Nigeria is entering a period of profound demographic and economic change. With a population of about 237.5 million people and rapid urbanisation, the country faces increasing pressure on land, resources and public services.
Today, about 40% of the population does not have access to electricity, while per capita electricity consumption remains extremely low at about 150 kWh per year, one of the lowest levels in Africa.
These pressures coincide with the need to create jobs, expand industrial capacity and improve the resilience of institutions that underpin long-term development.
As a result, questions of environmental responsibility, social progress and transparent governance are moving to the centre of national planning.
ESG principles are becoming relevant because they offer Nigeria a structured way to address challenges that are already shaping the country’s future.
Nigeria has already commenced a gradual formalisation of ESG standards across key sectors of the economy.
In 2024 the Financial Reporting Council approved a roadmap for adopting the ISSB S1 and S2 sustainability standards, which require companies to disclose climate risks, governance structures and social impacts. The Securities and Exchange Commission and the Nigerian Exchange have also introduced sustainability reporting guidelines for listed firms.
These initiatives aim to improve transparency, strengthen regulatory capacity and align Nigeria’s investment environment with international expectations. ESG, in this context, is becoming a practical tool for building the institutional foundations needed to support long-term development.
Energy is a central component of this effort because it influences almost every dimension of ESG. Reliable power is essential for social development, industrial growth and the functioning of public services. At the same time, reducing dependence on diesel-based systems can lower pollution and improve health outcomes.
Nigeria’s Energy Transition Plan prioritises the expansion of solar and other renewable sources, but also recognises the need for technologies that can provide stable output and support industrialisation. For ESG to have practical impact, the country requires an energy mix that strengthens institutions, reduces environmental pressures and supports a growing population.
Nuclear energy enters the ESG discussion at this point as one of the technologies capable of supporting long-term sustainability. Environmentally, nuclear power offers large-scale electricity generation with no direct greenhouse gas emissions during operation.
Socially, it creates high-value employment and supports the development of scientific and technical expertise. From a governance perspective, nuclear projects operate under rigorous international standards and require strong regulatory institutions, transparent oversight and well-defined responsibilities. These characteristics align nuclear energy with all three dimensions of ESG.
International experience shows how nuclear technologies contribute to wider development goals. China incorporates nuclear power into its low-carbon strategy and reports significant avoided emissions through its reactor fleet.
For instance, CGN Power stated that the amount of environmentally friendly electricity they generated in 2023 helped reduce the burning of conventional fuel equivalent to more than 100 million tonnes of standard coal and reduce carbon dioxide emissions by approximately 260 million tonnes.
Beyond electricity generation, nuclear technologies support a wide range of non-energy applications that align with the social and institutional dimensions of ESG. South Africa’s SAFARI-1 reactor has been in operation for 60 years, producing medical radioisotopes, supporting diagnostic and therapeutic procedures for millions of patients.
In 2018 South Africa’s Nuclear Energy Corporation (NECSA) and Russia’s Rosatom Health Technologies signed an agreement to expand cooperation in non-energy nuclear applications, including the production of medical isotopes and the development of healthcare technologies. SAFARI-1 has also enabled progress in agriculture, materials science and public health, illustrating the broad scope of peaceful nuclear applications.
Nigeria has already laid important foundations for its own peaceful nuclear programme. The research reactor NIRR-1, commissioned in 2004, supports training and scientific research.
Nigeria has identified two potential sites for its first nuclear power plant and expressed interest in small modular reactors during the IAEA Ministerial Conference in 2022.
The country works with several international partners on research, education and capacity building. In 2023 the Nigerian Atomic Energy Commission signed a memorandum with Russia’s Tomsk Polytechnic University on nuclear education and skills development.
These steps form the early institutional and educational base that any long-term nuclear programme requires and link directly to the governance and capacity-building pillars of ESG.
Nigeria’s ESG transition will require progress across environmental, social and governance dimensions. Nuclear energy has the potential to contribute to these goals when integrated into a broader strategy that includes renewables, grid improvements and institutional reform.
For a country facing rapid demographic expansion and long-term development pressures, nuclear represents a technology that can support resilience, economic growth and the practical demands of sustainable planning.
