By Chuks Oyema-Aziken
The House of Representatives Committee on Renewable Energy has backed the proposed establishment of a dedicated climate finance bank, saying the initiative is necessary to address the major funding gaps slowing investment in Nigeria’s renewable energy and green economy.
Speaking at a press conference in Abuja, the Chairman of the committee, Afam Ogene, said the proposed Green and Climate Finance Bank would help mobilise capital and unlock Nigeria’s vast climate-smart investment opportunities estimated at $104 billion by 2030.
He cited projections by the International Finance Corporation, which show that Nigeria’s climate investment potential spans renewable energy, climate-smart agriculture, green buildings, sustainable transport, waste management and resilient infrastructure.
Ogene explained that despite the enormous opportunity, many climate-related projects struggle to take off because developers often lack access to structured, long-term and affordable financing.
According to him, conventional financing models used by commercial banks are not always suited to renewable energy and other green investments, which are often perceived as high-risk and require longer repayment timelines.
“Traditional financing structures have not been sufficient to mobilise capital at the level and speed required,” he said, noting that many renewable energy developers and green entrepreneurs frequently face difficulty securing funding for viable projects.
He said the proposed bank is designed to fill this gap by serving as a specialised financial institution focused on mobilising private capital, deploying innovative risk-sharing instruments and providing long-term financing tailored to climate-aligned investments.
The lawmaker added that the initiative aligns with the Federal Government’s broader policy direction of expanding renewable energy to strengthen national energy security and accelerate Nigeria’s transition to a more sustainable and resilient economy.
Also speaking, Samuel Ndubuisi-Brown, said promoters of the bank are already working to raise $100 million in founding capital to kick-start operations.
Ndubuisi-Brown, co-founder of Quantum Partners, said the initial capital would enable the promoters to secure regulatory approvals, establish digital and operational infrastructure, and commence project financing.
He added that the bank is expected to begin operations in 2026, while also supporting renewable energy deployment, strengthening green enterprises, creating jobs and improving Nigeria’s capacity to manage climate-related risks.
