Connect with us
iubh
Advertisement
Alpha
Advertisement
Hotflex
Advertisement
Advertisement
UBA
Advertisement
Patricia
Advertisement
app

Companies

President Buhari finally signs Siemens electricity deal facilitated by Germany’s Angela Merkel

@MBuhari has signed the Nigerian Electrification Roadmap which was presented to him by @Siemens in November 2018. The deal was facilitated by German Chancellor, Angela Merkel last year August.

Published

on

Buhari signs Siemen's deal, Nigeria-Siemens electricity deal, Power: FG signifies financial commitment to Siemens agreement, Nigeria denies plan to hand over electricity distribution to Siemens

President Muhammadu Buhari has signed the Nigerian Electrification Roadmap which was presented to him by Siemens in November 2018. The deal was facilitated by the German Chancellor, Angela Merkel last year, in August.

The deal was signed in Abuja with the Global Chief Executive Officer of Siemens, Joe Kaeser. The agreement came months after the leading supplier of systems for power generation held several meetings and consultation across Nigeria.

[READ ALSO: Akin Alabi questions Jumia’s operating model, Jumia responded]

Siemens had also conducted electricity field observation dating back to October last year, a month after the meeting between President Buhari and the German Chancellor. According to reports, several meetings had also been held between power distribution companies, other stakeholders in the power sector and the Chief of Staff to the President, Abba Kyari, leading to today.

Speaking about the roadmap deal, President Buhari said, “Today, in partnership with the German Government and Siemens AG, we are making an important move forward in addressing Nigeria’s electricity challenge. Our goal is a simple one: to deliver more electricity to Nigerian businesses and homes.”

Buhari’s challenge to Siemens: “My challenge to Siemens, our partner investors in the Distribution Companies, the TCN, and NERC, is to work hard to achieve the target of 7,000 megawatts of reliable power supply by 2021 and 11,000 megawatts by 2023 – in phases 1 and 2 of this initiative, respectively.

“Our intention is to ensure that our cooperation is structured under a Government-to-Government framework. No middlemen will be involved so that we can achieve value for money for Nigerians.

Deal book 300 x 250
Hotflex
Sigma Pensions

“We also insist that all products be manufactured to high quality German and European standards and competitively priced.

“This project will not be the solution to ALL our problems in the power sector. However, I am confident that it has the potential to address a significant amount of the challenges we have faced for decades.

“It is our hope that as the power situation improves, we will improve investor confidence, create jobs, reduce the cost of doing business and encourage more economic growth in Nigeria.”

[READ ALSO: Pepsi acquires Pioneer Foods Group Ltd, makers of Butterfield Bread]

 

Stanbic 728 x 90

Olalekan is a certified media practitioner from the Nigerian Institute of Journalism (NIJ). In the era of media convergence, Olalekan is a valuable asset, with ability to curate and broadcast news. His zeal to write was developed out of passion to shape people’s thought and opinion; serving as a guideline for their daily lives. Contact for tips: [email protected]

2 Comments

2 Comments

    Leave a Reply

    Your email address will not be published.

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

    Companies

    COVID-19, VAT, FX scarcity adversely impacted our operations in 2020 – Nigerian Breweries boss says

    NB Plc’s operations in 2020 were adversely impacted by the COVID-19 pandemic, VAT increase and FX devaluation.

    Published

    on

    Heineken scoops more Nigerian Breweries shares in insider disclosure

    The management of Nigeria’s leading brewer, Nigerian Breweries Plc has revealed that its operations in 2020 were adversely impacted by the COVID-19 pandemic, VAT increase, FX devaluation and scarcity of foreign exchange.

    This statement was made by the Managing Director of Nigerian Breweries, Mr Jordi Borrut Bel, at the company’s pre-AGM media briefing for the financial year-end 2020, which held in Lagos this week.

    He noted that the increase in the brewer’s cost in 2020 was due to the COVID-19 pandemic which disrupted the company’s operations, as well as the increase in VAT, devaluation and FX scarcity which has put pressure on input cost.

    READ: Alcoholic beverage makers on NSE lose a total N27.7 billion in a single day

    The Nigerian Breweries boss explained further that the increase in cost could not be fully attributed to currency devaluation and foreign exchange scarcity.

    He explained that the increase in costs of goods sold, as reported in its audited financial results, could also be linked to the increase in the volume of goods sold, as the company’s sales volume in 2020 increased by almost the same percentage as the cost of goods sold.

    To deal with this challenge going forward, he revealed that the company is focused on the supply chain, and will continue to seek out ways to mitigate any of the price increases coming from FX scarcity.

    READ: Brewery sector: A quarter to forget

    Deal book 300 x 250
    Hotflex
    Sigma Pensions

    The company’s profitability in question?

    An analysis of the company’s result revealed that despite the 4.3% increase in net revenue from N323.00 billion recorded in 2019, to a total of N337.01 billion in 2020, the company’s profit declined significantly by 53.3% to N7.53 billion.

    Speaking on this, Jordi Borrut in his statement at the press briefing noted that the brewer’s business performance in 2020 was quite impressive especially in the face of the COVID-19 pandemic and economic recession. Despite these challenges, the company maintained a strong and healthy balance sheet.

    There was a slight reduction in profitability but compared to the previous year, the business witnessed an improved growth in revenue. The significance of this is that the business became more stable and healthier,” he said.

    READ: Nigeria’s triangular beer war on the rise with the arrival of Budweiser

    What you should know

    • Nigerian breweries, being the largest brewer in the country, maintained its stance in terms of generating profits year-on-year. The company emerged as the only brewer to record a profit of N7.37 billion from its operations in 2020, 54.3% lower than 2019 figures (N16.1 billion).
    • From this, the leading brewer was able to pay shareholders a total dividend of N7.5 billion, translating to a dividend of 94 kobos per share – a dividend payout in which exceeds 100%.
    • While Guinness and International Breweries made a loss of N12.6 billion and N24.9 billion respectively, this reality impacted their ability to pay their shareholders dividends in 2020.

    Stanbic 728 x 90
    Continue Reading

    Business News

    Highest paid Nigerian bank MD/CEOs of 2020

    Bank MD/CEOs in Nigeria earned a combined N1.5 billion in salaries in 2020.

    Published

    on

    The banking sector, especially commercial banks, is one of the most profitable sectors of the Nigerian Economy churning out profits of close to a trillion in 2020 alone. They are also one of the highest employers of labours in the country employing over 93,000 Nigerians.

    Sitting at the helm of affairs is the Chief Executive/Managing Director, the highest-ranking executive in the organization saddled with the responsibility of making the best corporate decisions, oversight of the execution of the organisation’s corporate strategies and most importantly increasing the shareholders’ return. The buck basically stops on their table.

    Thus, these enormous responsibilities also come with a considerable executive compensation for their service making them ostensibly the highest-ranking staff of the bank.

    READ: Jim Ovia: From a clerk to founder of Nigeria’s most profitable bank

    In typical Nairametrics fashion, we bring to you a list of the highest-ranking bank CEOs for 2020 based on their executive compensation (exec comps). The bank MD/CEOs under our review earned over N1.5 billion in salaries in 2020.

    The data was sourced from the published audited accounts of the bank and verified by Nairametrics Research.

     

    Deal book 300 x 250
    Sigma Pensions

    Continue Reading

      





    Nairametrics | Company Earnings

    Access our Live Feed portal for the latest company earnings as they drop.