By Abbas Nazil
Nigeria is raising strong concerns over the global shipping industry’s proposed carbon levy, warning that the implementation of the International Maritime Organization’s (IMO) Net-Zero Framework must prioritize vulnerable countries and not disproportionately burden developing nations.
As the IMO prepares to finalize a landmark global emissions pricing mechanism—expected to raise about $10 billion annually starting in 2028—climate advocates and experts in Nigeria are calling for urgent safeguards to ensure a just and equitable transition.
At the heart of the concern is how the revenue from the levy will be distributed. Climate diplomacy group Opportunity Green warns that the funds could be misdirected back to major shipping companies that have already invested in low-emission fleets, rather than supporting nations on the frontlines of climate change.
In its new report, “A Just and Equitable Transition for Shipping,” the organization calls for the majority of the funds to go toward countries like Nigeria that are already grappling with rising food insecurity, flooding, desertification, and energy transition challenges.
Emma Fenton, Senior Director of Climate Diplomacy at Opportunity Green, emphasized the need for climate-vulnerable nations to benefit from the fund.
“There’s a real risk that the bulk of the money raised from shipping’s new global emissions reduction measure will be given back to the maritime sector as a reward mechanism,” they said.
“Nigeria is a clear example of where strategic finance—particularly conflict-sensitive funding—can create the enabling conditions needed for a just transition.”
The report identifies key revenue opportunities for Nigeria, including adaptation finance to address climate-induced displacement and conflict, investments in port infrastructure to improve logistics and climate resilience, and support for food systems to cushion the impact of rising shipping costs on import-reliant economies.
Nigerian youth climate advocate Olumide Idowu stressed that adaptation finance is critical.
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“Nigeria’s communities are suffering from floods, desertification, and rising food insecurity. We face significant barriers in transitioning to clean energy.
The IMO Net-Zero Fund presents a unique opportunity to support conflict-sensitive adaptation and unlock our solar potential.”
Experts point to Nigeria’s energy dependence on gas—72 percent of the national energy mix—and its vulnerable port infrastructure as reasons for urgent investment in renewable energy and green logistics.
Prof. Daniel Musa Gwary of the University of Maiduguri warned that the carbon levy could raise food and shipping costs, worsening poverty and threatening livelihoods.
“If the transition to green shipping is to be truly just, it must reflect the realities of developing nations by ensuring fair revenue redistribution, capacity support, and inclusive climate action.”
Dr. Michael David of the Global Initiative for Food Security and Ecosystem Preservation (GIFSEP) urged Nigeria to act swiftly.
“Let us immediately develop local regulations that mirror the IMO’s standards, positioning us to attract green shipping investments.
We need these revenues like yesterday to accelerate Nigeria’s shift toward a low-carbon economy.”
Nigeria has already demonstrated regional leadership by hosting the African Strategic Summit on Shipping Decarbonization in Abuja and advocating for concessional financing mechanisms within the IMO’s Net-Zero Fund.
As October’s decisive IMO meeting approaches, Nigeria and other African states are pushing for reforms that honor the principle of “common but differentiated responsibilities” under the Paris Agreement.
According to Prof. Gwary, “The richer nations must listen to the voice of the developing economies.”
The outcome of these negotiations may determine whether the shipping sector’s decarbonization becomes a beacon of global climate justice—or yet another missed opportunity.
