Appel à propositions pour l’économie circulaire, capital naturel et croissance verte, Nigéria

Nigeria Country Department

AFRICAN DEVELOPMENT BANK Plot 1521 Cadastral Zone A0, Off Memorial Close Central Business District, Abuja, Nigeria

FIRM CONSULTANT- NIGERIA CIRCULAR ECONOMY, NATURAL CAPITAL, AND GREEN GROWTH: AGENDA SETTING, CHALLENGES AND OPPORTUNITIES FOR DONOR AND BANK’S SUPPORT AND PPP INVESTMENTS

Request for Expression of Interest (REOI)

1. Background and Context :

The African Development Bank’s interventions in Nigeria are guided by a five-year country strategy, articulated to support government’s efforts in addressing development needs. The Bank’s Nigeria Country Strategy Paper (2020 – 2024) is focused on promoting structural transformation and inclusive and green growth. The strategy is anchored on two mutually reinforcing Priority Areas: (1) Supporting Infrastructure Development; and (2) Promoting Social Inclusion through Agribusiness and Skills Development. These Priority areas coupled with the enormous waste management challenges currently being faced by Nigeria provides an opportunity for the Bank to support resource-efficient, climate-resilient, and low carbon development to clearly show the contribution of green economy to GDP and the SDGs.

Successful implementation of the priority areas and the High 5s in a green growth trajectory more generally under the country strategy, depends upon the application of circular economy principles, natural capital approaches, low-carbon development pathways, and other sustainability principles to engender the triple bottom line of economy, social and environmental factors in resource mobilization, project development, managing investment risks, project implementation, creating new business partnerships, business models, providing green jobs and indirectly unblocking new sources of revenue for the government. In this regard, the Nigeria Country Department (RDNG) in conjunction with the Climate Change and Green Growth Department (PECG) and African Natural Resources Centre (ANRC) has identified the need to undertake a study on “Nigeria Circular Economy, Natural Capital and Green Growth: Agenda Setting, Challenges and Opportunities for Donor and Bank’s Support and Public-Private Partnership (PPP) Investments.”

As policymakers, businesses, non-state actors and the academia increased their attention on the Natural Capital Accounting and Assessment (NCAA) and Circular Economy (CE) paradigm to decouple economic development from negative environmental consequences, and push toward sustainability, the African Development Bank’s natural capital and circular economy initiatives are converging in implementation. The African Circular Economy Alliance (ACEA) has birthed the Nigeria Circular Economy Working Group (NCEWG), a voluntary think tank of members representing key stakeholder groups, that is a nationally driven, locally led platform that support a robust climate change, natural capital, and circular economy agenda for Nigeria through the design of a Nigeria Circular Economy Program (NCEP 2022-2030)

The Government of Nigeria already has indicated that waste, alongside water, will be new sectors for the revision of the NDC, signaling the country’s intention to raise its ambition to apply circular economy strategies to reduce current GHG emissions gap. Therefore, the Bank is evaluating and assessing the possible impacts of circular economy and potential contribution to meeting the NDC targets and increasing ambition in the context of national climate actions. Therefore, the study will build on existing work, to serve as baseline document to propose a COVID 19 recovery strategy to help diversify the Nigerian economy to include green growth pathways. It will support the Nigeria Circular Economy Working Group’s (NCEWG) Theory of Change that is hinged on production and consumption systems that promote efficiency in the use and re-use of materials, water, and energy considering the resilience of ecosystems, climate change, natural capital, and the circular use of material flows. The study will promote a shared understanding of circularity and natural capital objectives, principles and requirements amongst Bank Task Managers, Green Growth focal points in Ministries Departments Agencies in Nigeria, Private sector, and Financial Intermediaries. Given that the Bank is already supporting the Government of Nigeria through the Africa Circular Economy Alliance and NCEWG, this study will contribute to baseline information for a more detailed policy support on circular economy in Nigeria.

2. Objectives of the Study :

The overarching objective of the study is to develop science-based evidence on current and future challenges, opportunities, and impacts of climate-compatible actions that are based on natural capital and circular economy, using an identified green growth index and natural capital monitoring/tracking tools to inform a draft national circular economy road map for Nigeria in the short, medium, and long term.

The study will establish baselines, take stock of all existing circular economy activities in the country, assess gaps, and recommend good business models and workable scenarios that can be used to prioritize key sectors of intervention, attract circular Public-Private-Partnership investments to build the wealth and prosperity of Nigeria for a greener future. The studies are expected to provide some analysis for enhanced policy dialogue, advisory services and circular economy road map that could potentially underpin Bank’s pipeline development and impact assessments in the coming years.

The studies could be based on circular economy potential, natural capital use optimization, economic significance, transformative impact potential, ability to attract green finance, and momentum to accelerate to transformative development of Nigeria.

The specific objectives are to :

• Map all circular economy, natural capital and green growth activities going on or being planned in Nigeria. This is inclusive of regulatory environment with a view to recommending reforms where necessary ;
• Carry out a waste and resource efficiency analysis in the formal and informal sectors, applying the concept of waste hierarchy, for the economically most important sectors in Nigeria & the environmentally most polluting sectors (including waste quantities, locations, economic potential etc) ;
• Identify PPP circular economy models and priority sectors that can facilitate commodity trade, amongst other considerations in Nigeria ;
• Identify entry points for the mainstreaming of natural capital accounting and assessment (NCAA) into development finance and credit ratings in Nigeria, and how it enables circularity across identified priority sectors ;
• Design circular economic sustainability frameworks to drive green growth across blue and bio-economies, as well as identified consumption products, services, and value chains under the priority sectors. This could include plastics, paper, electronic waste, end-of-life vehicles, mercury-added products, healthcare waste, PCBs, and biomass ;
• Provide information on models and sectors to prioritize in Nigeria, and identify gaps required by investors and the private sector to develop circular economy and nature-based projects with climate co-benefits ;
• Assess the capacity of the private sector, including SMEs, in integrating natural capital and circular economy measures into identified business models with a view to translating gaps into bankable and viable projects and transactions based on PPP business models to enhance credit ratings and development finance ;
• Identify entry points and how to enhance the government’s national development plans with climate change, natural capital and circular economy opportunities ;
• Enhance the capacity of national institutions to implement natural capital accounting and assessment and circular economy measures to support transitioning of Nigeria to a green economy ;
• Support the alignment of natural capital assessments and circular economy within the Bank’s public and private sector operations ;
• Propose actions that the Nigerian Government need to take to build back better and greener post-COVID 19 using the Nigeria NDC as basis for green growth analysis ;
• Provide information and strategies to facilitate the development, adoption and deployment of circular economy finance, technologies, projects, and natural capital assessment tools, that can be made and used in Nigeria, using an agreed cost-benefit analysis or SWOT assessment criteria.

3. Structure of the Study :

Under the overall guidance of the Senior Director, RDNG and the immediate supervision of the Lead Economist, RDNG, and the Climate Change & Green Growth Expert, PECG/RDNG, the consultant will conduct rigorous analysis of the subject area, bringing to the fore the natural capital and circular economy opportunities and challenges to public private sector participation in nature-based, social and infrastructure financing and propose innovative approaches to exploiting the opportunities and addressing the challenges to feed into the design of Nigeria Circular Economy Program (NCEP), development of a Nigeria Circular Economy Road Map (NCERM) and a National Natural Capital Strategy (NNCS).

The study will be implemented as one lot in one comprehensive report. The study is an Economic Sector Work (ESW) of the Bank that will analyze the private sector and government’s nature-based, social, industrialization and technological policies, plans and baseline projects applicable with natural capital and circular economy thinking. The study will align with the Sustainable Development Goals, the Paris climate agreement, will consider building back better greener and resilient economy as a post COVID-19 recovery strategy and integrate these into Nigeria’s Long Term Development Plan (Nigeria Agenda 2050) and Africa Agenda 2063. The study will be in three parts:

The study will be in three parts :

Main Tasks/Activities :

Component 1: Preparation of a Scoping study on Circular Economy & Green Growth :

Prepare a scoping report on Nigeria Circular Economy, Natural Capital and Green Growth (agenda setting, ongoing initiatives, challenges and opportunities for Bank support and Public Private Partnership investments.) Natural capital and circular economy stakeholders working nationally and regionally will be identified and a matrix of their activities, scope, investment, and location mapped to obtain baseline data, ease investment planning and resourcing. In consultation with relevant stakeholders, especially the Nigeria Circular Economy Working Group and strategic partners, the Consultant will gather information to develop content for some papers (knowledge products,) focusing on opportunities to boost public-private partnerships for nature-based, social and infrastructure policy and project financing in Nigeria, using the circular economy and natural capital approach. The Consulting firm will conduct desk review of existing related material to identify climate resilient, nature-based, social and infrastructure financing gaps in Nigeria, and constraints to public-private sector participation and propose recommendations to addressing these constraints using natural capital accounting and assessment and circular economy approaches.

The study will also assess the role of Natural Capital Accounting and Assessment (NCAA) as key components of circular economy. The integration of principles and data derived from the System of Environmental-Economic Accounting (SEEA), and Ecosystem Accounts, to finance projects, as well as approaches to leverage other means of private sector financing, should be explored to enable circularity in the green, blue and bio economy of Nigeria. Therefore, the study should link public, research, private sector participation in financing infrastructure development with the country’s quest for adapting to climate change and pursuing inclusive green growth through private sector led investments. The study should show how NCAA could measure the level of circularity in a Nigerian inclusive growth pathway. A review of the Bank’s circular economy initiatives under the purview of the Africa Circular Economy Alliance (ACEA), as well as other relevant materials where circular economy challenges and opportunities have been identified will highlight the need for such synergy. The consultant will therefore hold consultations with the relevant stakeholders both in the public, private, and international sectors to understand the gaps, linkages, and co-financing opportunities for application of circular economy principles in the nature-based, social, and infrastructural landscape of Nigeria.

Component 2: Design of an MRV Framework for measuring, assessing, reporting, and verifying circular economy and natural capital within the Nigerian context to build back better, greener, and resilient economy post-COVID-19.

Under component 2, the Consultant will use existing MRV systems to design an MRV Framework for measuring, assessing, reporting, and verifying natural capital and circular economy within the Nigerian context to build back better resilient economy post COVID-19. Key information (using big/open data) will be collected, and metrics designed including key indicators to promote a shared understanding of circularity, natural capital mainstreaming objectives, principles and requirements amongst key stakeholders involved in the implementation of strategic pillars of Bank’s CSP 2020-2024 for Nigeria.

Component 3: Design of a Nigeria Circular Economy Program (2022 – 2030).

Component 3 is basically a program design phase. Components 1 and 2 will provide baseline information, key data, and metrics to design a Nigeria Circular Economy Program (NCEP) that should deliver a Nigeria Circular Economy Road Map (NCERM); a National Policy on Circular Economy (NPCE); a National Circular Economy Investment Plan (NCEIP); a Circular Economy Legislative Plan (CELP) and a Nigeria Natural Capital Strategy (NNCS). The NCEIP framework should include a Circular Economy Business Plan (CEBP) that will promote Circular Economy Finance, Projects, Technologies, and Natural Capital Assessment Tools (CEPs, CEF, CET and NCAT).

4. Eligibility :

This expression of interest is targeted at Research Groups currently working at a designated Research center/institution, university, NGO, national or regional climate and technology center. The firm should possess specialization in green investments, private sector development, natural capital or circular economy policy, technology development and transfer in African countries.

Experience working as a gender-inclusive multi-disciplinary team (inclusive of research and private sector in Nigeria) are key advantages.

Required Expertise and Qualification :

The team of Consultants to be used by the Consulting firm shall have the following qualification, expertise, experience, and competencies :

1. Team Leader – At least a PhD degree in Environmental Resource Management, Environmental Economics, Geography, Development Economics, Natural Sciences or Development Finance, with strong micro and macro-economic skills, and demonstrable cutting-edge technical competencies in climate change, circular economy or natural capital accounting and assessment ;
2. Team Members – MSc or BSc. degrees in Environmental Resource Management, Environmental Economics, Geography, Development Economics, Natural Sciences or Development Finance, with strong micro and macro-economic skills, and demonstrable cutting-edge technical competencies in circular economy or natural capital accounting and assessment ;
3. Experience working with international organizations and bilateral or multilateral donor agencies ;
4. Experience working in a research institution based in Nigeria ;
5. Evidence of successful completion of similar assignment(s) is preferred ;
6. Knowledge of and/or experience in project financing is desirable ;
7. Knowledge and understanding of international and country-level implementation of aid effectiveness agenda ;
8. Experience working in a Nigerian Research Institution is a key advantage ;
9. English and French are the official languages of the Bank. For this assignment, excellent written and verbal communication skills in English is a must.

Evaluation Criteria :

The points given to the evaluation criteria are :

• Consultant’s experience relevant to the Assignment ;
• Understanding of the Terms of Reference and Methodology ;
• Qualifications of Key Personnel ;
• Experience with the Bank and International Donors.

The points given to the evaluation of sub-criteria for qualifications of key experts are :

• General Qualifications and adequacy for the assignment to be undertaken ;
• Similar experience in the area of expertise of the assignment described in the Terms of Reference ;
• Experience with international donors ;
• Language proficiency ;
• Knowledge of the Region (environment of the Assignment).

5. Duration of the assignment :

The Consultant shall carry out the assignment for a period of six (6) consecutive months from April 1, 2021 to September 30, 2021. The assignment shall include desk reviews, consultations and report writing. Due to the COVID-19 pandemic, the consultant may be required to work both virtually and in-person.

6. Remuneration for the assignment :

The remuneration for this assignment will be in line with successful candidate firm’s qualifications and years of experience.

7. Submission of the EOI :

The selection process is divided in two phases :

• Submission of the Expression of Interest containing an outline of the project proposal. (use form in annex 1) ;
• Submission of the full proposal by the shortlisted Firm Consultant.

Please, note that interest expressed by a firm does not imply any obligation on the part of the Bank to include it in the shortlist.

Interested parties may obtain further information at the below e-mail addresses. Expressions of interest must be received by e-mail by 5pm (WAT) on 22 March 2021, with the subject line “Nigeria Circular Economy, Natural Capital and Green Growth – Call for proposals”.

[email protected] with copy to Mrs. Akabike Chinwe ([email protected]), Mr Bernard Okpe ([email protected]) and Mr. Innocent Onah at [email protected]

All submitting parties will receive a confirmation email. If you do not receive a confirmation email, your EOI might not have been received and you are invited to contact the following telephone number: +234 9 700 2051

About the Nigeria Circular Economy Working Group (NCEWG)

The African Development Bank is hosting a voluntary group of multi-sectoral professionals from government, international organizations, private sector, academia, and non-state actors coming together to support a robust climate change, natural capital, circular economy, and green growth agenda for Nigeria. The NCEWG is operating as a nationally driven, locally led initiative that will advise the country’s position in continental and global fora and support the strategic and coordinated implementation of other green economy-related partnerships in the country’s policy and project pipeline.

The goal of NCEWG is to support inclusive green growth of the Nigerian economy through approaches that increases climate resilience, natural capital accounting and circularity. NCEWG has defined the concept of CE as production and consumption systems that promote efficiency in the use of materials, water, and energy, considering the resilience of ecosystems, climate change, natural capital, and the circular use of material flows. Strategic Partners include the Government of Nigeria, Africa Circular Economy Alliance (ACEA), World Bank, Islamic Development Bank, UNDP, Dutch Consulate in Lagos, World Economic Forum (WEF), Green Growth Knowledge Platform (GGKP), Circular Economy Innovation Partnership (CEIP), and thirty other partners.

About the AfDB-GGKP Programme :

The African Development Bank (AfDB) and Green Growth Knowledge Partnership (GGKP) have joined together to launch the Natural Capital for African Development Finance (NC4ADF) Programme. The Programme aims to mainstream natural capital in African development finance policies and programmes, taking an applied, co-creative approach in four pillars :

1. Mainstream natural capital in African infrastructure finance ;
2. Develop a business case for natural capital in development finance institutions ;
3. Integrate natural capital in African sovereign credit ratings ;
4. Build capacity for natural capital accounting and assessment in Africa.

The goal will be achieved through co-created knowledge generation, convening regional stakeholders, institutional and political advocacy, capacity-building, and global communications. The Programme is being jointly delivered by AfDB, GGKP, GIZ, UNEP and WWF in collaboration with a range of partners.

About the Netherlands Enterprise Agency (Dutch RVO) :

The Netherlands Enterprise Agency supports entrepreneurs, NGOs, knowledge institutes and organizations. We aim to facilitate entrepreneurship, improve collaborations, strengthen positions, and help realize national and international ambitions with funding, networking, know-how and compliance with laws and regulations. We are a government agency which operates under the auspices of the Ministry of Economic Affairs and Climate Policy. Its activities are commissioned by the various Dutch ministries and the European Union.

This study is generously supported by the following organizations :

1.2     Name of the leading institution and DACON registration Number

1.3  Other Institutions in the Consortium (if any)

1.4     Type of Institution (private firm, government agency, university, research center etc.)

1.5     Focal Point Contact

1.6     Lot 1 or 2