Power: Illuminating Oyo’s Path to Industrialisation
In the race to industrialise, the ability to generate reliable and affordable power is the game-changer. If you’ve ever tried running a factory, a business, or even an office without steady electricity, you’ll understand the crippling effects of power outages on productivity and economic growth. You might as well be trying to grow crops in a desert. Just ask the industrial giants of the world. Singapore, a nation renowned for its incredible economic growth, has placed energy security at the forefront of its development strategy. Similarly, Rwanda, while smaller in size and resource base, has worked hard to ensure energy availability is not a bottleneck in its industrial progress.
Now, Oyo State, with its bold industrial aspirations, must ensure that its path to industrialisation is lit – literally. But how does Oyo, a sub-national entity, tackle the monumental challenge of energy provision in a country where the national grid remains unreliable? The answer lies in innovation, Public-Private Partnerships (PPPs), and leveraging the resources we have. Let’s explore how Oyo can power its industrial dreams and avoid the power paralysis that has stunted growth in many parts of Nigeria.
Power: The Foundation of Industrialisation
What does industrialisation require at its core? ‘Energy’!!! The world’s most successful industrial economies didn’t just invest in infrastructure and labour – they made sure power was a non-issue. Imagine the tech titans of Silicon Valley or the manufacturing hubs of Germany. Their energy needs are met reliably, ensuring factories, plants, and offices keep running without interruption. Similarly, Singapore’s explosive growth as a global business hub owes much of its success to consistent and affordable power.
Rwanda, too, understands the importance of energy in industrialisation. In the last decade, the East African country has made great strides in electrifying its rural areas and improving its energy mix, which has enabled the growth of industries, especially in agriculture and manufacturing. Today, power is no longer an obstacle but a stepping stone for Rwanda’s ambitious industrialisation goals.
But what about Oyo? What can we learn from these nations, and how can we bring that to life in our state?
Energy Innovation: A Key to Oyo’s Future
The most important lesson from Singapore and Rwanda is that energy is not just a commodity – it is a tool for industrialisation. Oyo has vast potential in this area, but the key to unlocking it is through innovative solutions. Traditional energy infrastructure is often limited by bureaucratic inefficiencies, outdated technology, and systemic corruption. To bypass these hurdles, Oyo State must think ‘outside the grid’ as follows:
1. Solar Power: Oyo’s Sun-Kissed Future
One of the most exciting possibilities for Oyo State is ‘solar energy’. With abundant sunshine year-round, Oyo is in an ideal position to tap into the growing solar energy sector. If Singapore can embrace sustainable energy and harness its geographical advantages, then why can’t Oyo? Oyo needs to expand provision of solar-hybrid mini-grid beyond Otefon, Otu and two other communities for inclusive growth.
By investing in large-scale solar farms and encouraging smaller, community-based solar projects, Oyo can begin to address the energy deficit while also positioning itself as a leader in green energy within Nigeria. This could mean powering both rural and urban communities, as well as creating a sustainable energy future for the state.
2. Off-Grid Solutions for Rural Areas
One of the unique challenges facing Oyo – and much of Nigeria – is that a large portion of the population lives in rural areas where the national grid does not reach. However, this can be turned into an advantage. Off-grid power solutions, such as solar mini-grids, bioenergy, and wind power, have become popular solutions for rural electrification in other parts of the world. Oyo State could spearhead such initiatives, especially in agricultural communities where energy is critical for food processing and storage.
With the commissioning of first phase of the 11 MW Oyo Independent Power project, a private investment of Elektron Energy in December, 2024, the level of preparedness of Oyo State for off-grid is visible but go beyond urban areas.
Additionally, solar-powered irrigation systems could revolutionise agriculture in Oke-Ogun, Ibarapa and other farming areas, making it possible to farm all year round, even during the dry season.
3. Gas Infrastructure: Oyo as an Energy Hub
Oyo is home to large reserves of natural gas, and tapping into this resource could propel the state into the energy elite. Imagine Oyo becoming a regional energy hub – supplying power not just to its own industries, but to neighboring states as well. By investing in the development of gas pipelines, processing plants, and power plants, Oyo can establish a steady and reliable energy source that will fuel its industries for decades to come.
Oyo’s partnership with Shell Nigeria Gas to build $100million build gas distribution network is commendable while other global energy giant, like, ExxonMobil and many successful indigenous energy companies like Makon and IMSE who have already shown interest in Nigeria’s energy sector and Oyo State in particular. A well-managed gas infrastructure could attract multinational companies to Oyo, creating thousands of jobs and stimulating economic growth. With this energy capacity, the state can confidently push ahead with industrial projects, knowing that power is no longer a limiting factor.
Powering Oyo’s Industrial Revolution: The Role of Public-Private Partnerships
In both Singapore and Rwanda, government leadership combined with private sector participation was the winning formula for solving energy challenges. Oyo State must follow suit. Public-private partnerships (PPPs) can help pool resources, expertise, and investment to create a sustainable and affordable energy ecosystem.
Take, for example, the development of the Oyo State Solar Power Plant in partnership with international investors. This facility could become a symbol of Oyo’s commitment to energy independence and industrialisation. But the state must go beyond just building power plants. We must create an energy ecosystem that includes research into energy storage technologies, smart grids, and energy efficiency programs to ensure that power is used optimally and sustainably.
The Role of the Private Sector in Energy Development
While government plays a key role in laying the groundwork for energy development, the private sector will drive its expansion. Oyo can attract energy investors by offering incentives like tax breaks, land grants, and a stable regulatory environment. We must make the state an attractive destination for global energy firms to set up operations.
Local businesses should also be encouraged to embrace energy solutions. By making energy conservation and sustainable power sources a key component of their business strategies, businesses can reduce costs, improve productivity, and play their part in the state’s industrial transformation.
Security and Stability: Power for Progress
But power alone is not enough – it must be ‘reliable’. For industries to thrive, the energy supply must be stable and uninterrupted. Oyo’s power infrastructure must be shielded from vandalism, theft, and the political instability that can affect the national grid.
To achieve this, Oyo must ramp up security efforts around power infrastructure. This could include working with private security firms and community leaders to establish energy protection units that ensure that power lines, power plants, and energy resources are safeguarded.
Call to Action: Powering Oyo’s Future
Oyo’s industrialisation cannot succeed without reliable and sustainable power. The time to act is now. As citizens, we must support initiatives that focus on alternative energy sources like solar, gas, and wind. We must advocate for partnerships between the state government and private energy companies to develop the infrastructure needed to power Oyo’s future.
Oyo’s energy future depends on the actions we take today. Whilst acknowledging the innovation and foresight of His Excellency Governor Seyi Makinde and the brilliant execution of the mandate in the State’s Energy sector led by my dear brother and friend Hon. Seun Ashamu, let us embrace and protect the alternative energy solutions pioneered by our government and encourage innovation in our businesses to mirror these strides – Being aware that switching may be at some investment cost, but it is worth it long-term. Oyo State has the potential to become an energy hub in West Africa – but it requires action from every citizen, business, and policymaker.
In the next series, we will delve into ‘security’ – another crucial pillar of industrialisation, ensuring that Oyo State remains a safe and conducive environment for investment, innovation, and growth.
Stay tuned, Oyo is rising, and we have just begun.
Amofin Beulah Adeoye
