More than 120 manufacturing companies in Nigeria could fold up and about 60,000 workers thrown out of job if Gaslink Nigeria Limited executes its decision to increase the price of industrial gas by over 200 per cent, the Manufacturers Association of Nigeria (MAN) has warned.
The proposed gas price hike has resulted in a major deliberation between MAN and Gaslink an Oando Plc subsidiary set to put the last nail on the coffin of the dying Nigerian manufacturing sector by increasing the price of industrial gas from N21.05 per scm to N63.27 per scm.
Oando Plc spokesperson, Mr. Niyi Olowola, said Gaslink was still negotiating with its customers on the issue and was positive that they would come to a common ground.
MAN had accused Gaslink of disrespecting the Gas Sales and Purchase Agreement (GSPA) signed between the Gas Company and members of MAN and that Gaslink is bent on cutting off gas supply to manufacturers an action that will further deteriorate the already unstable state of manufacturing business in Nigeria.
Man used the medium to put the country on notice of a major harm to the real sector, which is being perpetuated by Gaslink for more profitable and less selfless reasons, and the dimension of its socio-economic impact on Nigeria.