By Milcah Tanimu

Despite the pivotal role of energy in Nigeria’s economy, the United Nations Industrial Development Organisation (UNIDO) has highlighted significant challenges posed by the country’s unreliable grid operations. According to UNIDO’s National Programme Coordinator for Environment & Energy, Oluyemi Banjo, Nigeria’s economy suffers an estimated $28 billion economic impact due to these operational deficiencies.

Banjo emphasized that Nigeria ranks among the countries with the highest energy poverty rates globally, with nearly half of its population lacking access to grid electricity. Even those with access contend with frequent power outages, hindering economic productivity.

Speaking at a ‘Public-Private Dialogue Session for Chief Executive Officers (CEOs) and Relevant Government Agencies on the Global Environment Facility (GEF)-UNIDO Industrial Energy Efficiency (IEE) and Resource Efficient Cleaner Production (RECP) Project,’ Banjo underscored the urgency of addressing energy inefficiencies in industries to enhance production efficiency, reduce costs, and improve environmental sustainability.

The dialogue session, held in collaboration with the Manufacturers Association of Nigeria (MAN), aimed to engage CEOs from various sectors, including food and beverage, basic metal, wood, textile & leather, and the petrochemical sub-sector.

Banjo highlighted the importance of improving the power sector’s performance, particularly for the non-oil sector, to stimulate economic growth. He noted that industries globally account for a significant portion of energy consumption and CO2 emissions, necessitating concerted efforts to enhance energy efficiency and environmental sustainability.

The GEF-UNIDO IEE and RECP project, according to Banjo, will play a vital role in addressing these challenges by promoting international best practices, compliance with regulations, and fostering collaboration between industries and policymakers.

Moreover, Banjo announced plans to support industries through pilot financing schemes and capacity-building initiatives, aiming to enhance efficiency and sustainability across sectors.

In his remarks, MAN President Otunba Francis Meshioye emphasized the transformative potential of energy efficiency initiatives in driving sustainable practices within the manufacturing sector. He highlighted the multifaceted challenges and opportunities associated with energy efficiency, emphasizing the need for innovation and collaboration to achieve sustainable development goals.

The dialogue session provided a platform for stakeholders to discuss policy implications, industry experiences, and the role of CEOs and regulators in realizing the project’s objectives. It underscored the importance of collective action to address energy inefficiencies and promote sustainable industrial practices for Nigeria’s economic prosperity and environmental well-being.