Power: Celtel spends N1.1tr on diesel annually

Oluwaseun Ayantokun, Lagos - 02.05.2008

The problem of inadequate power supply in Nigeria is taking its toll on companies operating in the economy if Celtel Nigeria’s chairman, Dr Gamaliel Onosode’s statement is anything to go by.

At the launch of the company’s Rural Acquisition Initiative(RAI) in Abuja on Tuesday, he said Celtel alone spent an average of N36,000 on diesel (for generators at base stations) per second, totalling N1.1 trillion in a year.

He added that the situation was compounded by cases of theft at base stations, with an average loss of 15 power generators per month.

“I can tell you that the situation is very disturbing for the foreign investors, who have ploughed over $4 billion into this economy in the past 24 months.

“Something has to be done, and very quickly too. Perhaps, I should say, as I always do, that the grace of God will take us where we want to be,” he said.

He said RAI would be a form of partnership between Celtel and entrepreneurs in the rural areas.

A statement from Celtel said the launch of RAI in Abuja was just the beginning of the replication across Nigeria of the success stories it had in the South-East geo-political zone of the country, where the project had been piloted.

“The idea was to engage rural entrepreneurs as our trade partners; make such entrepreneurs exclusive representatives of Celtel in their communities; offer them a relevant portfolio of Celtel products and services,” Dr. Onosode said.