Tony Elumelu, chairman of Transcorp Group, stresses that Nigeria cannot achieve its $1 trillion economy goal without fixing the country’s power sector. He calls for urgent reforms, citing the federal government’s slow pace in implementing changes, while highlighting Transcorp’s growth despite challenges.
Tony Elumelu, chairman of Transcorp Group, emphasized that Nigeria’s ambition to reach a $1 trillion economy cannot be realized without urgent reforms in the country’s power sector. Speaking at the company’s annual general meeting in Abuja, Elumelu called access to reliable electricity the most critical factor for transforming Nigeria’s economy, especially as the nation strives to increase the non-oil sector’s contribution.
He acknowledged the government’s attempts to address power sector challenges, including President Bola Tinubu’s directive to remove obstacles in the sector, but expressed concerns over the slow pace of implementation. Elumelu called on key stakeholders to actively work towards realizing the president’s vision for the energy sector.
In addition to the power sector's woes, Elumelu revealed that the federal government owes Transcorp Group over N600 billion ($400 million) for electricity supplied to the national grid. He stressed that despite their commitment to supporting the government, the burden of subsidizing the sector was becoming increasingly difficult for Nigerian investors.
Despite these challenges, Elumelu highlighted the company’s growth, noting that Transcorp’s market capitalization had skyrocketed from under N20 billion to over N4.5 trillion since his group took over in 2011. Transcorp Power alone is valued at over N2.7 trillion.
Looking ahead, Elumelu mentioned the company’s plans to diversify into sectors such as agriculture and renewable energy and reaffirmed their dedication to transforming Nigeria into a hub for global events with the completion of a new 5,000-capacity event center at Transcorp Hilton in Abuja.
