"I pass my neighbour," Lowest-priced Generator Hits N100k, as Nigeria Becomes Highest Importer in Africa
- Nigeria’s most famous power generating set, Tiger TG1550/1580 generator, now sells for N100,000
- The generator, which sold for less than N10,000 nine years ago, is an apt indicator of the effect of inflation on the Nigerian economy
- Furthermore, Nigeria is currently named Africa’s highest importer of petrol and diesel generators
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Recent findings show that Nigeria’s budget petrol generator, known locally as Tiger or "I better pass my neighbour", is now N100,000.
Rising from less than N10,000 in less than a decade, the ubiquitous petrol-generating set has grown above its best-selling proposition, which made it the most popular and sought-after generating set in Nigeria.
Source: Getty Images
The increasing price of generators indicates inflation in Nigeria
The skyrocketing price of the generating set reveals the effect of hyperinflation in Nigeria amid high foreign exchange rates, forex scarcity and volatility.
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BusinessDay reports that small retail store owners, barbers, and other small businesses are feeling the squeeze of the escalating price of petrol generators in Nigeria, where the electricity supply is abysmal.
A recent survey of SMEs by PricewaterhouseCoopers (PwC) states that electricity is responsible for the highest cost of operations, followed by rent and capital.
A survey by a retailer shows that the Tiger TG1550/1580 generator sells for N110,000. A 1.1 KVA petrol generator sells for N109,000 at Sumec Plaza in Apapa, Lagos.
According to a report by Access Energy Institute, a German-based energy think-tank, the small generator market is projected to increase by 3% annually to 2030 due to a burgeoning population and economy.
Demand for generators to increase
The report said demand for the product will increase by eight million units by 2030.
Nigeria is the highest importer of generators
The report comes as Nigeria is named the highest importer of petrol and diesel generators in Africa by the International Renewable Energy Agency.
The agency disclosed that Nigeria’s on-grid generation is dominated by natural gas power stations at 86% and large hydropower plants at 14%.
The report said:
“While the Nigerian power sector continues to struggle, poor financing remains the key bottleneck to lack of progress. The Nigerian power sector will require substantially more investment to achieve a constant power supply.
Top 10 African countries with good electricity
Recall that Legit.ng reported that Africa Facts Zone has again posted another list rating African nations. They compiled the top 10 African countries with good electricity access this time.
Mauritius and Tunisia ranked first and second on the list with a 100% electricity supply. Egypt, Algeria, Morocco, and Seychelles came next with 99.8%, 99.1%, and 99% electricity respectively.
No country on the list has below 80% electricity access as South Africa and Ghana, nations in the ninth and 10th positions, have 84.3% and 84.2% power access rates.
Source: Legit.ng
