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Nigeria Needs $5Bn Yearly To Boost Power Supply – Expert

An industry expert and General Manager, Sub-Saharan Africa, Process Automation, Schneider Electric, Engr. Ajibola Akindele, has projected that Nigeria would require between $3 and $5 billion annual investments over the next 15 years to actualize Nigeria’s industrialization goals.

Akindele, in a statement, therefore, urged stakeholders in the nation’s power sector to upscale their investment in the sector as demand for industrial and domestic power supply continues to surge on daily basis.

Specifically, the industry expert said: “Based on general consensus by experts in the power sector, the country needs between $3 and $5 billion annual spending over the next 15 years to achieve industrialization.”

According to him, for Nigeria to realize the lofty goals of energy security for industrial and domestic needs, it has become imperative for the Federal Government to create the necessary framework to attract private sector investments into the sector and by implication, enjoy the socio-economic benefits.

He elaborated: “We have had several years of under-investment in the power sector. If you look back at the last 30 years, particularly between 1989, to 2007, there was no major investment in the power sector.

“The country was just spending enough to stabilize the grid infrastructure. The sector needs investments in order to accelerate GDP growth and create jobs.

“All available funding options must be explored and investors should be given the necessary incentives and where necessary guarantees to ensure they can make a decent return on their investments”, he added.

Noting that there has been some positive developments in the nation’s power sector in the past few years, Akindele maintained, however, “these are not enough and we need to move much faster to improve electrification rates and reliability of the grid.’’

Meanwhile, Schneider Electric, a leading company in the digital transformation of energy management and automation, had been ranked the world’s most sustainable corporation.

In a recent 2021 ranking list published by Corporate Knights, a media and research company with primary focus on corporate sustainability performance, 8,080 companies with more than US$1 billion in revenues were assessed and the performance indicators include, evaluations of how much renewable energy and waste companies generate, amongst others

Corporate Knights identified Schneider Electric’s steady shift towards products and services that helped customers manage their energy needs more efficiently and safely during the industry’s survey period.

In his remarks, the company’s CEO, Toby Heaps, said: “In recent decades, Schneider Electric has shifted its focus to data centres; storage and other distributed energy resources; and smart solutions that advance electrification, energy efficiency and renewability.

“It now earns 70% of its revenue from, and directs 73% of its investments toward, sustainable solutions, Schneider Electric also performs strongly in racial and gender diversity and in resource productivity and safety.”

The Chairman and CEO of Schneider Electric, Mr Jean-Pascal Tricoire, while commenting on the recognition, said the award reflected the company’s drive towards sustainability and making the world greener and more inclusive.

He enthused: “We are honoured and grateful to be ranked number one by Corporate Knights. It is a major encouragement for our teams and partners, and a great recognition of more than 15 years of engagement to make our company and the world greener and more inclusive.

“Sustainability is a journey that we accomplish with our people, partners, suppliers, customers and communities where we operate. This recognition goes also to all of them”, Tricoire added.

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