28 December 2013, Abuja – Following the recent privatisation of major electricity utilities of the defunct Power Holding Company of Nigeria (PHCN), Chairman of the Nigerian Electricity Regulatory Commission (NERC), Dr Sam Amadi, has said ownership of PHCN structural assets has changed hands.
Addressing newsmen recently in Abuja, Amadi noted that major assets of PHCN such as its corporate headquarters in Abuja have been handed over to the Nigerian Electricity Liability Management Company (NELMCO) to help offset the huge debts in the power sector.
Recall that NELMCO had earlier issued a notice dismissing an alleged planned sales of the PHCN headquarters and other assets immediately after the physical handover of the core generation and distribution companies to private investors.
Amadi said, “the PHCN assets are now owned by NELMCO. It is the one who inherited all liabilities and assets of PHCN. The corporate headquarters is one of the non-core assets of government and NELMCO is in charge.”
Dr Amadi highlighted the essence of the assets’ acquisition by NELMCO saying, “it is holding so much debts arising from the operations of the PHCN. The proceeds from the sales of the assets will go to the Accountant General of the Federation (AGF) or the Ministry of Finance to clear the debts.”
He however advised the federal government to have an effective liquidation plan considering that the Transmission Company of Nigeria (TCN) currently occupies the building. “If they sell it where will TCN go to, they should think about that. They will have to buy a new property for TCN, and these are the issues it will have to justify,” he said.
*Simon Echewofun, Daily Trust