Oil & Energy
Association Urges Wealthy Nigerians To Invest In Mining Sector
The Miners Association of Nigeria has urged wealthy Nigerian entrepreneurs to invest in the mining to prevent “indiscriminate influx of foreigners to the sector“.
The National President of the association, Alhaji Sani Shehu, made the call in an interview with journalists in Abuja.
“We have Nigerians who are rich enough to invest in mining sectors and if 10 per cent of these rich Nigerians can invest into mining sector.
“I mean the foreign investors, we may not need them as much as we need them now, and part of the challenges is lukewarm attitude of our Nigerian businessmen. They find it difficult to invest in mining.“
He said that in most cases, foreign investors had a way of failing to comply with the rules and regulations guiding mining in the country.
Shehu said that other challenges facing the sector were lack of funding, lack of access to mining sites (transportation), and lack of proper attention from the government.
He, therefore, urged the Federal Government to accord the mining sector all the attention it deserved to grow and develop.
“There has been a lot of pronouncement, a lot of declaration of intent by the government to develop the sector, but they are too slow. We are appealing to them to see the sector as indispensible to economic development.
“They have transport as part of the major challenge; government can now build a rail system. I am happy that the government is reviving our rail system now; such rail system should be connected to the mines for easy evacuation.
“Some of our mining areas do not have access roads; sometimes one has to trek for two to three hours to get to the mining sites.
“Government should upgrade the roads to the mining sites. The roads do not have to be covered with bitumen to enable miners to get to the mines with little or no difficulty so that the materials can easily be evacuated to the cities and ports for exportation; so these are things that will assist towards the development of the sector,“ he said.
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Delta Targets 120MW Power Boost, Moves To Cut Reliance On National Grid
The State Commissioner for Works (Rural Roads) and Public Information, Charles Aniagwu, disclosed this at a press conference in Asaba, weekend, noting that the initiative was part of wider reforms aimed at opening up the power sector to private investors.
Aniagwu, who was accompanied by the Executive Assistant to the Governor on New Media, Felix Ofou, said the state was exploring alternative sources of electricity to support businesses, households and communities while reducing pressure on the national grid.
He said the government was particularly interested in exploiting Delta’s abundant natural gas resources for power generation, pointing to the Kwale Free Trade Zone, which is part of the state’s special economic zone, as a major opportunity for investors.
According to him, prospective investors were taken to the zone during the state’s recent economic summit to enable them to assess the availability of gas as a key raw material for electricity generation. ComparePower Rates
The commissioner explained that generating more electricity locally would not only increase supply in Delta but also free up power on the national grid for use by other consumers.
Aniagwu cited the 8.5MW Independent Power Plant located behind the state secretariat in Asaba as an example of what could be achieved through alternative power sources.
He said the facility had enabled the secretariat complex to operate independently of the national grid, thereby making the electricity that would otherwise have been consumed there available to other users.
He added that the planned 120MW partnership with Supply Power would further strengthen the state’s electricity supply capacity and provide a more reliable power base for small and medium-sized enterprises.
Aniagwu said the state government was also intervening in areas traditionally regarded as the responsibility of electricity distribution companies because inadequate power supply could no longer be allowed to constrain economic development. LearnQuantum Physics
He identified the extension of the electricity grid from Abraka towards the Ndokwa axis as one of the interventions being undertaken to connect more communities to electricity.
The commissioner, however, raised concerns over the burden placed on communities that are often required to provide transformers and other electricity infrastructure, only for distribution companies to take over the facilities and subsequently collect electricity bills without adequately accounting for the investments made by the communities.
He said the state would continue to support efforts aimed at energising communities, noting that improved electricity supply would stimulate businesses, create jobs and help tackle social problems associated with unemployment and idleness.
On regulation, Aniagwu said the government was working with the Ministry of Energy and a committee set up to develop an appropriate regulatory framework for the state’s emerging power sector. SwitchEnergy Plans
He said the proposed energy commission would be responsible for regulating new electricity producers, determining appropriate tariffs and overseeing distribution networks.
The commissioner stressed that liberalising the sector required effective regulation to protect consumers and investors, adding that decisions on power distribution infrastructure, including the use of overhead or underground lines, must take into account the peculiarities and safety requirements of each location.
He warned that power expansion without adequate regulation could expose residents to electrocution and other hazards, stressing the need to protect electricity infrastructure while ensuring consumers were not subjected to unfair pricing.
Aniagwu said the state government’s broader objective was to build an efficient and sustainable electricity market driven by private investment and capable of powering businesses, households and communities across Delta State.
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