₦airaland Forum

The President of the Dangote Group, Alhaji Aliko Dangote, has hinged Nigeria’s industrialisation challenges on unstable electricity.

Dangote said running a business abroad is 30 per cent cheaper than running the same business in Nigeria and other African countries due to stable electricity supply in developed countries.

Africa’s richest man stated this recently while hosting the Zambian Minister of Energy, Makozo Chikote, at the Dangote refinery in Lekki, Lagos State.

He said the group’s most profitable cement factory is the one in Ethiopia because of its stable power supply.

According to him, he had carried out research before going into industrialisation to ascertain why others who attempted it failed in the past, including his grandfather.

He disclosed finding out that one of the challenges is a lack of electricity.

He explained, “If there’s no power, there won’t be growth. For example, anything I’m going to do abroad will cost me maybe 30 per cent cheaper than here, because abroad is plug-and-play. You just go, no infrastructure construction. You just build a factory, and you connect to the network; that’s all.

“That’s why, if you look at it today, I tell you that our most profitable cement factory is in Ethiopia because there’s no investment in power. They gave us power at the same rate for five years. So, we plan, it’s a one-price electricity continuously.”

In Nigeria, Dangote said the group had to invest a lot in generating electricity for the refinery and other factories, saying this does not happen in developed nations.

Aside from electricity, Dangote also blamed inconsistent government policies for Nigeria’s failure to industrialise.

“One of the problems of industrialisation is inconsistencies in government policies, where, just like a footballer, you’re about to score the goal, and the government will remove the goalpost and point behind you that the goalpost is behind. So, you have to now turn. Once you turn back, you have a lot of challenges to get to that goalpost again,” he stated.

The businessman noted that the best way to reduce the inconsistencies is to explain to the government that when industrialisation happens, the government is a major shareholder, especially with the collection of taxes.

“For example, in our cement, every N1 we turn around, 52 kobo go to the government in various taxes—30 per cent corporate tax, 7.5 per value-added tax, two per cent for education, and one per cent,for health. When money is being made in the company, if you want to take the money, all the shareholders will have to pay the government 10 per cent as withholding tax again. This is for the Federal Government. When you add the state and the local government, everything now is something else,” he stressed.

Dangote maintained that if a business shuts down, one of the major losers is the government, stressing that industrialisation is key to national development.

Source: https://punchng.com/unstable-electricity-hindering-industrialisation-in-nigeria-dangote/

na una jare. AAA na e dey bring MIKANO, how LIGHT go dey? una dey use dem catch cruise for naija

AmazingGenius:
Source: https://punchng.com/unstable-electricity-hindering-industrialisation-in-nigeria-dangote/

Good

Most Nigerians won't afford the bills if it were stable. I trust this government will defeat this electricity problem that has drained us for years.

Then build one

Minister for power, Mr adelabu is a square peg in a round hole. Dude is a complete daft. Before his appointment what was he doing. Some one without experience, a learner trying to lead. Nigeria is the case of a blind man leading the blind.

FCT dedicated to nairaland

We got our independence since 1960 but we never get steady electricity..
Our leaders have failed us!

Wealthoptulent:

You and I will share this first to comment money today oo🤣🤣🤣

So what are you doing about it as the richest in Africa?
U know how many poles and high tension cables wey ur truck don destroy?
Many communities today are suffering and living in darkness as a result of your recklessness.

Ok

I'm speechless on this

Why are you telling us go tell government, abi you wan tell us say you no know the power wey dey owe us to ransom

Ok

Invest in electricity generation, transmission and distribution too boss.

adalame:
Most Nigerians won't afford the bills if it were stable. I trust this government will defeat this electricity problem that has drained us for years.

in your dreams

It’s deliberately designed by the rapacious sellouts that call themselves the elites of the nation.

Nigeria is designed to be an extractive economy for the benefit of foreign interests and the saboteurs are actively working towards protecting those exploitative foreign interests.

Wake up.

He spoke pure truth that’s why I laugh at ignorant people online asking why is price of cement this cost of production determines price
All cement companies in Nigeria have almost same price it’s due to cost of production same with bottle water they will say it’s cheaper in so so country lolz cost of production in that country determines price

Guess what even where it’s cheaper is where the producer make the highest profit

When item is expensive to produce profit percentage added is usually so low

Na to enter electricity industry be that.

Any president that solves this electricity problem will be seen as some kind of "saviour" in Nigerian history. No matter how bad his government is, if he fixes that, it will overshadow every other thing.

AmazingGenius:
Source: https://punchng.com/unstable-electricity-hindering-industrialisation-in-nigeria-dangote/

Dangote Electricity coming. 2028. Kukuma take over the darn country since government can't run it.

Yes he's right.

For once I agree with him.

This is electricity we have been banded as A, B,C depending on Adelabu's choice.

I'm sure most people did not see this:

“For example, in our cement, every N1 we turn around, 52 kobo go to the government in various taxes..."

There goes the reason for high cost of building materials, yet you heap all the blame on real estate developers.

adalame:
Most Nigerians won't afford the bills if it were stable. I trust this government will defeat this electricity problem that has drained us for years.

False!!

Give everyone prepaid metre. They will buy what they can afford.

The point is having access to power whenever you choose to use it.

OkCornel:
It’s deliberately designed by the rapacious sellouts that call themselves the elites of the nation.

Nigeria is designed to be an extractive economy for the benefit of foreign interests and the saboteurs are actively working towards protecting those exploitative foreign interests.

Wake up.

The average Nigerian will protest to keep fuel subsidies but will never protest to support increased electricity availability.

Nigeria probably requires a minimum of 100,000 MW electricity capacity, but the country has less than 15,000 MW capacity. I laugh when Nigeria talk about building cars and manufacturing EV batteries when the country cannot generate 10% of its electricity requirement.

Nigeria is not poor because of corrupt leadership, Nigeria is inadequate because of docile people.

Dangote is spot on ! ..no thanks to incompetence and fantastically corrupt minds ..🤔

Aliko Dangote is the greatest Nigerian ever. He will always say the truth no matter what.

CC: YouAreNobody, Bobloco, Dalohad, anonimi, OfoIgbo, Ublaize, GetSenseNow, NGArmyTerrorist

adalame:
Most Nigerians won't afford the bills if it were stable. I trust this government will defeat this electricity problem that has drained us for years.

Meaningless talk. So most citizens of Ethiopia do not afford electricity or what?

It is even killing small scale businesses faster than industries.