The cost of carbon–dioxide abatement in Nigeria's energy sector

Abstract

The cost of carbon dioxide abatement in Nigeria's energy sector has been estimated using MARKAL, a large–scale linear optimisation model, for the period between 1990 and the year 2030. The baseline scenario is based on the concept of the most–likely development–path in the energy system. An integrated abatement scenario is then developed by augmenting the baseline scenario with a set of abatement options: demand–side options, supply–side options, options for increased use of renewable resources, and options for increased use of the associated natural gas that is currently being flared in Nigerian oil fields. The options are assessed and ranked on the basis of their incremental costs per ton of carbon dioxide reduced. Finally, results of a sensitivity study of the model based on perturbations in energy demand growth assumptions are discussed.