GE getting it right in Nigeria
GE is planning to invest $1bn over the next five years in the Nigerian oil and gas services sector. In itself, not very big news. Big multinational companies are frequently investing large sums of money looking to take advantage of Nigeria’s number one international export.
But GE’s investment is different. Unlike so many former oil and gas-related investments by large multinationals, GE is committing hundreds of millions of dollars to benefiting the community in which it operates. And this is no mere ‘box ticking’ gesture to keep the local authorities happy.
Of the $1bn it plans to invest, GE says:
“$750m will be allocated to sourcing local supplies and employee training in the surrounding communities, as well as expanding GE’s service facility in Onne [in port Harcourt].”
The remaining $250m, GE says, will go towards building a manufacturing plant that will employ and train 2,300 local people in nearby Calabar.
Empowering local people
This is an astonishing amount of money to be spending on helping local communities. But GE says the benefits of reliable local suppliers and a skilled local workforce will in the long term far outweigh the cost of the initial investment. Kenny Yeats, GE’s operations leader and regional services manager, says that investing in Africa’s future leaders is a “big focus” for GE. “We believe that when you equip people with necessary tools and empower them with specific skills plus techniques, they would be able to deliver sterling performance,” he says.
Foundations built on local know-how
I agree completely with Kenny. It is far more cost effective in the long term to train and employ people from the surrounding area than to draft in expensive professionals from abroad. With this in mind, GE is spending $2.4m alone on training Nigerian engineering graduates to form the core technical staff of its oil services operations in the Port of Onne.
And, according to GE’s website, the Calabar site will: “Lay the foundation for knowledge and technology transfer to Nigerian sub-suppliers [and] academic institutions.” The site will also include a training centre for technical and leadership development, with GE planning to invest $2m to support building and equipment upgrades, curriculum development and teacher training.
This is a far-sighted investment that will reap long-term rewards, both for GE and Nigerians. Bravo GE!
Rosalind Kainyah, MBE, Founder and Managing Director
What we are up to & News
Joël Rault joins Kina’s Advisory Board
We are thrilled to have Joël Rault, Chairman and Founder of Hermès Advisory, join our Advisory Board. Joël has previously served as an Ambassador Extraordinary and Plenipotentiary for the Government of France and has extensive experience in administration and the management of private companies. He is also an emerging leader of the Harvard Kennedy School. We are looking forward to having his advice and guidance as we forge ahead with advising companies operating in Africa on Sustainability. For our full press release, ‘click here’
Invest Africa Ltd’s Webinar On Renewable Energy Solutions in Africa
Join our Managing Director, Rosalind Kainyah MBE, as she moderates Invest Africa’s webinar on Renewable Energy Solutions in Africa – Covid19, Sustainability & the future of the continent with Jennifer Boca of Lekela Power, Mansoor Hamayun of BBOXX and Scott Mackin of Denham Capital. They will be looking at whether investment bodies will have to pivot away from renewable energy assets in light of COVID-19; how renewable energy operations have been affected by the virus; the multilateral funds such as AfDB’s SEFA play in renewable energy developments across Africa; and the importance funds should place on ESG standards in the investment decision?
Date: Wednesday 6 May 2020. Time: 12:00-13:00 BST
Kina Advisory is proud to be an event partner of DLA Piper – Africa Week 2019
On the 28th November, Kina Advisory is proud to be an event partner of DLA Piper – Africa Week 2019. The theme for the day is“Africa: the future of trade and investment” and will be facilitated by Lanre A. editor of Nurmara and former editor of This Is Africa at the Financial Times and African Business. Our MD Rosalind Kainyah MBE will be moderating a session in the afternoon on: “Developing sustainable energy and natural resource projects: Implementing ESG in practice” | The panel will be made up of Jack Cunningham – Sustainability, Policy & Risk Director, Gemfields, Rhys Davies – Partner, DLA Piper, Chris Goodwin-Hudson – Founder, Watchman & Carla McRoberts – Managing Director, Veracity Worldwide | For a full breakdown of the day click here:
Rosalind Kainyah MBE will be chairing the 5th Africa Oil Governance Summit
Rosalind Kainyah MBE will be chairing the 5th Africa Oil Governance Summit on the 22nd & 23rd October 2019 & facilitating the 1st panel on “Value addition to petroleum resources extraction through industrialization: The possibilities and the challenges”. For a full break down of speaker & agenda, click here.
Africa | Attracting a New Wave of Investors
Rosalind Kainyah our Managing Director will be moderating a panel discussion for Invest Africa & DLA Piper on Wednesday 25th Sept 2019. The Topic: Attracting a New Wave of Investors: Corporate Governance and Meeting International Standards | For the full details of who’s on the panel and focus points, click here.