Sambo: Power sector reform to revitalise Nigeria’s economy Vice President and Chairman, National Council on Privatisation (NCP), Mohammed Namadi Sambo, on Saturday said Nigeria cannot attain the desired economic growth and development without adequate power. Sambo made the observation on Saturday during the physical handover of Shiroro power plc to its new owners, North-South Power Company Limited. On-going reforms in the sector, the Vice President said was informed by the realisation by the President Goodluck Jonathan led administration that electricity plays a very critical role in the development of every sector of the economy. The handover ceremony was a culmination of 14 years of painstaking efforts by the NCP and its Secretariat, the Bureau of Public Enterprises (BPE), the Federal Ministry of Power, and other key stakeholders towards efficient reform and liberalisation of Nigeria’s electricity industry. Total reforms in this very critical sector which commenced in 1999 with the inauguration of the Electricity Power Implementation Committee (EPIC), he said also culminated into the development of the National Electricity Power Policy (NEPP) 2001, the enactment of the Electricity Power Sector Reform Act 2005 and the establishment of Power Holding Company of Nigeria (PHCN) to reinforce the repeal of the now defunct, National Electric Power Authority (NEPA) Act. The new Act, according to Sambo gave rise to the creation of 18 successor companies from the unbundled PHCN in three categories, Generation (Six companies), Transmission (one company) while Distribution also has (11 companies). He said, “The Electric Power Sector Reform Act 2005 was a product of about five years of hard work by renewed experts in the field of electricity and utility reforms. The Act was necessary foundation for charting a new course for a sector that had delivered far below the most minimum expectations of Nigerians.The 2005 Act changed the legal and regulatory environment for the power sector in Nigeria and sought to create a sustainable electricity supply industry”. The reforms according to Sambo was a necessary tool for the laying of a solid foundation for sustainable power generation and as well, service efficiency in the power sector, pointing out that the privatization of the sector was part of key components of the reform and one of the pre-conditions for the start up of a competitive electricity market in Nigeria. The electric power reforms programme became imperative in order to improve efficiency, reduce losses and costs, the Vice President pointed out, adding that he has no doubts that this reform will lead to increased access to electricity, engender private sector investments, improve infrastructure and as well, create employment for the growing population of jobless Nigerians. In his reaction, the immediate past Chief Executive Officer of Shiroro Hydro Electric Plc, Engineer Daudu Abdul-Aziz described the handing over ceremony as an epochal one to the 24-year old organisation and with an installed capacity of 600MW from four units of 150MW each. Dauda in a welcome address emphasised that what was more remarkable about the handing over ceremony was the fact that the Power station had consistently maintained almost 100 percent availability throughout the period of its existence under government ownership and control.
Posted on: Sun, 03 Nov 2013 04:47:38 +0000
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