The Federal Government is expected to generate up to $5bn yearly from carbon credit revenues linked to the 80 Million Clean Cookstoves Project, a major climate and energy initiative being executed by Greenplinth Africa Limited.
The projection was revealed by the company’s Group Chief Financial Officer, Babatunde Aina, during a media chat and stakeholders’ engagement in Lagos, according to The Punch.
Aina said the project — billed as the world’s largest single clean cooking initiative, is designed to tap into Nigeria’s largely untapped opportunities in the global compliance carbon market, where carbon credits currently sell for about $104 per metric tonne.
Aina noted that even at a conservative discounted compliance rate, the project is capable of delivering steady foreign exchange inflows, boosting government revenue, and positioning Nigeria as a key player in global climate finance.
He said, “When fully deployed, the 80 Million Clean Cookstoves Project is programmed to enable the Federal Government of Nigeria to earn up to $5bn annually from verified carbon credit revenues.
Beyond the federal level, states, local governments, host communities, and participating households will also benefit through transparent carbon-revenue-sharing mechanisms.”
Aina added that the initiative directly supports Nigeria’s Nationally Determined Contributions under the Paris Agreement, while also tackling deforestation, public health concerns, and household energy poverty.
He also noted that the project entails the free distribution of digitally metered clean cookstoves fueled by non-charcoal biomass briquettes produced from agricultural and industrial waste.
“The metering system tracks real-time cooking activity and carbon emissions avoided, ensuring that generated carbon credits meet international verification standards,” he said.
Aina added that, unlike past interventions, the project is fully funded through carbon markets rather than government budget allocations, ensuring long-term fiscal sustainability.
“The global carbon market is valued at about $7.6tn annually, yet Africa receives less than two per cent of this value. This project decisively changes that equation for Nigeria,” he stated.
The Vice President and Group Managing Director of Greenplinth Africa, Victor Fodeke, described carbon as a powerful new global currency, highlighting how regulated carbon markets can create substantial economic value.
He explained the distinction between voluntary and compliance carbon markets, noting the strong financial gains from cutting high-impact greenhouse gases such as methane and sulphur hexafluoride. Fodeke said Greenplinth’s Banda Cookstove project alone could deliver as much as $5bn a year to Nigeria, helping to reduce dependence on foreign borrowing.
He also stressed the importance of responsible tree planting, the circular use of waste, nationwide clean-energy infrastructure, job creation, and skills development, reaffirming Greenplinth’s commitment to sustainable development and Nigeria’s economic transformation.
