Civil Society Organizations have urged the states in the Niger Delta to collaborate in their attempt to transit from fossil fuel to renewable energy
The CSOs which include Policy Alert, BudgIT Foundation and Natural Resource Governance Institute (NRGI) made the call over the weekend in Uyo, Akwa Ibom State, during a regional stakeholders’ dialogue on ‘Strengthening Sub National Fiscal resilience in the Niger Delta’.
Tengi George-Ikoli, a senior officer at NRGI observed that energy transition poses serious fiscal risks for sub-national governments in the Niger Delta region which heavily depend on oil revenues.
As a result, she called on states in the region to come together to foster a resilient economic future
She added that Niger Delta governments should have a comprehensive policy framework where plans to mitigate the environmental, social and economic costs of the fossil fuel phase-out would be outlined.
“As the world steadily moves away from fossil fuels, states in the Niger Delta face economic uncertainty and there is urgent need to rethink their fiscal strategies.
“There is need for the National government and the sub-nationals at the Niger Delta to collaborate and foster economic alignment so that no oil producing state, community, women or youth is left behind,” she said.
Edidiong Dickson, the Program Lead, Energy Extractives and Climate Justice in Policy Alert, queried the fate of Niger Delta states if their major source of revenue, which is oil, freezes.
Dickson said the states should be proactive to diversify their source of revenue.
He disclosed that from research conducted in the Niger Delta – with Akwa Ibom being the pilot state – the region can build a pathway to fiscal resilience on three tripod which includes effective debt management, controlled expenditure and sufficient hauling in of domestic revenues.
He urged the Niger Delta state governments to ensure that where borrowing is extremely necessary, it must be done in such a way that it favors the people, not the financial institutions and it must be used for a long term economic growth such as in health, education and infrastructure.
Dickson also called for increased expenditure in the social sector that would translate to human development in the region.
He regretted that life expectancy in the Niger Delta is 41 even as he added that environmental factors and low investment in the social sector contributed to that.
On his part, Iniobong usen of BudgIT foundation called for commitments from the Akwa Ibom State Government as the pioneer by adopting policies and practices that can serve as a model for other oil producing states.
“When the oil produced by Akwa Ibom State is no longer desired by the world or the oil does not flow as it used to, how will the state fund its’ projects, provide quality services in terms of health, education, critical infrastructural need to drive the economy of the state. How will the state ameliorate the impact of energy transitions on the people?.” He queried.
Share your story or advertise with us: Whatsapp: +2347068606071 Email: info@newspotng.com
