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How Diageo Electricity Project Empowers Businesses

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Ngozi Okonjo-Iweala, Minister of Finance
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Even as electricity generation in Nigeria reached estimated value of 3088.22 in the year 2011, acute shortage of electricity still remains source of headache for both businesses and ordinary people.

Electricity supply, in small measure, determines the economic buoyancy of any nation and the absence of this spells weaknesses around the developmental growth of concerned nation.

 There are enormous effects of unstable power supply on a nation as Nigeria.

For instance, earlier in the year, analysts predicted that telecommunications companies in Nigeria will spend about N45.9 billion in 2012 on (fueling) generators in order to provide 284.8 megawatts of electricity at $1 million per megawatt.

The essence is to power Base Transceiver Stations (BTS) – a critical network infrastructure component required to deliver telecoms services.

 Meanwhile, states like Yobe, Taraba and Akwa Ibom can have 24 hours power supply if they have 284.8 megawatts of electricity each.

Not only that, Nigerian manufacturers, small scale businesses and families spend an average of N3.504.800 trillion yearly to power diesel and petrol generating sets due to unstable supply of electricity, which has become an insurmountable mountain before past and present government.

There is no gainsaying that, Power Holding Company of Nigeria (PHCN) has disappointed the country.

We need power in our offices, businesses need power and even in our homes power is of critical importance, but the dependence on this power authority seem frustrating. Even as many people have found solace in the use of generating sets like listers, it is very obvious that cost of running a generator or lister is very high.

The pollution caused by fuel emision poses greater danger to human beings.

Politicians upon promises to provide the analgesic to the prevalent problem in the country have made the matter a campaign theme and poem.

However, companies have engaged in ‘self medication’ to mitigate the effects on their business. Sometimes, they go as far as providing electricity for host communities.

One of such happened recently, when a U.K.-based Diageo plc, a leading global alcohol beverage company, tapped Clarke Energy, a distributor of GE’s Jenbacher gas engines, to install turnkey combined heat and power (CHP) plants at its Guinness breweries in Ogba and Benin City, Nigeria to lower their energy costs and increase production.

The two, 3.3-megawatt (MW) CHP plants will each feature a natural gas-powered Jenbacher J620 gas engine and a backup diesel engine from a different supplier.

GE announced the brewery CHP projects in conjunction with the Africa Energy Forum 2012 in Berlin, Germany recently.

The new Ogba and Benin City projects represent the fifth and sixth Jenbacher CHP engines that Diageo has installed since 2008 at its Guinness Nigeria plc brewing operations to help lower energy costs and help keep pace with the steady growth in demand for its products.

In 2008, Diageo first installed a Jenbacher J620 cogeneration unit at its Guinness Ogba brewery, where the system was connected to a waste-heat boiler to produce steam for the brewing process.

The second installation in 2010 was configured to use the exhaust heat directly into an absorption chiller to provide a source of cooling for the plant.

Also in 2008, Diageo installed its first two Jenbacher J620 cogeneration systems at its Guinness Benin City brewery.

In addition to producing steam, the Benin City brewery’s Jenbacher unit was connected to an absorption chiller to create chilled water from the engine’s exhaust heat.

GE’s Jenbacher Type 6 engines offer numerous advantages: reliability, efficiency and robustness, with high power density and low installation costs.

 In addition, the pre-combustion chamber layout helps the engine achieve maximum efficiency with low emissions, while its unique design and optimized components support an extended service life and reduce maintenance and overhaul costs.

 Given the current price difference between natural gas and diesel fuel in Nigeria, using gas to power a high-efficiency Jenbacher engine can save a customer 78 percent compared to diesel fuel.

“GE’s Jenbacher gas engines are supporting our efforts to incorporate energy efficiency technologies to increase productivity. The performance of our previously installed Jenbacher gas engines, in terms of reliability, productivity and efficiency, has been tremendous,” said Henry Ohenhen, electrical/automation manager-Benin, Guinness Nigeria plc. “The proven capabilities of GE’s gas engines and Clarke Energy’s comprehensive, local after-sales service support have given us significant competitive advantages, helping us to develop the most modern and advanced breweries in Africa.

This latest installation will help support our growth and expansion goals.”
The Ogba and Benin City breweries are expanding their existing CHP plants to generate even more reliable electricity and steam while using cleaner-burning, less-expensive natural gas as the primary fuel.

 The new, ecomagination-approved Jenbacher J620 CHP units are scheduled to be fully installed, tested and in operation by the first quarter of 2013.
“This is an opportunity to realize significant operational cost savings, and we can typically expect a gas engine like the one being installed in Lagos to pay for itself within just 18 to 24 months,” said Patrick Regan, global sales leader for GE Food & Beverage Solutions.

“From a financial point of view, the case to use gas as a primary fuel is hard to dispute, given the current natural gas price point versus more traditional fuel sources such as diesel. More breweries are choosing to install gas engines in their facilities as a result of their increased reliability, efficiency and overall return on their investments, not to mention the positive environmental impact of cleaner emissions and reduced CO2 footprint.”

In addition to showcasing GE’s successful focus on the food and beverage sector, the Diageo projects illustrate how GE’s comprehensive suite of distributed power solutions—ranging in size from 100 kW to 100 MW—are helping customers worldwide to generate more reliable, on-site electricity and heat.

“With the upcoming installation of the latest Jenbacher system in Ogba and Benin City, we are pleased to be able to support the long-term growth of Diageo’s iconic brands,” said Alex Marshall, group marketing manager for U.K. and Nigeria-based Clarke Energy, which provides full-service sales, engineering, installation and maintenance services for GE’s Jenbacher gas engines product line.

Guinness Nigeria plc, a subsidiary of Diageo, was incorporated in 1962 and the following year opened its Ogba brewery in Ikeja, Lagos. Ikeja was the first Guinness brewery to be built outside of Ireland and the United Kingdom.

Steady growth in Africa’s demand for Guinness Stout and Harp Lager prompted the opening of more breweries in Nigeria. In 1974, the company built its second brewery—Benin City—that originally produced Harp but was later expanded in 1978 to also make Guinness. In 1982, Guinness expanded its brewery at Ogba to also brew both Harp and Guinness. In 2004, a third Guinness brewery was opened at Aba in Abia State to further increase production capacity.

The CHP projects underscore how GE is helping Nigeria promote economic growth, employment and educational opportunities. Aligning with Nigeria’s goals for growth through its Vision 2020 initiative, GE and the federal government of Nigeria in 2009 signed a landmark “Country to Company” agreement to foster partnerships and drive critical infrastructure projects across the country.

Furthermore, GE Energy works connecting people and ideas everywhere to create advanced technologies for powering a cleaner, more productive world.

Concerned about the huge spending by telecom companies, the sector can become a transformative force by extending their tentacles to other private ventures for the provision of electricity, because additional penny spent on power generation, the public pay for it.


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MTN Graduates 20 Fellows, Expands Media Innovation Programme

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MTN Nigeria, in partnership with Pan-Atlantic University (PAU), marked a significant milestone in advancing Africa’s media landscape with the graduation of 20 Fellows from the MTN Media Innovation Programme (MIP) Cohort 4 held at the Lagos Business School.

MTN Graduates 20 Fellows, Expands Media Innovation Programme

MTN

The ceremony celebrated excellence, resilience and forward-thinking storytelling, while also announcing the programme’s expansion into a Pan-African edition beginning next year.

The six-month programme, known for its rigorous coursework, demanding schedule and strong emphasis on critical thinking, included an international study visit to South Africa that broadened participants’ understanding of media innovation across the continent.

The graduation event acknowledged the Fellows’ commitment to completing the intensive journey while strengthening their capacity to influence the future of African media.

Dr. Ikechukwu Obiaya, Dean of the School of Media and Communications, PAU, commended the Fellows for their persistence throughout the programme. “In some moments, it was pretty grueling for some of you, but you made it. You are here, and I congratulate you,” he said.

“He encouraged them to see the graduation as a new beginning, adding, “We have so much to do, and each one of us is best positioned now to make that transformation.”

Tobe Okigbo, Chief Corporate Services and Sustainability Officer, MTN Nigeria, congratulated the cohort on successfully completing the six-month programme and reaffirmed MTN’s long-term vision for the initiative.

He said, “Congratulations on completing this journey. You are joining a network of professionals who are committed to elevating the media landscape in Nigeria and beyond.

“The future of this programme depends on your impact. This cohort represents the outcome we envisioned when the journey began. Today, the programme is not only thriving but also expanding.”

He further announced that the Pan-African edition of the programme will be launched in 2026, providing media professionals across the continent with the same level of immersive training and unique exposure experienced by the Fellows.

A key highlight of the event was MTN Nigeria’s presentation of ₦2.5 million in cash prizes to Fellows whose projects demonstrated exceptional innovation, depth of research and alignment with the programme’s ethos of impactful storytelling. The awards were presented by Chineze Gbenga-Oluwatoye, General Manager, Corporate Affairs, MTN Nigeria, and Odunayo Sanya, Executive Director, MTN Foundation.

Vanessa Ukamaka Richard Bassey, Head of Programmes, Sparkling 92.3 FM, Calabar, emerged as the top winner, receiving ₦1 million for the MTN Foundation Chairman Award for Innovative Reportage and another ₦1 million for the MTN Chairman’s Prize for Innovation. Sharing her experience, she said, “It’s been a training ground. It has opened me up to new things and made me more confident. There’s something about knowledge and information and exposure to your mind and to your esteem. After today, I know there’s nothing to be afraid of.”

Abolaji Adebayo received ₦500,000 for the MIP Cohort 4 Best Report, recognised for its clarity, depth and relevance to national discourse.

Several Fellows shared how the programme has reshaped their careers. Adekeye Ayobami of Abamimigo FM described the programme as arriving at the perfect moment, aligning with his recent career elevation.

Ubani Amarachi of Channels TV highlighted the value of the South Africa trip, noting that it transformed her approach to telling African stories and reinforced her belief that graduation marks the beginning of greater responsibility and impact.

The graduation of the MIP Cohort 4 Fellows, coupled with the announcement of the Pan-African edition, reinforces MTN Nigeria’s long-standing commitment to strengthening the media ecosystem through education, exposure and innovation.

The partnership between MTN Nigeria and Pan-Atlantic University continues to serve as a catalyst for developing media professionals equipped to shape narratives, advance societal progress and drive meaningful change across Africa.


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FirstCap Acts as Joint Issuing House on Veritasi Homes & Properties Plc’s ₦30 Billion Bond Programme

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FirstCap Limited, a premier investment banking business and a wholly owned subsidiary of FirstHoldCo Plc, acted as Joint Issuing House and Placing Agent on the Veritasi Homes & Properties Plc’s Series 1 Bond of ₦10 billion under its ₦30 billion Bond Programme duly registered with the Securities and Exchange Commission (SEC).

The Bond Programme is designed to support the development of Project Oyster Towers, located within Eko Atlantic City. Proceeds from the Series 1 Bond issuance are expected to be applied towards the construction of 30 luxury residential units, forming part of an 82-unit residential development comprising one-bedroom, two-bedroom, and three-bedroom apartments.

Veritasi Homes & Properties Plc is an indigenous real estate development company with operations across Lagos State and the Federal Capital Territory, Abuja, and a growing track record in the delivery of residential real estate projects in Nigeria.

Commenting on the transaction, Ukandu E. Ukandu, Managing Director/Chief Executive Officer of FirstCap Limited, stated:

“We are proud to partner with Veritasi Homes & Properties Plc on this important transaction. The establishment of the ₦30 billion Bond Programme reflects our commitment to mobilising capital for the real estate sector, which remains a key driver of Nigeria’s economic growth. Project Oyster Towers exemplifies the future of luxury and sustainable living in Nigeria, and this transaction reinforces FirstCap’s role as a trusted advisor in major corporate finance initiatives.”

FirstCap’s involvement in the Bond Programme further reinforces our dedication to supporting the growth of the Nigeria’s real estate sector. The successful execution of this transaction highlights the depth of expertise within our capital markets team and our role in supporting issuers in accessing long-term funding solutions aligned with their strategic objectives.

By continuing to connect capital providers with high-impact infrastructure projects such as Project Oyster Towers, we remain committed to driving economic development and delivering long-term value for all stakeholders, Ukandu added.

 


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NITDA DG Calls for Innovation-Led Economic Rebirth @ Kano Startup Weekend

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Kashifu Inuwa, the Director General of the National Information Technology Development Agency (NITDA), has called for a fundamental shift in Kano State’s economic strategy, urging stakeholders to embrace innovation, technology and collaboration as the drivers of growth in the 21st century.

Speaking at the Kano Startup Weekend, Inuwa acknowledge Kano’s long-standing reputation as the commercial nerve centre of Northern Nigeria and the wider Sahelian region, noting that its history of trade, enterprise and human capital provides a solid foundation for future growth.

He emphasised that while these strengths powered Kano’s success for centuries, the modern economy now offers even greater opportunities through innovation and technology.

He described innovation as the process of transforming ideas into impactful solutions through commercialization, stressing that when ideas are effectively deployed, they create value, solve societal challenges and generate sustainable economic growth. He noted that Kano’s large market, strategic location and vibrant entrepreneurial culture place it in a strong position to take advantage of innovation-driven opportunities.

According to him, “Innovation is the process of taking an idea from inception to impact. Invention on its own is a cost centre, but when you commercialise an idea, when you turn it into a product or service that solves a real problem and creates value, that is when you begin to drive economic growth and inclusion.”

He noted that the state hosts numerous degree-awarding institutions across federal, state and private ownership, providing a strong base for human capital development. However, he expressed concern that these institutions often operate in isolation from industry, with research outputs rarely translating into commercial or industrial applications.

He explained that innovation does not happen in silos and stressed the need for a strong, interconnected ecosystem that brings together academia, industry, startups, entrepreneurs and government.

According to him, universities should conduct research informed by industry needs, industries should leverage research to improve productivity and competitiveness, and startups should serve as the bridge that converts ideas into market-ready solutions.

He further encouraged entrepreneurs to leverage technology to build businesses that can grow beyond local markets, explaining that innovation-driven enterprises have the power to scale rapidly, create jobs and position Kano competitively at both national and global levels. According to him, digital platforms and emerging technologies now make it easier for startups to reach wider markets and develop solutions that were previously unimaginable.

“You can start your business here in Kano, but your thinking must be global from day one. Technology has removed barriers. With the right skills and platforms, a startup in Kano can build solutions that serve not just Nigeria, but the world,” he noted.

Highlighting NITDA’s ongoing interventions, the Director General outlined the Agency’s commitment to building national innovation capacity through targeted human capital development programmes. He cited the Digital Literacy for All (DL4ALL) initiative, which aims to equip Nigerians across all segments of society with essential digital skills, and the 3 Million Technical Talents (3MTT) programme, designed to produce a pipeline of globally competitive technical professionals in areas such as software development, data analysis and emerging technologies.

He said, “Through DL4ALL, we are ensuring that Nigerians at all levels have the basic digital skills needed to participate in the digital economy, while 3MTT is deliberately building a pipeline of globally competitive technical talents who can drive innovation, create jobs and attract investment.”

He explained that these programmes are key pillars of President Bola Ahmed Tinubu’s Renewed Hope Agenda, which prioritises skills development, innovation, job creation and inclusive economic growth as pathways to national prosperity. According to him, empowering Nigerians with digital and technical skills is essential for building a resilient economy capable of competing in the global digital landscape.

“President Tinubu’s Renewed Hope Agenda is about investing in people, empowering them with relevant skills and creating opportunities for inclusive growth. At NITDA, we are using digital skills and innovation as tools to translate that vision into real economic impact for Nigerians,” he said.

Inuwa urged all stakeholders in Kano to work together to build a functional innovation ecosystem that can unlock the state’s vast potential. He expressed confidence that with the right mindset, strong collaboration and sustained investment in digital skills and innovation, Kano can reclaim its historic leadership role and emerge as a major innovation and entrepreneurship hub in Nigeria and beyond.


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