As persistent power outages continue to haunt industrial zones, causing production shortfalls and raising cost, Nigerian manufacturers are increasingly generating power on their own, with annual self-generating capacity in the industry put at 13,223 megawatts, Business Dayreports.
The figure emerged from a survey undertaken by Adeola Adenikinju, professor of economics at the University of Ibadan, which was funded by the European Union and the government of Germany. The 2015 survey, which is the latest in the series, shows that the chemicals and pharmaceuticals sub-sector is the biggest self-generator of power (3,153MW) followed by the food, beverages and tobacco sub-sector (2,098MW) and the industrial plastics and rubber sub-sector (2,051MW). Manufacturers generate power through the use of generators, inverters, USPs and coal-fired plants, fueled by gas, low-pour fuel oil (LPFO) and coal.
Manufacturers have therefore signed an agreement with Tower Energy Solution & Systems Limited, for the supply of six to 10MW of electricity to Henry Carr Industrial Cluster in Ikeja, Lagos. They have also agreed with Negris Group for the supply of up to 80MW of electricity to Odogunyan in Ikorodu industrial cluster. They are also talking with solar power supply firms in northern Nigeria to enable clusters in Kaduna, Kano and other parts, to have incremental power at cheaper rates. Similarly, a negotiation is in the pipeline with Sahara Energy, Geogrid LighTec Limited and other companies, for the supply of power to industrial clusters.
Source: Energy Mix Report