Abstract:
The irregularity of power supply in Nigeria has necessitated the use of alternative source of
power supply for banking operations in the Nigerian Deposit Money Banks and this has
hampered the financial and operational performances of the banks. Therefore, this study
examined the effect of sustainable energy consumption on the performance (financial and
operational) of Deposit Money Banks in Akure, Ondo state, Nigeria. A well-structured
questionnaire was used as basis for investigation, a sample of 77 respondents who are staff
(facility manager, Unit manager and operational manger) of Deposit Money Banks in Akure
were investigated. Frequencies, tables, percentages, relative importance index, mean,
standard deviation were used to analyse data while partial least square structured equation
modelling (PLS-SEM) was used to test the hypotheses.
This study identifies Generating Plant as the most used alternative source of energy with a
mean value of 4.19 and also a large significant effect of sustainable energy consumption on
financial performance, a small significant effect of sustainable energy consumption on
operational performance. Thus, it is concluded that sustainable energy consumption is an
important factor to be considered for financial performance in Deposit Money Banks. Based
on these findings its recommended that Deposit Money Banks should embrace the use of
renewable energy for banking operations such as the adoption of environmental
technologies, energy efficiency education and investment in Green facilities for better financial and operational performance.
