Power sector was sold to clueless investors - Saraki | Nigeria News Today. Your online Nigerian Newspaper

8
Senate President Bukola Saraki on Tuesday criticised how the power sector was privatised, saying it was sold to individuals who had no idea about how to run it.


He said the mistakes of past governments “borne out of ignorance, selfish interests and fraud”, brought Nigeria to this point.

Saraki said this at a workshop on power sector organised by the national assembly in Abuja.

He lamented that the sector, in spite of the enormous resources committed to it for the last 14 years, had remained in a perilous state.

“Today, we are on the verge of a total systemic breakdown and I see this as an opportunity to stop this train from derailing completely,” he said.

“We sold the discos to individuals and parties who had no idea about running a proper power distribution business. Licenses were issues based on cronyism rather than capital adequacy, market experience and capacity to deliver. Agreements were faulty and transaction integrity hardly imperative.

“This is the opportunity for both the legislature and executive to come together to forge a solution to this perennial problem. We cannot afford to waste the opportunity we have now. We owe it to the people who have entrusted us with the privilege of working out solutions to their problems by electing us to our various offices that we are hard on our heels to bring them solutions not complaints.

“We cannot shy away from the fact that inexcusable mistakes have been made in the past that brought us to this point and we must be willing to face up to them and clearly delineate them in order to ensure that we do not return to the mistakes of the past.

“Clearly some of these where innocent mistakes, others were rather the product of selfish interests, some fraudulent, some borne out of ignorance and others glaring lack of capacity apparent from day one. All of these combined has brought us to the mess we now have to face up to.”

Emphasising that the problems in the sector were the country’s own making, the senate president said sacrifice must be made to overcome the challenges.

“Where we are is not an accident. We walked our way into the landmine we are facing with the decisions we made in the past. While privatisation is a right policy recipe to pursue in order to put in place a power sector that can galvanise our economy, we forgot that the participation of the private sector is not an end in itself,” he said.

“We neglected that unless this is done, observing transparency, competition, transaction integrity we might end up with a sector worse than the past. The BPE did things that were inexcusable. To imagine that even the sale proceeds of about $4bn was solely spent towards the payment of pensions and staff. Not one single kobo was expended towards catalysing the sector back to life.

“GENCOS bought generating units without a clear assurance of source of gas to fire plants and government had no active roadmap for delivery of a gas market infrastructure to make this happen. Yet gas companies and the IOCs were exporting our gas out of our shores to create gas markets elsewhere in Europe and Asia while we languished in darkness as a result of incessant, persistent and erratic power outages. In the face of all these our people continued to be called upon to bear inexplicable bills estimated beyond rationale service value.”

Post a Comment Default Disqus

  1. Revoke the license and call for new bids.

    ReplyDelete
  2. Can't the licence be revoke. Minister of power the person of Fashola do know about all these yet decide to increase tariff. And nothing was done by the national assembly. So why are you here giving us cock and bull stories? You can't deny of not benefiting from the so called companies that bought the licence to run electricity company in the country. They provide generators for you all to keep mute. God will hear the cry of Nigerians to judge you all.

    ReplyDelete
  3. Can't the licence be revoke. Minister of power the person of Fashola do know about all these yet decide to increase tariff. And nothing was done by the national assembly. So why are you here giving us cock and bull stories? You can't deny of not benefiting from the so called companies that bought the licence to run electricity company in the country. They provide generators for you all to keep mute. God will hear the cry of Nigerians to judge you all.

    ReplyDelete
  4. Who sold PHCN? OBASANJO OR JAR'ADUA OR JONATHAN OR BUHARI? What is difficult in naming the person? Nefarious animals, pretending to be saints but real devil incarnates.

    ReplyDelete
    Replies
    1. Jonathan hurriedly sold it to settle himself and his PDP party members, he put us in this mess. He has even given them 100 billion naira CBN bailout which the investors who promised to come in with money to invest but never did have squandered for their personal gains. All they keep doing is sack experienced staff and bring in clueless indians who use our brains and skills to shine as CEOs, collect expatriate salaries, oppress Nigerians in the work place and run around town with sirens and several policemen as escorts. Where in india will you see a Nigerian enjoying such privileges? I honestly do not know what our problem in this country is.

      Delete
  5. If the minister of power needs to be reminded that there is something called revocation of license,then something grave is wrong.

    ReplyDelete
    Replies
    1. It is not Fashola's call, they all signed a performance agreement with BPE which should be revoked without much ado if they are not meeting the terms of sale in the PA (ofcourse they are not meeting them. Remember government still has 40% share in those Discos but The BPE directors in their boards have been compromised one way or another so they are really not representing the interest of the government or the masses as they ought to. Most of the owners are now defecting from PDP to APC which i am sure is to protect those Companies. Nigerians should rise up and say no to all these rubbish.

      Delete
  6. I wonder Mr Saraki can said all this. Nevertheless where are you when the negotiations were going on?if at all you are not the Senate president but you are a floor members while the bills of negotiations and privatised were presented. Why can't you faulted it?.More so can't the privatised been revoked and licence withdrawn?imagine the problem the citizens were faceing an ordinary barber,milling or grinding marching,welder,laundering man,hairdressers,etc can't make earning,some have abandoned their business due to selfish interest of our so call leaders. Many boys have turn to Okadar riders,many have turn to highways robbery, may have turn to kidnappers while many ladies have turn to street hawker,some have become harlots etc. Due to this privatisation many of PHCN staff have became joblessness, if I could remember in Ibadan some staff hung themselves, because they can't meet up of social demanding. The history will judge you all.

    ReplyDelete

Nigeria News Comments are Moderated. Clean Comments will be swiftly approved. No swear words, no racism, allowed.

 
xzb
Top