Residents in Kano and environs may soon have cause to smile soon as the Dangote Group and Black Rhino have signed an agreement with the Kano State Government to build a 100 MW solar power plant. The plant is to be located in Zakai, Gabsawa Local Government Area. Secretary to the Kano State Government, Usman Alhaji Usman signed on behalf of the government while Engineer Mansur Ahmed signed on behalf of the Dangote group.

What this means

Regular electricity supply will reduce the cost of operations for industries operating in the city. Energy cost makes up a significant chunk of the operating costs for many industries. Epileptic power in the country means they have to produce their own power often using diesel and petrol generators. This makes their goods more expensive compared to industries operating in countries with regular power. A recent report by the Manufacturers Association of Nigeria (MAN) showed industries spent N136 billion generating power for themselves.
Industries and companies have increasingly turned their focus to renewable energy. Total Nigeria and Forte Oil recently announced plans to go into the sales and marketing of mobile solar energy solutions.

Dangote Group was founded by Aliko Dangote in 1981, and is one of the largest conglomerates in West Africa with annual revenue of over $3 billion, and over 20,000 employees. Black rhino, founded in 2012 is a subsidiary of Blackstone an international equity firm. The company is primarily focused on infrastructure projects across Africa.

 

 

Onome Ohwovoriole has a degree in Economics and Statistics from the University of Benin and prior to joining Nairametrics in December 2016 as Lead Analyst had stints in Publishing, Automobile Services, Entertainment and Leadership Training. He covers companies in the Nigerian corporate space, especially those listed on the Nigerian Stock Exchange (NSE). He also has a keen interest in new frontiers like Cryptocurrencies and Fintech. In his spare time, he loves to read books on finance, fiction as well as keep up with happenings in the world of international diplomacy. You can contact him via onome.ohwovoriole@nairametrics.com

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.