Harnessing the Power of the Carbon Market: Private sector leaders chart the path for sustainable development in Africa

The Private Sector ESG Forum, a leading platform designed to champion sustainable business practices across Africa, concluded its 2024 edition with a resounding call to action for the private sector to leverage the carbon market as a catalyst for investment to propel a greener, more inclusive future for Africa.

The 2024 ESG Forum, held with the theme "The Carbon Market: Driving Investment for a Sustainable Africa," took place on Wednesday, November 6, 2024, at the Civic Centre, Lagos. This year's forum brought together prominent business leaders, policymakers, and sustainability experts to explore how the carbon market can unlock transformative opportunities for the continent.

Yarub Al-Bahrani, Managing Director of BAT West & Central Africa, set the tone for the day's discussions in his welcome address, emphasizing the private sector's crucial role in addressing the climate crisis and driving sustainable development.

"Africa stands at the crossroads of unprecedented opportunity and pressing environmental challenges. As the world transitions to a low-carbon economy, the carbon market offers Africa a unique chance to lead in climate action while attracting much-needed investment for sustainable growth. By leveraging the carbon market, we can generate economic opportunities that uplift communities, advance clean technologies, and build more sustainable industries," said Al-Bahrani.

Dr. Oreoluwa Finnih, Special Adviser to the Lagos State Government on Sustainable Development Goals (SDG), who represented the Lagos State Governor, His Excellency Babajide Sanwo-Olu, shared Lagos State's commitment to sustainability and good governance practices.

"Lagos State recognizes the importance of ESG principles in driving a green and resilient economy. The state has taken several steps to advance ESG priorities, including pioneering waste-to-energy projects that convert solid and liquid waste into renewable energy sources, and establishing the Lagos carbon registry," said Dr. Finnih.

She also highlighted the state's commitment to leading by example in transparency through its public-private partnerships in areas like infrastructure, healthcare, and waste management, which aim to reduce bureaucratic delays and improve citizen access to services.

During his keynote address, Paul Muthaura, CEO of Africa Carbon Market Initiatives, expressed the need for collaborative actions to drive sustainable development. He said, "The carbon market stands as an opportunity for African businesses. It is a tool that enables us to harness our rich natural resources while driving investments that empower communities and protect our environment. Together, we can transform the challenges of climate change into pathways for economic growth, ensuring that Africa leads the world in creating a sustainable future."

The forum featured a series of insightful panel discussions that delved into the multifaceted impact of climate change on African businesses, the financial challenges and solutions for decarbonization projects, and the intricacies of the carbon market and carbon credits.

The speakers shared valuable insights on how companies can navigate the risks and seize the opportunities presented by climate change, as well as the innovative financing mechanisms and business models that can make decarbonization more viable and attractive to investors.

Key speakers at the event included: Dr. Innocent Bariate Barikor, Director General/CEO of the National Environmental Standards and Regulations Enforcement Agency (NESERA); Segun Ajayi-Kabir, Director General of the Manufacturers Association of Nigeria (MAN); Mr. Paul Muthaura, CEO of Africa Carbon Markets Initiative, Kenya; Titilayo Oshodi, Special Adviser to the Lagos State Government on Climate Change; Ademola Ogunbanjo, President/CEO of Oando Clean Energy; Ejiro Gray, Director of Governance & Sustainability at Sahara Group; Jocelyne Landry Tsonang, Project Manager Africa at Green Bond Corporation, Cameroon; Afolabi Akinrogunde, Senior Deal Lead/Business Opportunity Manager at Shell Energy Nigeria; Habiba Suleiman, Head of Strategic Partnerships at TGI Group, amongst many others.

Part of the highlight of the event was the announcement of the Young Professional Mentorship Programme, aimed at gathering young sustainability enthusiasts to expand awareness and build capacity on ESG.

"This programme is a transformative step towards empowering the next generation of young sustainability leaders. By fostering a community of passionate young professionals, we are not only expanding awareness around ESG but also building the capacity needed to drive meaningful change across Africa. Collaboratively, we can cultivate innovative solutions that will shape a sustainable future for our continent," said Odiri Erewa-Meggison, Director of External Affairs at BAT WCA and Chairman of the ESG Forum Technical Committee.

The forum also emphasized the responsibility of the private sector, policymakers, and the broader stakeholder community to integrate sustainable practices into their operations and strategies. At the close of the event, participants collectively pledged to be more responsible in their ESG practices, aiming to unite stakeholders in the race for accountability in driving sustainable progress and addressing pressing environmental and social challenges.