues Internationally Transferred Mitigation Outcomes (ITMOs) based on verified emissions reductions. This example demonstrates how carbon markets can be harnessed to support both national climate goals and local development priorities, particularly energy access.
This paper explores the potential of carbon markets as a scalable financing mechanism to accelerate clean cooking adoption across Africa. We provide a comparative analysis of clean cooking carbon projects in Kenya, Rwanda, and Ghana, evaluating their emissions reduction methodologies, credit issuance trends, and revenue generation. Drawing on recent field data and carbon registry records, we demonstrate that well-structured clean cooking projects can generate between 1–3 tCO₂e per household annually, translating into meaningful revenue at current voluntary market prices.
However, the paper also highlights key challenges—including market fragmentation, high transaction costs, evolving standards, and limited national readiness to implement Article 6 mechanisms. To overcome these barriers, we propose a pan-African carbon finance facility for clean cooking, supported by harmonized MRV (monitoring, reporting, and verification) protocols, pooled crediting platforms, and regional project aggregation. This model would reduce risk, enhance credit quality, and attract investment at scale.
By anchoring clean cooking within national energy strategies and NDCs (nationally determined contributions), and by positioning it as a climate solution eligible for results-based finance, governments and partners can catalyze the sector. Our findings make the case for integrating carbon-financed clean cooking into Africa’s broader energy planning to achieve access, affordability, and climate mitigation simultaneously.
This paper contributes to the discussion on energy affordability and transition equity by presenting clean cooking not just as a development imperative but also as a climate-aligned investment opportunity. As geopolitical tensions and supply chain pressures reshape energy markets, clean cooking carbon finance offers a decentralized, resilient, and people-centered approach to delivering energy for all by 2030.
A recent breakthrough in climate cooperation offers a new pathway. In 2023, Ghana and Switzerland authorized the first clean cooking mitigation activity under Article 6.2 of the Paris Agreement. Facilitated by the KliK Foundation, this initiative supports the distribution of next generation cookstoves to households in Ghana and issues Internationally Transferred Mitigation Outcomes (ITMOs) based on verified emissions reductions. This example demonstrates how carbon markets can be harnessed to support both national climate goals and local development priorities, particularly energy access.
This paper explores the potential of carbon markets as a scalable financing mechanism to accelerate clean cooking adoption across Africa. We provide a comparative analysis of clean cooking carbon projects in Kenya, Rwanda, and Ghana, evaluating their emissions reduction methodologies, credit issuance trends, and revenue generation. Drawing on recent field data and carbon registry records, we demonstrate that well-structured clean cooking projects can generate between 1–3 tCO₂e per household annually, translating into meaningful revenue at current voluntary market prices.
However, the paper also highlights key challenges—including market fragmentation, high transaction costs, evolving standards, and limited national readiness to implement Article 6 mechanisms. To overcome these barriers, we propose a pan-African carbon finance facility for clean cooking, supported by harmonized MRV (monitoring, reporting, and verification) protocols, pooled crediting platforms, and regional project aggregation. This model would reduce risk, enhance credit quality, and attract investment at scale.
By anchoring clean cooking within national energy strategies and NDCs (nationally determined contributions), and by positioning it as a climate solution eligible for results-based finance, governments and partners can catalyze the sector. Our findings make the case for integrating carbon-financed clean cooking into Africa’s broader energy planning to achieve access, affordability, and climate mitigation simultaneously.
This paper contributes to the discussion on energy affordability and transition equity by presenting clean cooking not just as a development imperative but also as a climate-aligned investment opportunity. As geopolitical tensions and supply chain pressures reshape energy markets, clean cooking carbon finance offers a decentralized, resilient, and people-centered approach to delivering energy for all by 2030.
Salisu Isihak
Speaker
Senior Technical Assistant to the Managing Director, NNPC Retail,
Nigerian National Petroleum Company Ltd.
Nigeria
This study examines the potential contributions of renewable energy to achieving universal electricity access in Nigeria within the framework of sustainable energy transition. Specifically, we adopt the Open Source Spatial Electrification Tool (OnSSET) to carry out a GIS-based rural electrification assessment to examine the options for achieving universal electricity access in Nigeria to support sustainable energy transitions. We focus on Sokoto State, Nigeria. Based on OnSSET modelling, the total number of unelectrified settlements in the study area is estimated at 1,453 with a corresponding population of 1.28miilion. Our results show that mini-grid PV will be the least-cost electrification option for electrifying most of the unelectrified settlements. Based on our assumption of basic electricity demand, the cost of electrifying the settlements is estimated at US$231.4million, and the additional capacity that will be required will be 125MW. Given the large number of unelectrified settlements and the financial requirement for achieving universal electricity access, we proceed to prioritize the settlements using the multi-attribute utility theory (MAUT) and identify settlements that will have the highest utility if electrified based on five criteria: financial, economic, social, demographic and political. We conclude by noting that the technical, institutional, and governance constraints to achieving universal electrification in Nigeria are being addressed, however, the financial constraints persist. We recommend that financial support by multilateral development organizations should also include support for setting assembling or manufacturing facilities for renewable energy equipment in Nigeria as this will substantially reduce the cost of mini-grid projects as well as the associated risks of such projects in terms of cost recovery due to exchange rate fluctuations.
