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Nigerian Businesses spent N378 billion on private electricity generation

Features & Reports

The Manufacturers Association of Nigeria (MAN), has said that manufacturers spent at least N378 billion on private electricity generation to power their operations over the last 3 years as public grid power supply remains unreliable, The Nation reports.

Its President, Dr Frank Udemba Jacobs, said manufacturers of consumable and non-consumable products spend N126billion yearly to generate power, lamenting that the figure amounted to N378billion when multiplied by three years. He said the small, medium enterprises (SMEs) and multinational companies have, during the years under review, invested substantially in gas, coal and diesel to power their operations to remain in business.

He said foreign-owned companies operating in the country are beginning to see the sense in investing in thermal plants in order to generate electricity as against a situation where they would be relying on power from the national grid. On diesel, Jacobs said the decision by the Federal Government to crash the price of diesel by 43 per cent to N160 per litre from about N300 per litre, is laudable as diesel is the major alternative source of electricity in the sector.