11th June, 2024
The Minister of Power, Adebayo Adelabu, has announced the Federal Government’s readiness to collaborate with local manufacturer Coleman Wires and Cables Industries Limited to enhance the power sector and create jobs.
He made this statement over the weekend during a tour of Coleman’s factories in Arepo and Sagamu, Ogun State.
Speaking with newsmen after the tour, the Minister, impressed by what he saw, emphasized Coleman’s capacity to support the power sector in all segments.
“A lot of investment has gone in here, and I am impressed that they are in a position to support the power sector in all segments, from generation to transmission and distribution. They have good capacity, and I am happy that this kind of company is here in Nigeria.
“The government is ready to support local manufacturers by improving local content and government patronage. I am also convinced that the quality of their products is quite optimal in terms of certification. I am proud that this kind of factory exists in Nigeria,” he said.
Adebayo stressed that the government needs to support companies like Coleman and make their operations easier.
“We should also support them in terms of patronage and allow them to contribute to the power sector projects in Nigeria,” he added.
The Minister also stated that the government would support local manufacturers in sourcing foreign exchange for the import content in their production, which is one of the significant challenges in manufacturing in Nigeria.
“Many of them struggle to source foreign exchange for their importation. I am pledging that we will engage the Central Bank of Nigeria (CBN) to find native ways of supporting local manufacturers so that we can compete globally. We need to support them because they create employment.
“These are large factories, and the number of people here impressed me,” he added.
Responding, Coleman’s Managing Director, George Onafowokan emphasized that collaboration with the government would benefit the company and encourage further investment in the country.
“We see the expansion of our power plant creating capacity in the country. Coleman is here for Nigeria to deliver the country’s goals, making local content possible. When we achieve this, we create value and export to other countries. This collaboration with the government will be an advantage to us and encourage us to invest more,” he said.
Earlier, while addressing the newsmen, the Coleman’s MD called on the government to focus more on solving power transmission problems with the support of local manufacturers.
Onafowokan, who is also the Chairman of the Manufacturers Association of Nigeria in Ogun State, urged the Federal Government to localize solutions to power transmission by developing the capacities of indigenous manufacturers and creating a more enabling, incentivized business environment.
“In the drive for solutions to power transmission in the country, there must be a move that is seen from a local perspective, deliberately pushing for local industries to grow. Nigeria can be a processing country with our large population, but it is important to balance fiscal and monetary policies to address foreign exchange volatility and create an enabling environment.
“Enablers for the transition to a processing country must allow the import of raw materials easily and the export of finished products, focusing on value addition for every sector to grow.
“We must also push domestic direct investment, incentivize them, and address counterfeiting to drive Nigeria’s non-oil exports. At Coleman, we are working with the Standards Organisation of Nigeria (SON) to drive an identification process on each product to address counterfeiting,” he said.
To address skill gaps in technical manufacturing, Onafowokan called for a review of tertiary institution curriculums to accommodate intense practicality in automation and machinery engineering to enhance production.