Households and businesses in Lagos consume a combined 15.6 billion litres of petrol yearly according to a new report.
The report produced by Sustainable Energy for All (SEforALL), in collaboration with the Lagos State Government, highlights progress in advancing the energy transition in Lagos State and across Nigeria.
The report reveals that households consume approximately 9 billion litres of fuel annually, while Micro, Small, and Medium Enterprises (MSMEs) consume 6.6 billion litres of fuel each year.
The report noted that the average estimated fuel consumption per household in Lagos is about 2000L resulting in almost 45,000 kg of carbon equivalent emissions per year.
According to the report, the 9 billion litres of petrol consumed by households translates to 21 million tons of carbon equivalents (tCO2e) emission annually. This figure for businesses stood at ~ 17.8 million tons of carbon equivalents of emission every year.
Household fuel consumption in Lagos
Furthermore, the report noted that 54% of households in Nigeria’s economic nerve centre consume less than 1.5 litres of fuel daily while 17% consume between 1 to 3 litres daily and 29% consume more than 3 litres of fuel daily.
Also, almost half of Lagos households (49%) use their generating sets for three to four days weekly while 29% use theirs for one or two days weekly. Only 6% of households use their generating set every day of the week while 13% of households in the state use theirs for five to six days every week.
In terms of alternative energy supply, a significant 88% of Lagos households would consider alternative energy sources if available, with 70% being aware of solar power and 75% expressing interest. Despite this, only 2% currently use solar energy, and 28% have considered alternative energy options since the petrol subsidy removal.
The high cost of purchasing solar power was reported as the major barrier to transitioning away from the national grid or generating sets.
MSMEs use of generating sets
- For MSMEs, the report revealed that 94% owned a generating set consuming 6.6 billion litres of fuel annually.
- Data gleaned from the report revealed that 21% of MSMEs in the state have an average of 36,500 litres of fuel per year while 5% of this category of businesses consume an average between 18,250 to 36,500 litres of fuel yearly.
- On the other hand, a whopping 39% of MSMEs in Lagos state consume less than 1,825 litres of petrol per year.
- Over half (52%) of MSMEs as reported are willing to explore alternative energy sources, with 26% specifically considering this option since the petrol subsidy removal. While 80% are aware of solar power and 64% show interest, only 3% currently use it.