News / Africa

General Electric to Invest $1 Billion in Nigeria

FILE - Due to Nigeria's decrepit national power grid, a man refuels a small generator in central Lagos, Nigeria, August 2010.FILE - Due to Nigeria's decrepit national power grid, a man refuels a small generator in central Lagos, Nigeria, August 2010.
x
FILE - Due to Nigeria's decrepit national power grid, a man refuels a small generator in central Lagos, Nigeria, August 2010.
FILE - Due to Nigeria's decrepit national power grid, a man refuels a small generator in central Lagos, Nigeria, August 2010.
Heather Murdock
American energy giant General Electric says it will invest $1 billion in Nigeria, promising to more than triple the country’s electrical output over the next 10 years. This comes as Nigeria seeks to reform its dilapidated and corrupt power sector.
 
Nigeria is a country that runs on generators. Most people don’t have access to electricity and those that do have it sporadically. On CNN last week, President Goodluck Jonathan said by the end of the year, the country’s daily electrical problems will be more or less solved.  
 
Clement Nwankwo, the executive director of the Policy and Legal Advocacy Center in Abuja, said that maybe the president just doesn’t realize how bad Nigeria's electrical system is.
 
“It’s possible the sound of his generator is far away from his house and office, so he doesn’t know when the switch is made between generators and public power supply, but there is very poor power supply to the generality of homes in Nigeria,” Nwankwo said.

Battling corruption

Nigeria’s power sector is notoriously corrupt, he said, adding that every Nigerian leader claims to be able to stop the blackouts in a single year, and nothing changes.
 
However, Nigeria’s Minister of Trade and Investment Olusegun Aganga said this time will be different.  
 
General Electric’s investment includes partnering with private Nigerian companies and taking over one of Nigeria’s major power plants, building turbines, a new factory and exploring Nigeria’s abundant natural oil and gas supplies.
 
Aganga said the plan will work because it not just about generating megawatts, it's about boosting the national economy and encouraging investment.

“This is the beginning of much more to come. That is a clear message to the country, a clear message to Nigerians and a clear message to the international investor community. It’s not just about power. It’s more than that. It’s about manufacturing,” said Aganga.

Crucial investment

GE says $250 million will be invested immediately and the rest of the money will be spent on upkeep, training and salaries. In a speech Thursday in the capital, GE Chairman Jeff Immelt said the projects will create more than 2,000 jobs in Nigeria and nearly all of them will go to Nigerians.
 
“The time is now. The place is Nigeria. The how is the local team. Now the focus on everything is the execution,” said Immelt.

In the Nigerian development world, the “execution” of projects is usually where things can get stalled by corruption or violence.  
 
Last year, legislators produced a report that detailed how public funds got stolen by oil officials and fuel companies. The money was intended to subsidize the cost of fuel for average Nigerians, but instead, $6.7 billion disappeared. Much of it went to companies that did not work in the fuel sector at all.
 
In the Niger Delta, where the oil is and where GE’s new plant will be, oil companies say they lose as much as a billion dollars in revenue a month to oil theft and sabotage.

You May Like

Photogallery Oxfam: Ebola Could Be 'Disaster of Our Generation'

Meanwhile, Fidel Castro, the former leader of Cuba, says the Caribbean island nation will 'gladly cooperate' with the US in the fight against Ebola in West Africa More

Multimedia Kobani Fighting Sends 400,000 Refugees to Turkey

Refugees receive help from Turkish authorities and individuals, but say much more is needed More

India’s Ruling Nationalist Party Makes Gains in Regional Elections

Bharatiya Janata Party’s huge margin over its rivals puts it on course to form governments in the northern Haryana and western Maharashtra states More

This forum has been closed.
Comment Sorting
Comments
     
by: Pedus from: Australia
February 01, 2013 1:52 AM
We all know that Nigeria has the necessary human and material resources to survive, but at the same time, the leadership of the country at all levels have embraced corruption to a degree that it could potentially cripple the development of the nation. What GE plans to do in Nigeria is a welcome development, but real progress will be made when past and present leaders are made to return the national loot, which runs into billions of dollars.

One billion dollars is a huge amount by all account, but we have Nigerian leaders (past and present) who have this amount in their scattered bank accounts, and the question any sensible person would ask is: how can one man or woman be this rich and can he or she account for the source? People gamble into politics in spite of the associated risks (in Nigeria) because they, for the most part, want to share in the national cake and not because they have the best interest of the country at heart. My prayer is that God will provide Nigeria "leaders" not "rulers" and make the inhabitants of that land "victors" not "victims".

In Response

by: Michael
February 04, 2013 7:22 AM
Corruption is the major problem confronting that nation called Nigeria.Unless that is eradicated,the noble objective of Electricity company can never be actualized.Those notorious and untouchable corrupt gurus will never allow it to see the light of the day if they are not settled.It is an aberration not to give or accept bribe in that country.

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Exclusive: American Joins Kurds' Anti-IS Fighti
X
Zana Omer
October 18, 2014 6:37 PM
The United States and other Western nations have expressed alarm about their citizens joining Islamic State forces in Syria and Iraq. In a rare counterpoint to the phenomenon, an American has taken up arms with the militants' Syrian Kurdish opponents. Elizabeth Arrott has more in this exclusive profile by VOA Kurdish reporter Zana Omer in Ras al Ayn, Syria.
Video

Video Exclusive: American Joins Kurds' Anti-IS Fight

The United States and other Western nations have expressed alarm about their citizens joining Islamic State forces in Syria and Iraq. In a rare counterpoint to the phenomenon, an American has taken up arms with the militants' Syrian Kurdish opponents. Elizabeth Arrott has more in this exclusive profile by VOA Kurdish reporter Zana Omer in Ras al Ayn, Syria.
Video

Video South Korea Confronts Violence Within Military Ranks

Every able-bodied South Korean male between 18 and 35 must serve for 21 to 36 months in the country’s armed forces, depending upon the specific branch. For many, service is a rite of passage to manhood. But there are growing concerns that bullying and violence come along with the tradition. Reporter Jason Strother has more from Seoul.
Video

Video Comanche People Maintain Pride in Their Heritage

The Comanche (Indian nation) once were called the “Lords of the Plains,” with an empire that included half the land area of current day Texas, large parts of Oklahoma, New Mexico, Kansas and Colorado.The fierceness and battle prowess of these warriors on horseback delayed the settlement of most of West Texas for four decades. VOA’s Greg Flakus reports from Lawton, Oklahoma, that while their warrior days are over, the 15,000 members of the Comanche Nation remain a proud people.
Video

Video Turkey Campus Attacks Raise Islamic Radicalization Fears

Concerns are growing in Turkey of Islamic radicalization at some universities, after clashes between supporters of the jihadist group Islamic State (IS) or ISIS, and those opposed to the extremists. Pro-jihadist literature is on sale openly on the streets of Istanbul. Critics accuse the government of turning a blind eye to radicalism at home, while Kurds accuse the president of supporting IS - a charge strongly denied. Henry Ridgwell reports from London.
Video

Video Syrian Defector Leaks Shocking Photos of Torture Victims

Shocking photographs purporting to show Syrian torture victims are on display at the U.S. Holocaust Memorial Museum in Washington. The museum says the graphic images are among thousands of photographs recently smuggled out of Syria by a military policeman-turned-defector. As VOA reporter Julie Taboh reports, the museum says the photos provide further evidence of atrocities committed by the government of Syrian President Bashar al-Assad against its own people.
Video

Video Drought-Stricken California Considers Upgrading Water System

A three-year drought in California is causing a water shortage that is being felt on farms and cities throughout the state. As VOA's Mike O’Sullivan reports, water experts, consumers and farmers say California needs to make changes to cope with an uncertain future.
Video

Video TechShop Puts High-tech Dreams Within Reach

Square, a business app and card reader, makes it possible to do credit card transactions through cell phones. But what made Square possible? VOA’s Adrianna Zhang and Enming Liu have the answer.
Video

Video Church for Atheists Goes Global

Atheists, by definition, do not believe in God. So they should have no need of a church. But two years ago, a pair of British stand-up comedians decided to create one. Sanderson Jones and Pippa Evans told the BBC they envisioned “something like church but without God". Their “Sunday Assembly” movement has grown from a single congregation in London to dozens of churches around the world. Reporter Mike Osborne visited with the members of a Sunday Assembly that now meets regularly in Nashville.
Video

Video Robot Locates Unexploded Underwater Mines

Many educators believe that hands-on experience is the best way to learn. Proving that the method works is a project developed by a group of students at the Stevens Institute of Technology, in Hoboken, New Jersey. They rose up to a challenge posted by the U.S. Department of Defense and successfully designed and built an underwater robot for locating submerged unexploded ordnance. VOA’s George Putic reports.
Video

Video Liberia's JFK Hospital Reopens After Temporary Ebola Exposure

JFK Hospital is Liberia’s largest and one of its oldest medical facilities. The hospital had to close temporarily following the deaths of two leading doctors from Ebola. It is now getting back on its feet, with the maternity ward being the first section to reopen. Benno Muchler has more for VOA News from Monrovia.
Video

Video Hong Kong Protests Expose Generation Gap

Most of the tens of thousands of protesters in Hong Kong are students seeking democracy. Idealistic youths say while the older generation worries about the present, they are fighting for the territory's future. VOA's Daniel Schearf reports from Hong Kong.
Video

Video Liberians Living in US Struggle From Afar as Ebola Ravages Homeland

More than 8,000 Liberians live in New York City, more than in any other city outside of Liberia itself. As VOA’s Bernard Shusman reports, with the Ebola virus ravaging their homeland, there is no peace of mind for these New Yorkers.
Video

Video Kurds See War-Ravaged Kobani As Political, Emotional Heartland

Intense fighting is continuing between Islamic State militants -- also known as ISIS or ISIL -- and Kurdish forces around the Syrian town of Kobani, on the Turkish border. The U.S. said it carried out at least nine airstrikes against Islamic State positions Friday. Meanwhile the U.N. has warned that hundreds of civilians would be massacred if the town falls to the militants. Henry Ridgwell looks at the strategic significance of the city.

All About America

AppleAndroid