Expert urges FG to grant tax break to businesses facing climate crisis

U.S.-based Nigerian researcher and doctorate candidate in Mechanical Engineering, Missouri University of Science and Technology, Peter Ofuje Obidi, has called on the Federal Government to offer tax breaks to businesses investing in renewable energy and sustainable practices to combat climate change.

Stressing that engineering can play a transformative role in addressing issues of climate change, Obidi, who is also an entrepreneur, in an interview with journalists, argued that tax breaks or grants would encourage more companies to join in the fight against climate change threats.

Nigeria is suffering from the devastating impacts of climate change, as evidenced by Tuesday’s catastrophic flooding in Maiduguri which has displaced thousands of residents.

The flooding caused by water from Alau Dam, which collapsed early Tuesday morning, submerged many areas in the town with thousands of displaced residents left scouting for safer places.

Obidi who was recently awarded three distinguished fellowships from the Nigerian Institution of Professional Engineers and Scientists (NIPES), the Institute of Management Consultants (IMC), and the MSME Institute of Management and Professional Studies (MIMPS), observed that Nigeria, like many developing nations, faces significant environmental challenges, including pollution, deforestation, and the impacts of climate change.

According to the expert whose work focuses on enhancing algal spystems for environmental applications like carbon sequestration and wastewater remediation, said one of the key areas where the Nigerian government can make a difference is in providing a supportive ecosystem for startups and innovation.

He said: “Engineering can play a transformative role in addressing these issues. For instance, adopting renewable energy technologies like solar and wind, which are abundant in Nigeria, could significantly reduce our reliance on fossil fuels.

“Additionally, innovations in waste management, such as the development of bioreactors to process waste and generate energy, could be a game changer for Nigeria’s urban centers, where waste is a persistent problem.

“By investing in sustainable infrastructure and encouraging local innovation, Nigeria can tackle both environmental degradation and create economic opportunities.

“This could involve offering incentives for green technologies and sustainable practices, such as tax breaks or grants for companies working in renewable energy, waste management, or other environmentally friendly sectors.

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“Additionally, creating hubs for engineering and technology innovation, similar to what we see in other parts of the world, would foster collaboration and bring together entrepreneurs, engineers, and investors.

“A strong focus on improving infrastructure, such as reliable electricity and internet access, would also enable more innovation in tech-driven fields. Lastly, promoting STEM education from an early age is crucial for developing the next generation of engineers and entrepreneurs who will drive Nigeria’s sustainable future.

Speaking on the fellowship recognition from the institutions, Obidi maintained that his achievement underscores the broader impact engineering can have on real-world challenges beyond just technical innovation, but in creating sustainable, economically viable solutions.

According to him, many aspiring entrepreneurs lack access to mentorship and resources to bring their ideas to life, disclosing that through his community initiative launched in Lagos in 2017, he has been able to support young entrepreneurs in developing sustainable business models and equip them with the tools they need to succeed.

The 31-years told young engineers and entrepreneurs to remain adaptable and curious, saying engineering teaches problem-solving skills but also shows that solutions evolve.