Connect with us

Business

Creating Jobs Via Resuscitation Of Moribund Industries

Published

on

The production tank belonging to Nigeria Agip Oil Company (NAOC) in Ebocha Community, Ogba/Egbema/Ndoni Local Government Area of Rivers State.

The production tank belonging to Nigeria Agip Oil Company (NAOC) in Ebocha Community, Ogba/Egbema/Ndoni Local Government Area of Rivers State.

Unarguably, unemploy
ment has reached alarming proportions in the country, especially among graduates of tertiary institutions.
This is partly because the Nigerian economy cannot absorb the growing number of graduates produced annually by the nation’s tertiary institutions.
Compounding the problem, tertiary institutions produce more graduates in the humanities and social sciences as a result their failure to adhere to the national admission policy, which prescribes 60:40 ratio in favour of the sciences.
The areas of specialisation of the graduates notwithstanding, experts insist that sustainable employment can be created via the manufacturing sector.
They are of the view that if state governments can revitalise the moribund industries in their states, this will reduce the unemployment rate, while boosting their internally generated revenue as well.
Several moribund industries, which were unfortunately blue-chip industries of yesteryears, now dot many parts of the country.
Concerned stakeholders, therefore, acclaim the recent pronouncement of Gov. Okezie Ikpeazu of Abia to resuscitate the Golden Guinea Breweries in Umuahia.
Mr Bonnie Iwuoha, the Commissioner for Information and Strategy, broke the cheery news about the state government’s plans to reopen the brewery when he addressed journalists recently in Umuahia.
In addition to Golden Guinea, the commissioner said that the International Glass Industry in Aba would also bounce back to life.
Golden Guinea was established in 1960 by the administration of Dr Michael Okpara, the then Premier of the defunct Eastern Region, and incorporated two years later.
It became an economic epicentre and financial livewire, not only for the people of the then Eastern Region, but also for natives of Umuahia who enjoyed the socio-economic benevolence it offered through its social responsibility programmes.
In fact, the products of Golden Guinea Breweries like Golden Guinea lager, Eagle Stout and Bergdorf lager received appreciable patronage from 1960 to 2005 when it was eventually shut.
Concerned stakeholders, nonetheless, urge Ikpeazu to refrain from making empty promises like his predecessor, Chief T.A. Orji, who promised to revive the company.
Indeed, Orji in 2012 inaugurated a committee to look into ways of reviving the 54-year-old company.
He vowed to revive the brewery before leaving office, a pledge he failed to fulfil.
On the other hand, the International Glass Industry (IGI), Aba, also owned by the Abia Government, was leased to the Churchgate Group and it is showing signs of improvement.
IGI’s General Manager, Mr Kelechi Onuiri, said recently in Aba that the company had resumed the production of glass products.
He said that the factory, which started production late in March, produced and supplied more than 740,278 pharmaceutical bottles within two weeks of its resumption.
He said that the factory was currently servicing the needs of pharmaceutical industries outside the state.
Onuiri said that the company had employed more than 500 workers since its resumption to ensure full circle production.
“Right now, we have many people working here; we have employed more than 500 workers. Of course, we will take more people if need be,” he said.
However, the story is somewhat different with regard to the Modern Ceramic Industries in Umuahia.
After years of inactivity, the company was handed over to UCL Consortium, promoted by the Catholic Diocese of Umuahia.
Regrettably, the company’s handover could not bring it back to life.
Mr Uwakwe Nwachukwu, an economist, recalled that the Golden Guinness Breweries was one of the most successful breweries in Nigeria until it became moribund, adding: “Its collapse was mainly due to bad or inefficient management.’’
He said that board and management appointments were not based on knowledge and expertise, but purely on political considerations.
“More often than not, round pegs were put in square holes. Consequently, the brewery, which hitherto employed many hands and created considerable wealth, died,’’ he said.
Nwachukwu, who once worked in Golden Guinea as a casual employee for a fleeting period, said that the idea of revitalising or re-building the factory was, indeed, a welcome development.
According to him, a lot of benefits will accrue to the state and the people if the factory is revived.
“Other ancillary jobs or businesses will spring up within the factory environment and this will also reduce the number of unemployed persons in our society.
“In a time like this when unemployment in Nigeria has become a key challenge, the factory will add a lot value to the economy of Abia and the Nigerian economy as a whole.
“Furthermore, it will be quite plausible if the government could give consideration to the revitalisation of the Modern Ceramics Company, Umuahia.
“The ceramics company has good prospects for jobs as well as wealth creation for the government and the people,’’ he added.
Nwachukwu urged Ikpeazu not to relent in his efforts to bring back the “dead factories’’ back to life.
He urged him to borrow a leaf from the Rivers Government which successfully resuscitated Pabod Breweries.
“Rivers is one example; the once moribund Pabod Breweries was rebuilt by the last administration in the state.
“Today, Pabod Breweries engages many hands and it is the proud producer of Grand Beer and the now fancied or popular malt drink, Grand Malt.
“This can be replicated by the Abia Government, using the Golden Guinea Breweries and the Modern Ceramics Company in Umuahia as the platform,’’ he said.
In the same vein, Prof Aloysius Okolie of the Department of Political Science, University of Nigeria, Nsukka, urged state governors in the South East geopolitical zone to revive the collapsed industries in their states in order to create more jobs.
He said that the revival of the industries would create more employment opportunities for millions of jobless youths, while generating additional revenue for the states.
“Revitalising of these industries will be a means of diversifying the economy of the states, especially now when the country is experiencing economic melt-down,’’ he added.
There has been a drastic decline in allocations from the Federation Account to states and local governments as result of a sharp decline in crude oil prices in the international market.
“Some states and local governments in the country now find it difficult to pay their workers’ monthly salaries because of this drop in federal allocations,’’ Okolie said.
He, therefore, commended Gov. Ikpeazu’s move to revive Golden Guinea Breweries in Umuahia, describing it as a welcome development.
He, however, suggested that the state government should not own 100 per cent equity shares in the brewery.
“Government should have at most 30 per cent equity shares so as to allow the management of the brewery to be in the hands of private people who are expert in managing such companies.
“Government should also carry along the host community in order to protect equipment and facilities in that brewery,’’ he added.
Okolie said that pragmatic efforts should be made to revive industries like the cashew industry in Enugu, the ceramics industry in Umuahia, among others, which had become moribund.
“The industrial sector is a critical sector of any economy; it helps a country not to depend completely on foreign products.
“Nigeria is a dumping ground for foreign goods today because of the years of neglect which led to the collapse of many industries.
“Other governors in South East should emulate the Abia governor’s good example of reviving the popular Golden Guinea Brewery Umuahia, in efforts to improve the economy of their states and reducing unemployment,’’ he said.
Analysts underscore the need  for the federal, state and local governments to resuscitate all the moribund industries in their domains.
“This because industries provide employment opportunities for the youth, particularly graduates of engineering and physical sciences,’’ some of the analysts say.
Obike Ukoh is of the  News Agency of Nigeria (NAN)

 

Obike Ukoh

Continue Reading

Business

Two Federal Agencies Enter Pack On Expansion, Sustainable Electricity In Niger Delta

Published

on

The Niger Delta Development Commission (NDDC) has signed a Memorandum of Understanding (MoU) with the Rural Electrification Agency (REA) to expand access to reliable and sustainable electricity across the Niger Delta region.
The agreement, signed at the headquarters of the REA in Abuja, was targeted at strengthening institutional collaboration and accelerating development in underserved communities in the region.
A statement by the Director, Corporate Affairs of the NDDC, Seledi Thompson-Wakama, said the pact underscores renewed efforts by the two federal interventionist agencies to deepen cooperation and fast-track infrastructure delivery.
Speaking at the signing ceremony, the Managing Director of the NDDC, Dr Samuel Ogbuku, described the MoU as a strategic step towards realising the Commission’s vision to “light up the Niger Delta” in line with national priorities on distributed energy expansion.
Ogbuku said the agreement represents a shared institutional responsibility to deliver reliable energy solutions that will enhance livelihoods, stimulate local economies and create broader opportunities across the nine Niger Delta states.
According to him, electricity remains a critical enabler of national development, supporting job creation, healthcare delivery, education and inclusive economic growth.
He noted that the collaboration would help unlock the economic potential of rural communities while advancing broader national development objectives.
The NDDC boss added that the Commission has consistently adopted partnership-driven approaches in executing projects in the region and is prepared to support the implementation of the MoU by leveraging its community presence and infrastructure development capacity.
He reaffirmed the Commission’s commitment to working closely with the REA to ensure the timely and effective execution of the agreement.
The NDDC delegation at the event included the Executive Director, Projects, Dr Victor Antai; Executive Director, Corporate Services, Otunba Ifedayo Abegunde; Director, Legal Services, Mr Victor Arenyeka; Director, Finance and Supply, Mrs Kunemofa Asu; and Director, Liaison Office, Abuja, Mrs Mary Nwaeke.
In his remarks, the Managing Director of the REA, Dr Abba Abubakar Aliyu, described the MoU as a natural collaboration between two agencies with complementary mandates, reflecting a shared commitment to expanding access to sustainable electricity in rural communities.
Aliyu said the Niger Delta remains central to Nigeria’s economic fortunes and must be supported by infrastructure capable of driving productivity, enterprise and improved living standards, adding that the partnership signals readiness to deliver stable power to communities that have long awaited reliable electricity supply.
By: King Onunwor
Continue Reading

Business

Why The AI Boom May Extend The Reign Of Natural Gas 

Published

on

Artificial intelligence is often viewed as a catalyst for electrification and subsequently decarbonization. Yet one of its most immediate effects may be the opposite of what many assume. The rapid buildout of AI infrastructure is increasing demand for reliable power, and that reality could strengthen the role of natural gas and other dispatchable energy sources for many years.
Investors focused on semiconductors and software valuations may be overlooking a key constraint. AI runs on electricity, and those electricity systems operate within physical and economic limits.
The energy sector has spent much of the past decade grappling with slow load growth. That is now changing, in a way that is reminiscent of the sharp rise in oil demand—and subsequently price—in the early 2000s.
Training large language models and operating advanced AI systems requires enormous computing resources. Hyperscale data centers are expanding rapidly, with developers requesting gigawatt-scale interconnections from utilities. In several regions, electricity demand forecasts have been revised upward after years of flat expectations.
This shift is significant because AI workloads create continuous, high-density demand rather than intermittent usage. Data centers cannot simply power down when the electricity supply becomes constrained. Reliability becomes paramount.
Wind and solar capacity continues to expand, but intermittent generation alone cannot meet the firm capacity needs of AI infrastructure without significant storage or backup generation.
Battery storage is improving, yet long-duration storage remains costly at scale. Nuclear projects face long development timelines and complex permitting hurdles. Transmission expansion also lags demand growth in many regions.
These constraints make dispatchable power sources critical. Natural gas plants can ramp quickly, operate continuously, and be deployed faster than many alternatives. As a result, gas-fired generation is increasingly viewed as a practical solution for supporting AI-driven load growth.
This does not undermine the role of renewables. In many markets, new renewable capacity is paired with gas generation to maintain grid stability. The key point is that AI-driven electrification is likely to increase fossil fuel usage in the near term.
Construction timelines favor gas-fired generation when demand rises quickly. Existing pipeline infrastructure reduces barriers to expansion. And for operators of data centers, reliability often outweighs ideological preferences. Downtime is simply too expensive.
Utilities are also revisiting resource plans as load forecasts rise. That shift may drive increased investment in transmission, grid modernization, and flexible generation assets.
The Decarbonization Story Is Complex
A common narrative holds that AI accelerates the transition away from fossil fuels because it increases electrification. The reality is more nuanced.
If electricity demand outpaces the buildout of low-carbon capacity, fossil generation may still increase in absolute terms even as renewables gain market share. Total emissions could rise, but the carbon intensity of the energy system may trend lower as cleaner sources make up a larger share of supply.
Ultimately, energy systems evolve based on engineering and economics, not just policy goals or market narratives.
Rising power demand could benefit utilities investing in transmission and generation capacity. Natural gas producers and midstream companies may see structural demand support from increased power-sector consumption. Equipment suppliers tied to grid reliability and gas turbines could also gain from the shift.
Longer term, advances in nuclear, storage, or efficiency may change the trajectory. For now, the immediate response to surging electricity demand is likely to rely on technologies that can be deployed quickly and reliably.
Artificial intelligence may reshape the economy in profound ways. One of the least appreciated consequences is that it may extend the relevance of natural gas as the world builds the energy backbone required to power the next generation of computing.
By: Robert Rapier
Continue Reading

Business

Ogun To Join Oil-Producing States  ……..As NNPCL Kicks Off Commercial Oil Production At Eba

Published

on

Ogun State is set to join the comity of oil producing states in the country following the discovery and subsequent approval of commercial oil exploration activities in the Eba oil well, in Ogun Waterside Local Government Area of the state.
A technical team from the Nigerian National Petroleum Company Limited (NNPCL) has visited the area as preparations are in advanced stage for commencement of commercial drilling operations in the state.
The inspection followed President Bola Ahmed Tinubu’s approval for commercial exploration, forming part of the federal government’s efforts to deploy the required technical capacity and infrastructure for production.
Officials of NNPCL carried out the exercise alongside representatives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and national security agencies to evaluate the site and confirm its readiness for drilling activities.
The delegation was led by Project Coordinator for Enserv, Hussein Aliyu, who headed the NNPCL Enserv technical team.
Other members included Wasiu Adeniyi, Onwugba Kelechi, Engr. Rabiu M. Audu, Ojonoka Braimah, Ahmad Usman, Akinbosola Oluwaseyi, Salisu Nuhu, James Amezhinim, Yusuf Abdul-Azeez, Amararu Isukul and Livinus J. Kigbu.
Speaking, Governor Dapo Abiodun, described the development as a landmark achievement for Ogun State, saying “the commencement of drilling at Eba would stimulate economic growth, create employment opportunities and attract increased federal presence to the state’s coastal communities.
Abiodun also expressed appreciation to President Tinubu for his support toward the development of frontier oil basins and the equitable spread of the nation’s energy resources.
Recall that geological reports had earlier confirmed the presence of hydrocarbons within the Ogun Waterside axis, leading to preliminary surveys and technical engagements by NNPCL.
The Ogun State Government also carried out an independent verification of the oil well’s coordinates, affirming the discovery is located within the state’s boundaries.
To secure the project, naval security personnel have been deployed to the site for over 18 months, with the support of the Ogun State Government, to protect the facility and its environs.
The Eba oil well is regarded as part of Nigeria’s strategic move to expand oil production beyond the Niger Delta region.
Continue Reading

Trending