Economy
Power Crisis: 3 Nigerian Engineers Make Major Breakthrough
By Dipo Olowookere
Three graduates of Covenant University, Ota, Ogun State have come up with what might finally solve the age-long power supply crisis in Nigeria.
The three young men; Adeyinka Amurawaiye, Oluwaseyi Oguntade and Segun Busari have, through their company, Intellectric Systems, designed solar-based renewable energy prototypes, which consumers do not even have to own to use.
At the moment, consumers, beset by poor power supply on the one hand and the noise and pollution of generators on the other, are forced to buy tons of heavy-duty batteries and acres of solar panels with inverters for their energy needs, which do not come cheap.
Team leader of Intellectric, Adeyinka, recalled how they started what might turn out to be Nigeria’s first pay-as-you-go solar-power system.
He said, “Seyi and I had previously discussed the non-uniformity that exists in the renewable alternative power market. We agreed that the reason why people don’t buy from solar and battery systems was that there was no proper and simple enough standards on what to expect. We also asked ourselves how we could make the system cheaper for consumers.”
Even when Adeyinka, Seyi and Segun saw what they thought was a market gap, they still spent weeks contemplating their next move. Their engineering minds (Adeyinka studied Chemical Engineering, while Seyi and Segun studied Computer Engineering) were restless, but thanks to a chance programme Adeyinka watched on Bloomberg TV, they held back from jumping the gun. They decided to test the market first.
“Something struck me from the programme,” Adeyinka said. “I discovered a business strategy we could use to enter the market. We could promise to cut the consumer’s energy bill from the first month and, instead of making them buy and own batteries, panels and all the paraphernalia, rent it to them for a monthly flat rate.”
Adeyinka and his friends carried out a market survey, covering bank managers, frozen food sellers and shop owners, and the idea was well received.
They pooled their savings, but had barely finished the first prototype when they ran out of cash. They approached an investor for N5 million, who asked for proof of concept and when they told him it was still work in progress, he gave them N870,000 with which they produced a prototype that could generate 3.5kva – enough to light up an average three-bedroom flat with television and perhaps a medium-sized fridge, depending on the rating.
Intellectric Systems’ solar-power system is like the normal solar and battery system with an inverter supplying the final output of power. The difference, however, is that the entrepreneurs have embedded proprietary electrical circuits in their own system.
The standard prototype, which according to Adeyinka is able to generate 5kva of power, also requires fewer batteries and panels to operate. And under the company’s “rent a solar power” option, the consumer does not have to “own” the system to enjoy the service.
Adeyinka said, “Our intention is to focus on users who are currently spending a lot of money on power. We would like to help them save up to 30 percent of their monthly bills right from the first month. We would start with small businesses.”
As the product nears market launch, Adeyinka and his partners have spent the last two months testing the system. He said experts in the different components have also been invited to review the prototype, which will soon be subjected to further stress and field tests.
With a smile, Adeyinka said, “We’re coming into the play with a 24-hour system. It is not expected to discharge. It’s an autonomous system that uses solar power to make things sustainable.”
The billing system will also be different. It will be a flat rate on the capacity installed in the building – the higher the capacity, the higher the rate.
The currents of the journey have not been without their high-tension moments.
“People in Nigeria are used to seeing finished products, which are usually imported,” Adeyinka remarked. “When we tell potential investors that we have working prototype just about to enter the market, it doesn’t make sense to them. That is a major barrier.”
A number of failed experiments also gave the team sleepless nights. “Those were our lowest moments,” he said.
Out of the ashes of those failures, however, Intellectric Systems has grown and Adeyinka and his teammates have also grown with it.
Looking to the future, Adeyinka said: “We expect the business to contribute up to 500kva of stable electricity to the country through different private applications in the next three to five years. We’re in a major growth industry and we’re playing for the long term.”
Source: Youth Enterprise With Innovation in Nigeria Connect.
Adeyinka Amurawaiye
By Adedapo Adesanya
All insurance and reinsurance companies operating in Nigeria are required to remit 0.25 per cent of their annual net premium income to a new fund, according to new guidelines by the National Insurance Commission (NAICOM).
The insurance regulator has issued binding guidelines for a new industry-wide protection fund that will compel every licensed insurer and reinsurer in the country to make annual cash contributions, or risk losing their operating licence.
NAICOM published the framework for the Insurance Policyholders’ Protection Fund (IPPF) under the authority of the Nigerian Insurance Industry Reform Act (NIIRA) 2025, which was signed into law last August.
The guidelines, which take effect immediately, did not disclose an initial capitalisation target for the fund or a timeline for when it would be considered adequately funded for resolution purposes.
The IPPF is designed to function as a resolution backstop as a capital pool available to settle outstanding policyholder claims when a licensed insurer or reinsurer becomes insolvent or enters regulatory distress.
The mechanism addresses a longstanding vulnerability in the Nigerian market, where policyholders holding valid claims against failed insurers have historically had no guaranteed recourse.
The 0.25 per cent payments are due into designated deposit money bank accounts no later than June 30 each year.
NAICOM said it will supplement industry contributions by injecting 0.25 per cent of the balance held in the existing Security and Insurance Development Fund (SIDF) into the IPPF annually, creating a dual-stream capitalisation model.
The guidelines state explicitly that failure to remit the full assessed contribution within the stipulated timeframe shall constitute grounds for suspension or cancellation of an operator’s licence. The same penalty framework applies to defaults on any loans extended from the fund.
Day-to-day management of the IPPF will be delegated to an independent professional Fund Manager, subject to a minimum paid-up capital threshold of N5 billion.
Investment activity is restricted to low-risk, government-backed instruments. This is a deliberate constraint intended to preserve liquidity and protect the fund from market volatility.
Members are bound by a Code of Conduct that bars them from using their positions for personal advantage or to direct decisions in favour of any insurer, reinsurer, or connected party.
The guidelines introduce a mandatory early-warning mechanism: insurance operators who become aware of imprudent practices within their organisations or elsewhere in the industry are required to report such conduct to NAICOM within five working days.
The commission has provided explicit anti-retaliation protections, stating that no whistleblower shall be subjected to retaliation, intimidation, or any form of adverse action for making a disclosure.
By Modupe Gbadeyanka
President Bola Tinubu has been called on to use his influence to halt the passage of the proposed Customs, Excise and Tariff Amendment (CETA) Bill.
The proposed piece of legislation is currently before the National Assembly, and it seeks to introduce a percentage levy per litre of the retail price on non-alcoholic beverages.
In an outlined advertorial published in key newspapers, the Organised Private Sector of Nigeria urged the federal government to engage with the leadership of the parliament to stop the ongoing legislative process with a view to stepping down the CETA Bill, thus allowing the executive-led fiscal reforms to be fully integrated and aligned.
The OPS comprises the Manufacturers Association of Nigeria (MAN), Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Nigeria Employers’ Consultative Association (NECA), Nigerian Association of Small Scale Industrialists (NASSI), and the Nigerian Association of Small and Medium Enterprises (NASME).
In the advertorial signed by the presidents of all members of the group, it was submitted that allowing for more talks would strengthen policy coherence, enhance predictability, and improve the effectiveness of the nation’s excise framework.
It was stressed that halting the bill would also encourage structured, evidence-based engagement with industry stakeholders, thereby ensuring that any future measures will effectively balance revenue generation, public health objectives, and economic sustainability.
“While we fully support well-designed fiscal reforms and evidence-based public health interventions, we are concerned that the Bill, in its current form, raises significant social, economic, administrative, and legal issues that could undermine Your Excellency’s broader fiscal reform objectives,” the body stated.
While calling on the government to restrain the Senate from proceeding with the process, the organisation noted that the proposed levy would therefore constitute a regressive measure, reducing consumer purchasing power without providing viable alternatives or meaningful public health support.
Commenting on the impact of such a levy on industry stability, investment, and employment, OPS stated that the sector was already under severe pressure from exchange rate adjustments, high energy costs, and rising prices of imported inputs, packaging materials, and machinery.
“An additional excise burden would further increase production costs, reduce capacity utilisation, delay or cancel planned investments, and threaten the livelihoods of thousands of small distributors, retailers, and informal traders who depend on high-volume, low-margin sales.
“These pressures would inevitably be passed on to consumers through higher prices, leading to reduced demand and potential further job losses across the value chain,” it stated.
While commending the president for the leadership and bold economic reforms undertaken since assuming office in 2023, it noted that the reforms have played an important role in restoring macroeconomic stability and rebuilding confidence within the business community.
By Adedapo Adesanya
Three stocks further weakened the NASD Over-the-Counter (OTC) Securities Exchange by 1.12 per cent on Wednesday, April 8, with the Unlisted Security Index (NSI) down by 44.43 points to 3,930.91 points from the previous day’s 3,975.34 points, and the market capitalisation went down by N26.59 to N2.351 trillion from N2.378 trillion.
MRS Oil lost N11.00 during the session to close at N161.00 per share compared with Tuesday’s closing price of N172.00 per share, Central Securities Clearing System (CSCS) Plc dipped by N3.74 to N67.95 per unit from N71.69 per unit, and Afriland Properties Plc fell by N1.10 to sell at N15.95 per share versus N17.05 per share.
There were two gainers at the midweek trading session, led by IPWA Plc, which appreciated by 55 Kobo to N6.61 per unit from N6.06 per unit, and First Trust Mortgage Bank Plc improved its value by 4 Kobo to N2.32 per share from N2.28 per share.
Yesterday, the volume of securities rose by 620.4 per cent to 5.7 million units from 797,264 units, the value of securities increased by 25.1 per cent to N32.7 million from N26.1 million, and the number of deals climbed by 12.1 per cent to 37 deals from the preceding session’s 33 deals.
Great Nigeria Insurance (GNI) Plc ended the day as the most traded stock by value on a year-to-date basis with 3.4 billion units sold for N8.4 billion, trailed by CSCS Plc with 57.2 million units exchanged for N3.9 billion, and Okitipupa Plc with 27.5 million units traded for N1.8 billion.
GNI Plc also finished the session as the most traded stock by volume on a year-to-date basis with 3.4 billion units valued at N8.4 billion, followed by Resourcery Plc with 1.1 billion units worth N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units transacted for N1.2 billion.
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