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Sunday, 22 November 2015

NIGERIA’S ENERGY SECTOR’S LEVERAGE FOR EONOMIC DEVELOPMENT.



NIGERIA’S ENERGY SECTOR’S LEVERAGE FOR EONOMIC DEVELOPMENT.                                             
BY
RAHEEM SHEFIU
                                                        bestraheems@yahoo.com
                  CENTRE FOR ENTREPRENEURSHIP DEVELOPMENT,CED,
                 YABA COLLEGE OF TECHNOLOGY, YABA, LAGOS, NIGERIA.

                                                           ABSTRACT
Energy is the oxygen that the Nigeria’s economy needs for greatness. The energy sector plays a major role in economic transformation of a country, a driven force behind a sustainable economy. The projected growth of an economy depends heavily on the performance and growth of the power sector. 

Various policies that promote a secure, competitive, and reasonably priced energy supply will help attract, retain, and expand the growth of an economy.  Access to clean modern energy services is an enormous challenge facing the African continent because energy is fundamental for socioeconomic development and poverty eradication. Today, 60% to 70% of the Nigerian population does not have access to electricity. There is no doubt that the present power crisis afflicting Nigeria will persist unless the government diversifies the energy sources in domestic, commercial, and industrial sectors and adopts new available technologies to reduce energy wastages and to save cost. Nigeria. Energy efficiency leads to important social benefits, such as reducing the energy bills for poor households.

In other to sustain this economic development, additional energy resources, including electricity generation and infrastructure improvements, must be effectively utilized. Energy is one sector with great impact in the economy; the energy sector can influence the economic development mainly in two ways, Capacity for large investments and price of energy, the investments in the energy sector can stimulate national enterprises and the industrial capacity, while the price of energy is pervasive to all sectors and influences the competitiveness of the country.

Energy is an essential ingredient for economic development. As both agricultural and industrial activities increase, the demand for energy similarly increases. In the developing world provision of a greater access to energy has been suggested by some that will help grow their economies and improve the lives of the poor. The energy supply mix must thus be diversified through installing an appropriate infrastructure and creating full awareness to promote and develop the abundant renewable energy resources present in the country as well as to enhance the security of supply .The Petroleum Industry Bill(PIB) when it becomes a law will also bring about to a great extent the desired revolution needed in the Nigeria.s energy sector which will engender a prosperous nation.

Keywords:  Energy sector,   Energy sources, Energy reforms, Economic growth

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