The Manufacturers Association of Nigeria says the signing of the Electricity Act 2023, if well implemented, can be a major game-changer for the manufacturing sector with favourable implications.
Director General of MAN, Mr Segun Ajayi-Kadir, said this in a report signed by the Executive Officer, Corporate Service Division, MAN, Ms Chisom Oguezuonu, on Thursday in Lagos.
Ajayi-Kadir noted that over the past decades, the Nigerian power sector had encountered various turbulence in its electricity value chain.
He attributed this to poor policy enforcement, over-regulation, instability of gas supply and bottlenecks in its transmission network.
He said that these problems culminated in erratic electricity supply, frequent power outages and persistent collapses of the national grid, thereby stunting the growth of the economy.
He noted that Nigeria’s inadequate electricity supply was a hindrance to the profitability of manufacturers with an annual economic loss valued at about N10.1 trillion or two per cent share of the country’s Gross Domestic Product.
According to him, the total amount spent by manufacturers on alternative energy surged from N77.21 billion in 2021 to N144.47 billion in 2022.
