Lubcon Boss Expresses Concern over Epileptic Power Generation in Njgeria.

By Hammed Shittu

The Group Managing Director of Lubcon lubricant manufacturing company, Ilorin, Mr. Adesoji Fagbemi has expressed concern over the epileptic power generation in the country.

He said the development has continued to have a serious effect towards the growth of local manufacturing industries in the country.

Speaking with journalists in Ilorin on the sideline of the 30th anniversary of the establishment of the company, Fagbemi added that the development has continued to have adverse effect on production capacity and profitability of the manufacturing industries in the country.

According to him, “There’ is electricity power challenge affecting manufacturing industry in the country as the. capacity of electricity power being generated in the country is not adequate to meet the.production capacity of the various manufacturing companies in the country”.

He said, “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 diesel 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 added that, “the company has plan to invest in alternative energy to tackle power challenges in the country in partnership with consortia of organizations on gas production in Ajaokuta gas park.

“Hopefully, when operational, it would solve power generation and distribution in the country and boost trade and investment, especially among micro, small and medium enterprises (MSMEs) in and around the state.”

He also said that the group of companies was planning to go into agriculture towards serving as platform for agric processing and export for MSMEs with establishment of an industrial agro park for entrepreneurs to maximize their potential in agro processing.

He said, “We’ve been supporting agriculture before now as we supply lubricants for tractors, machine tools, etc.”

Fagbemi, who called on security operatives to improve on their logistics to tackle economic saboteurs who engage in adulteration of lubricants and engine oil in the country, said that regulators are sometimes incapacitated to battle people behind adulteration.

He also appealed to commercial banks to assist manufacturing industry with adequate financing, describing sourcing funds from banks as herculean. “We need support from banks, but those in banking sector continue not to be forthcoming”.

Fagbemi stated further that, “the company, in its 30 years of existence has won several awards as a result of its adherence to high quality standards, pursuit of innovation and excellence.

“Lubcon has won the following awards and certifications amongst others; the first lubricant blending company to win the prestigious NIS (Nigeria Industrial Standards) award for Quality; the first downstream Oil & Gas company to be ISO 9001:2000 certified; recipient of the National Productivity Order of Merit.

He however said that, the company has lined up a number of activities and events to commemorate its 30 years of existence.