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

Business News

Diageo to invest $219 million in renewable energy in Nigeria, six others

Diageo, the owner of Guinness Nigeria, has on Monday, announced that it would pump $219 million into sustainability projects (renewable energy and water recycling systems) in 7 of its African breweries.

Published

on

Diageo

Diageo, the owner of Guinness Nigeria, said on Monday that it would inject $219 million (£180 million) into sustainability projects (renewable energy and water recycling systems) at seven of its African breweries.

The London-based company revealed that investment would represent its largest green investment in a decade, aimed at reducing carbon footprint.

The details:The Chief Executive of Diageo, Ivan Menezes, said in a statement “we believe this is one of the biggest single investments in addressing climate change issues across multiple sub-Saharan markets. It demonstrates the strength of our commitment to minimise our environmental impact and crucially take action.”

The Diageo Chief Executive further disclosed that £50 million would be provided in advance to kick-off the projects spanning 11 breweries in Nigeria, Kenya, Tanzania, Seychelles, Uganda, South Africa and Ghana.

[READ MORE: Nigeria’s power sector remains in failing state]

The company noted that biomass boilers using sustainable fuels would be installed at three breweries in Kenya and Uganda to replace the dirty sources of energy production, while bamboo, wood chip and rice husk would create steam power, cutting emissions and creating jobs alongside local farmers who provide raw materials.

Meanwhile, Menezes, disclosed that solar panels would be rolled out to facilities in 6 countries with Kenya and Ghana as the starting points, as they will produce up to one-fifth of the breweries energy needs, while Nigeria, Kenya and Uganda would save 2 billion cubic litres of water yearly from purification, recovery and reuse of facilities.

Diageo, the alcohol brewer, which produces the likes of Guinness stout, Smirnoff vodka, Baileys liqueur, plans to reduce its carbon emissions from direct operations by mid-2020.

  • Diageo operates 12 breweries across the continent. Note that Africa produces 13% of its global sales and is the largest region for beer by volume.
  • The Kenyan beer, Tusker, is bottled by a plant that operates on 100% renewable energy.

What this means: The move by Diageo to pump funds into the continent is in a bid to reduce the negative impact of greenhouse gas emissions on the economy. This is believed to be a move in the right direction.

  • Studies have shown that increasing CO2 emissions are believed to result in irreversible changes in the global climate and the global environment.
  • The consequences are hard to predict but are believed to impose a tremendous economic cost of mitigation and adaptation, if not catastrophic effects on the human future.
  • Despite the benefits of Green Houses, the progress made by Nigeria is little compared to advanced nations where Green Houses and allied concepts are very popular.

[READ ALSO: Nigeria’s mining sector to receive $30 million investment]

0

Samuel is an Analyst with over 5 years experience. Connect with him via his twitter handle

Click to comment

Leave a Reply

Your email address will not be published.

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

Business News

Heavy sell-off in Guinness shares leads to N6.9 billion market value loss in a single day

Shares of Guinness Nigeria Plc suffered a 9.89% loss today.

Published

on

Guinness Nigeria Plc Reports Full Year F19 Results

Guinness Nigeria Plc suffered a 9.89% loss today following a heavy sell-off in the shares of the brewer. This triggered a market value loss amounting to about N6.9 billion at the close of trading activities on the Nigerian Stock Exchange, as investors scaled-down stakes in the brewer.

Data tracked at the close of the market today revealed that the shares of GUINNESS declined from N31.85 per share at the market open, to N28.70 per share at the close of the market today, to print a loss of 9.89%.

This decline saw the market capitalization of the leading maker of beer and spirits fall from N69.75 billion to N62.86 billion at the close of trading activities today, putting the total market value loss at N6.89 billion.

The shares of Guinness at the close of the market today cleared at N28.70 per share, 9.89% lower than the closing price of N31.85 per share yesterday.

At the current price, Guinness shares are currently trading 20.27% lower than their 52-week high of N36.00 per share. However, the shares of the company have returned about 120.8% gains for investors who bought them at their 52-week low trading price of N13.00 per share last week.

During trading hours on the Exchange today, about 159,380 ordinary shares of Guinness Nigeria Plc worth about N4.57 million, were exchanged in 27 executed deals.

The shares of Nigerian Breweries Plc and Golden Guinea Breweries Plc closed flat at N50.1 per share and N0.81 per share respectively, while the shares of International Breweries Plc shed 0.88% to close low today at N5.65 per share.

What you should know

  • At the close of trading activities today, the NSE All-Share Index and market capitalization appreciated by 0.29% to close higher at 39,128.34 index points and N20.477 trillion respectively.
  • The NSE Consumer Goods Index, an investable benchmark designed to track the performance of the shares of consumer goods companies like Guinness Nigeria Plc, depreciated by -0.35% to close the day lower at 553.26 index points.

0
Continue Reading

Business News

NAICOM revokes operational licence of UNIC Insurance, appoints Receiver/Liquidator

NAICOM stated that it had appointed Hadiza Baba Gimba as the Receiver/Liquidator to wind up the affairs of the company.

Published

on

Recapitalisation: 26 firms get NAICOM's approval

The National Insurance Commission (NAICOM) on Wednesday announced the withdrawal of the operational licence issued to UNIC Insurance Plc.

Although no official reason has been provided for the revocation of the insurance firm’s operating license, NAICOM, however, stated that the decision of the regulator was in the exercise of the powers conferred on it by the enabling laws.

According to a report from the News Agency of Nigeria (NAN), this disclosure is contained in a notice which was issued by the commission in Lagos to the general public and policyholders, where it noted that the revocation of the operational license, RIC 043, is with effect from March 25.

NAICOM, thereafter stated that it had appointed Hadiza Baba Gimba as the Receiver/Liquidator to wind up the affairs of the company.

NAICOM in its statement said, “The general public/policyholders are by this notice required to direct all inquiries and correspondence regarding UNIC Insurance to the receiver/liquidator.

The receiver/liquidator will be dealing with the company’s liabilities in accordance with the provision of Insurance Act 2003.’’

What you should know

  • It can be recalled that NAICOM, for the third time in June 2020, gave insurance firms in the country a one-year extension to meet the recapitalisation obligation that was recently set for them apparently due to the coronavirus pandemic which had disrupted the activities of most insurance companies.
  • Some insurance companies had been going through some bad patches with a good number of them struggling to meet up with their obligations and the recapitalization requirements.
  • The recapitalisation programme requires life insurance firms to meet a minimum paid-up capital of N8.0 billion, up from N2.0 billion previously. In the same vein, general insurance companies are required to raise their minimum paid-up capital to N10.0 billion from N3.0 billion previously.
  • The regulatory capital for composite insurance was raised to N18.0 billion from N5.0 billion previously while reinsurance businesses are now required to have a minimum capital of N20.0 billion from a previous N10.0 billion.

0
Continue Reading

  





Nairametrics | Company Earnings

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