Businesses dying in Nigeria over power failure ­– Adesina, AfDB president

The President of African Development Bank Group, Mr Akinwumi Adesina, said that the major challenge facing Nigeria’s manufacturing industries was the high cost and unreliability of electricity supply.

The AfDB boss said that load shedding and the inconsistent availability of electricity had resulted in high and uncompetitive manufacturing costs.

According to him, most Nigerian manufacturing companies are providing their own energy with a high dependence on generators, diesel and heavy fuel oil.

“It has been estimated by the IMF that Nigeria loses about $29bn annually, that is, 5.8 per cent of its GDP, due to a lack of reliable power supply.

“The report also indicates that Nigerians spend $14bn yearly on generators and fuel.

“There is no other way to say it, lack of electricity is killing Nigerian industries,” he said.

He quoted the Manufacturers Association of Nigeria as saying that industries spent N93.1bn on alternative energy in 2018.

“Today, no business can survive in Nigeria without generators.

“Nigeria had gas and crude oil in abundance, which can be vital means of generating electricity, yet, 86 million people live daily without electricity.

“Today, Nigeria is the number one country in the world in terms of the total number of people without electricity,” he said.

Adesina said that it was a situation that called for government’s attention so as to boost the country’s economy.

He said that looking at achieving a “global Nigeria”, the country must achieve universal access to electricity.

Highlighting AfDB‘s contributions, Adesina said that the bank had invested massively in the power sector to support the implementation of Nigeria’s Power Sector Recovery Programme by providing $200m dollars for the Nigeria Electrification Project.

Reflecting on Nigeria’s 64th journey after independence, the AfDB boss said being the largest black nation on earth, Nigeria should carry the hopes and aspirations of all black people in the world yearning to become a beacon in the world.

He said, “Certainly, 64 years after independence, Nigeria should not be a developing country but should be a developed nation.

“As President of the African Development Bank, when I travel around Africa, one issue that often marks conversations is, when will Nigeria develop?

”I have listened to several leaders tell me that the rise of Africa depends on the rise of Nigeria,” he said.

He cited the instance of Saudi Arabia that set the pace of development within the Gulf region, leading the development of the United Arab Emirates, Qatar and Kuwait, which had risen to become global giants.

He said that Nigeria needed to develop faster for Africa to develop, adding that Nigeria could not remain a disappointment to the African continent as history was beckoning on the country.