Africa’s most populous nation has enjoyed a bumper year so far in 2014, most notably with the announcement in April that it surpassed South Africa as the continent’s largest economy. However, this is not to say that path-breaking changes haven’t been gaining pace now for years, as the country has succeeded in distancing itself from the reputational problems that best characterised its past.

Now that Nigeria has come to rank among the world’s leading economic superpowers, policymakers along with major corporate names must now take pains to focus on a long-term strategy, in order for the country’s successes to continue far into the future.

Stag is keeping abreast of the trends in the sector and is currently positioning itself at the centre of the power sector

Critical to Nigeria’s economic development is the engineering sector, which has long stood as a major driver of growth and an essential solution in addressing the country’s infrastructural deficiencies. The aim for Nigerian policymakers, as is the case with many other emerging markets, is to capitalise on the opportunities that have come as a result of rapid economic growth and focus first on improving the building blocks on which long-term prosperity depends.

We spoke to Alfred Jagun, CEO and Managing Director of Stag Engineering Nigeria Ltd, winner of European CEO’s Best Engineering Company – 2014, about the various ways in which Nigeria’s engineering sector has grown, and how the company plans to build upon its already impressive reputation in the region.

How has Nigeria’s engineering sector contributed to the country’s growth in recent years?
Nigeria is now recognised as the largest economy in Africa due to the growth in GDP seen in recent years, and, according to the Nigeria Bureau of Statistics, national GDP stands at NGN80.22trn. Given that the engineering sector underpins a lot of other sectors, such as construction, power, agriculture, telecommunications and so on, it plays a prominent role in its contribution to GDP.

This success is due principally to the sector’s expertise, which generally amounts to enough talent and capacity to cope with any project that might come its way. This expertise can best be seen in the construction and telecommunications industries, which are booming sectors in the country. What’s more, the spectrum of the ongoing engineering activities and the growth in GDP has enhanced the development and training of young engineers, as well as the creation of job opportunities.

How has it grown in recent years?
There has been tremendous growth in recent years, with some of the more notable opportunities opening up in the power and communications industry over the course of the last 10 years. The telecommunications industry has over 125 million subscribers, most of whom access data via their mobile phones, a trend that has also paved the way for e-commerce in the country, with the likes of Jumia and Konga leading the way.

The power sector has also undergone a series of dramatic changes, owing to the privatisation of public sector infrastructure and the opening up of the power market to private sector participants. The construction sector, particularly in Port Harcourt, Abuja and Lagos, has also seen innovative projects like the Eko Atlantic City enter into the development phase.

The sector has grown in terms of innovation and created millions of jobs, while at the same time giving rise to the implementation and enforcement of relevant policies and laws.

In what ways is Stag leading the way in Nigerian engineering?
Well, Stag is stimulating the Nigerian engineering sector through the evaluation and implementation of best practices and through collaboration with other professional organisations and individuals in the industry. Stag is keeping abreast of the trends in the sector and is currently positioning itself at the centre of the power sector in the country by providing clean and uninterruptible power to its inhabitants.

The company is achieving this through the provision of power captive power generation solutions, the maintenance of high and medium voltage infrastructure, construction of power stations up to 30MW, and by becoming a vendor for metering and other equipment for the distribution and transmission sectors of the industry.

Tell us about some of Stag’s biggest achievements over the last few years
Stag specialises in the provision of power generation equipment in the range of 10-5,000kW using both basic and synchronising systems. The company has supplied and installed power stations and supplied solutions for government institutions, hospitals, Evans Plc, Sheraton Abuja and Shoprite in only the last few years. It is also involved in rural electrification and power supply to communities and is currently in the process of expanding its range in order to become an independent power producer.

What are Stag’s key products?
Stag specialises in power and marine engineering support services and supply, and represents a number of major industry names such as MTU, Rolls Royce, SDMO and Kohler products and services in Nigeria. We also represent reputable organisations in Europe and America, such as John Deere Power, Stanayne, and a number of others. Other services include engineering support services such as design, feasibility studies, and the construction of power station and distribution infrastructure and equipment such as transformers, RMUs, outdoor breakers, load break switches, compact sub-stations, outdoor metering units, smart meters, and other high tension equipment.

In which areas has Stag seen the greatest opportunities?
The main opportunities in the Nigerian and African regions are in the provision of power engineering, most especially in the construction of embedded power stations and power distribution systems. The main policy and ambition of every African government is the development of sustainable power solutions to enable economic growth.

The Nigerian Local Content Act also presents opportunities in the oil and gas engineering sectors, which has long been dominated by foreign enterprise. The development of the offshore patrol vehicles of all the navies of the continent also brings about more opportunities in the marine engineering sector.

How important is corporate social responsibility to your business?
Corporate social responsibility (CSR) is very important to Stag. As engineering is core to our business, the company’s CSR is focused on the training and development of prospective engineers for various sectors. Aside from providing training to employed engineers, the company also sponsors young students enrolled in engineering colleges throughout the county.

How do you see the industry developing over the coming years?
I believe there will continue to be inflows of foreign direct investment for the construction, power, telecommunication, oil and gas and agricultural sectors. I also think we will see a lot more innovation in products and services in these same sectors. With these two ingredients, I believe the Nigerian engineering sector will play an even greater part in the country’s GDP and, more indirectly, the standard of living among its people.

What are Stag’s future plans?
The company can only move and develop by expanding upon its existing talents. Stag fully intends to continue to train and develop its engineers to the utmost international standards in the field of power generation, power distribution and marine engineering.