BY FESTUS OKOROMADU
The Manufacturers Association of Nigeria has claimed that its members lose about N10.1 trillion annually due to lack of stable electricity supply.
According to MAN, the figure accounts for two percent of the country’s GDP.
The association, however, has commended President Bola Tinubu for signing into law the new electricity act, stressing that it will be a game changer if well implemented.
MAN disclosed that shortage in power supply in Nigeria has positioned it among the least desired places to do business with a ranking of 171 out of 190 globally.
According to MAN, the current power supply across the country is inadequate to satisfy the energy requirements of the manufacturing sector and the entire population.
“As an advocacy association, MAN has always pushed for the need to charge a cost-reflective electricity tariff to avoid extortion of our members. Fortunately, it is of great delight that this new Act fits like a glove as it will help actualise a cost–reflective tariff considering the healthy price competition it will bring between the states and private investors,” it said in a statement.
MAN frowned at the country’s epileptic power supply, alleging that it is one of the reasons for the relocation of some of its members.
The association is optimistic that provided the new Act adequately addresses the challenges in the power sector, it will encourage the inflow of manufacturing FDI, boost the performance of the sector and increase the sectoral contribution to the economy.
