The Manufacturers Association of Nigeria (MAN) has revealed that maintenance lapses account for between 10 and 15 per cent of energy waste in factories, while most facilities lack sub-metering systems needed to track consumption effectively.
The findings were presented at the National Stakeholders’ Sensitisation Workshop on ISO 50001 and 14001 standards held in Lagos on Tuesday. The workshop followed a Cleaner Production Assessment (CPA) conducted in 42 industries across four geopolitical zones.
The assessment was carried out under the United Nations Industrial Development Organization-backed GEF-UNIDO Industrial Energy Efficiency and Resource Efficiency Cleaner Production Project. It covered key sectors such as food and beverages, basic metals, wood and wood products, textiles and leather, and petrochemicals.
Presenting the technical findings, Industrial Energy Efficiency (IEE) and Resource Efficiency Cleaner Production (RECP) National Expert, Obafemi Adejumo, said the study exposed a wide gap between current industrial practices and global best standards.
“What I have noticed is that there is a big gap between where we should be and where we are at the moment. Not all parts of the industry are doing well with energy efficiency. Some industries are already doing well, but a lot of other industries have not really plugged into it,” Adejumo said.
According to the CPA, compressed air systems account for about 25 per cent of electricity losses in factories, largely due to leaks and improper usage. In some cases, optimisation enabled operators to shut down one compressor entirely.
Steam systems accounted for 30 per cent of losses, while lighting contributed 18 per cent. The assessment also identified thermal losses from poor insulation and flue gases in boilers and furnaces. It further highlighted inefficient motor systems running at partial loads and the absence of Variable Speed Drives in many facilities.
A key concern raised in the report was the absence of sub-metering systems.
“Data gaps are a serious issue. Most facilities lack sub-metering, making it difficult to manage what isn’t measured,” the assessment noted.
The study also found that idle equipment in textile and leather factories, combined with weak maintenance culture, contributed to avoidable losses of up to 15 per cent. Grid unreliability in Kano and Anambra was said to have amplified energy losses, while thermal inefficiencies were more pronounced in the basic metal and petrochemical sectors.
However, the food and beverage sector recorded notable progress. A Lagos-based plant reduced compressed air leaks by 20 per cent following system optimisation.
Overall, the CPA estimated that industries could achieve between 20 and 25 per cent energy reduction. This translates to about 500 megawatt-hours of savings per plant annually if integrated energy-efficiency measures are fully implemented.
MAN urged manufacturers to adopt ISO 50001 and ISO 14001 standards to institutionalise energy management and cleaner production practices.
National Project Coordinator of the GEF-UNIDO IEE/RECP Project, Jacob Oladipo, explained that ISO 50001 focuses on energy efficiency, while ISO 14001 addresses resource efficiency and cleaner production.
He added that poor water management practices were also uncovered during the assessment. According to him, many industries rely on boreholes but fail to measure daily water usage, leading to waste.
“If you are producing and you don’t know the volume of water you are using, how will you know the volume of water that you are wasting?” Oladipo asked.
He stressed that recycling water reduces overall consumption and improves resource efficiency.
Adejumo emphasised that top management commitment remains critical to closing the efficiency gap.
“If you can reduce energy consumption, then your cost of production will be reduced. When you save energy costs in your facility, you boost the sustainability of your organisation and make it competitive,” he said.
He warned that inefficiencies also increase carbon emissions, noting that burning more fuel due to operational gaps leads to higher emissions.
Meanwhile, the Chief Executive Officer of Spectra Industries Ltd, Duro Kuteyi, said the initiative exposed hidden financial leakages in factories. He noted that waste heat from generators can be recovered and reused, while waste streams can be commercialised to offset energy costs.
In his welcome address, MAN Director-General Segun Ajayi-Kadir, represented by National Technical Coordinator Dr Oluwasegun Osidipe, described the project as a defining moment for the manufacturing sector.
He said manufacturers must champion sustainable practices to enhance competitiveness and resilience in a rapidly evolving global marketplace.
Policymakers were also urged to create an enabling environment that supports energy management systems and cleaner production initiatives.
