Nigeria: Lubricant manufacturing Company plans alternative energy
Lubricant manufacturing Company in Nigeria, Lubcon is planning to invest in alternative energy, in partnership with consortia of organisations on gas production in the Ajaokuta gas park.
The Group Managing Director, Adesoji Fagbemi said the move is to tackle power challenge in the country.
He was speaking with Journalists in Ilorin, the Kwara State capital,on the sideline of events marking 30 years of Lubcon lubricant manufacturing and blending company.
Fagbemi said; “Hopefully, when the alternative energy which they will invest on, is operational, it would solve power generation and distribution in the country, boost trade and investment, especially among micro, small and medium enterprises (MSMEs) in and around the state.”
Fagbemi said that the challenge of electricity supply has impacted on prices of commodities and profitability.
He stated that; “the capacity of electric power being generated is not adequate. We share power among other sectors of the economy.’
“It’s even so difficult to achieve eight hours supply daily. We spent more than N93 million in a quarter on diesels because we run several manufacturing points. We had to purchase a 1,000 KVA generator.
“We also expended about N157 million on 33 KVA dedicated line to get 23 hours power supply by co-opting other neighbouring companies just to cope with the huge expenses. Thus, profitability is affected.”
Fagbemi also explained that the group of companies was planning to go into Agriculture.
According to him, it will serve as a platform for agric processing and export for MSMEs with the establishment of an industrial agro park for entrepreneurs, to maximise their potential in agro-processing.
He said; “We’ve been supporting agriculture before now as we supply lubricants for tractors, machine tools, etc.”
Fagbemi called on security operatives to improve on their logistics to tackle economic saboteurs who engage in adulteration of lubricants and engine oil, stressing that “regulators are sometimes incapacitated to battle people behind adulteration.’’
He also appealed to Commercial banks to assist the manufacturing industry with adequate financing, describing sourcing funds from banks as herculean.
At the end of the event, Manufacturers in Nigeria sent a Save Our Soul to concerned stakeholders in the power sector over inadequate electricity supply.
The Managing Director of the Company, Mr Taiye Williams, said that “it has been 30 years of top-notch lubricants production hitherto dominated by foreigners before it came into existence.”
Mr Williams added that Lubcon lubricant manufacturing Company supplies to countries such as Ghana, Niger, Benin Republic, South Sudan, Liberia, and Ethiopia.
Lubcon is the first oil and gas company in Nigeria to be ISO certified in the year 2002 and has become a key player in the oil and gas sector through the manufacturing, lifting, distribution and sales of petroleum and allied products.
The company has constantly applied the principles of productivity management in the course of running its operations for continuous improvement; and as part of being an ISO (International Organisation for Standardisation) certified oil and Gas Company, Lubcon’s quality programme is designed to continuously seek to improve performance, to meet customers’ expectations, and to delight them.
Mercy Chukwudiebere
