Thursday, October 2, 2025

NECA-Oyo state alliance marks turning point for subnational sustainability in West Africa

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In a development that may signal a new phase of environmental governance and corporate accountability in West Africa, the Nigeria Employers’ Consultative Association (NECA) has announced a formal partnership with the Oyo State government to advance sustainable business practices across the state.

Speaking at a recent stakeholder engagement in Ibadan, NECA’s Director-General, Adewale-Smart Oyerinde, described the move as part of a broader strategy to institutionalize public–private dialogue as a vehicle for fostering regulatory stability and environmental sustainability. The forum, themed “Strengthening Public-Private Dialogue for Environmental Sustainability in Oyo State,” brought together government officials, private-sector representatives, and civil society to deliberate on the shared responsibility of maintaining a viable business environment without undermining ecological integrity.

Oyerinde emphasized the importance of mutual trust and open communication between the government and business community. “One of the strongest signs of meaningful collaboration is the government’s willingness to listen,” he stated, noting that the Oyo State Ministry of Environment and Natural Resources had demonstrated a proactive approach by engaging industry stakeholders early in the policy process.

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Temilolu Ashamu, the state’s Commissioner for Environment and Natural Resources, reiterated the ministry’s commitment to creating a transparent and enabling regulatory framework. He pledged continued technical assistance and policy engagement, while urging businesses to move beyond compliance and position themselves as champions of sustainability.

The dialogue also addressed the economic headwinds confronting manufacturers in the region. Representatives of the Manufacturers Association of Nigeria (MAN) raised concerns about mounting operational costs, volatile exchange rates, and limited access to affordable financing—all of which have pushed some firms to operate below capacity. Sunday Aboriomoh, speaking on behalf of MAN’s Southwest leadership, called for greater inclusion of manufacturers in environmental policymaking and asked the state to facilitate access to lower interest financing to ease business strain.

While the economic grievances are pressing, the broader significance of the NECA–Oyo collaboration lies in its implications for environmental, social, and governance (ESG) integration within sub-national governance structures. Across the continent, many national governments have committed to sustainability goals under frameworks such as the African Union’s Agenda 2063 and the United Nations Sustainable Development Goals (SDGs). Yet implementation at the state and municipal levels has often lagged, hindered by weak institutional capacity and fragmented stakeholder coordination.

What is emerging in Oyo is a potential template for more localized ESG governance, anchored in continuous dialogue and co-regulation. If sustained, this model could recalibrate the relationship between African governments and the private sector—one where policy is no longer imposed top-down, but shaped through participatory consultation.

Moreover, the engagement highlights the increasingly strategic role of sub-national governments in shaping Africa’s sustainability transition. As federal and national bodies negotiate climate finance deals and draft green economy blueprints, it is ultimately state-level agencies and local industries that will implement those plans. The Oyo case underscores the importance of aligning regulatory ambition with economic reality—a lesson that could resonate far beyond Nigeria’s borders.

Several African countries have expressed interest in decentralizing ESG-related policymaking, especially in sectors like agriculture, extractives, and urban development. However, successful models remain rare. This makes the NECA–Oyo partnership noteworthy not just for its intentions, but for its timing. As Africa faces rising investor scrutiny over sustainability risks, and as capital markets increasingly reward ESG-aligned practices, the continent’s subnational actors are being called to respond.

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The challenge remains substantial. Without institutionalized structures for dialogue, capacity-building, and monitoring, well-meaning initiatives often stall. But in Oyo State, the foundations of a viable governance mechanism are beginning to form: a government willing to listen, a private sector ready to engage, and a shared recognition that sustainability is not a fringe agenda, but a prerequisite for long-term economic resilience.

As Africa’s ESG movement evolves from compliance to impact, such collaborations may offer a roadmap for other states and provinces on the continent—particularly in regions where environmental degradation, informal industry growth, and economic uncertainty intersect. For now, the spotlight remains on Oyo, where dialogue is finally beginning to replace silence, and policy is being reshaped not just by technocrats, but by those on the ground who will live with its consequences.

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Carlton Oloo
Carlton Oloo
Carlton Oloo is a creative writer, sustainability advocate, and a developmentalist passionate about using storytelling to drive social and environmental change. With a background in theatre, film and development communication, he crafts narratives that spark climate action, amplify underserved voices, and build meaningful connections. At Africa Sustainability Matters, he merges creativity with purpose championing sustainability, development, and climate justice through powerful, people-centered storytelling.

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