25 May 2015, Abuja – The Conference of Nigerian Political Parties, CNPP, yesterday said that the power privatisation exercise embarked by the outgoing administration was a total failure.
The CNPP, outrightly disagreed with a statement credited to Vice President, His Excellency, Namadi Sambo to the effect that the unbundling of Power Holding Company of Nigeria (PHCN) was successful,
It therefore, called on President-elect, General Muhammadu Buhari retd o cancel outrightly the failed PHCN unbundling exercise, which was infested with unbridled corruption and stop the 1st June Tariff increase, as none is sustainable.
The umbrella body of registered political parties in a statement by Mr. Osita Okechukwu, its National Publicity Secretary, said “Record shows that one and half years after Federal Government privatized the unbundled assets of the PHCN, the successor companies have not fared better, to say the least service delivery epileptically poor.
“Reason the opaque nature of the privatisation process, which facilitated the Distribution Companies and Generating Companies ending up in wrong hands was very obvious.
“To this less than transparent statement from Arc Sambo, outgoing vice president, who as chairman of the National Council on Privatsation (NCP), presided over the privatization of our electricity substructure; permit us to borrow from the comedian Chika Okpala alias Zebrudaya his often used epitaph – Foul! Foul! Foul!
“Foul! Foul! Foul! In the sense that we are witnesses to how Mr Atedo Peterside, chairman Technical Committee of NCP, shouted to the high heavens when companies which failed woefully the Net Present Value (NPV) threshold assessment of the Technical Committee were corruptly handed over our commonwealth – Electricity Generation and Distribution Assets.
“To us in the CNPP the mess which vice president rated successful, was a colossal failure, because today we have less that 2000MW, the lowest electricity output in a decade; since the fraudulent winner companies were unable to meet the original intendment of privatisation; which is the revamping of our electricity substructure.
“We are unhappy that Mr Peterside was vindicated, for six months later most of the companies were unable to pay up their bid price on schedule, and unable to fix the electricity infrastructure, hence came cap-in-hand begging for financial support and today arbitrarily increasing tariff out of the range approved by the Multi Year Tarriff Order of Nigerian Electricity Regulatory Commission (NERC).
“Had Sambo listened to Atedo Peterside and stopped the impunity which governed the unbundling exercise, the issue of loaning or indeed dashing N230billion to Distributing Companies couldn’t have arisen. For by the time we finish borrowing money to revamp the companies and pay severance allowance to PHCN staff, the whole money received as auction fee most have evaporated into thin air.
“Regrettably, , the outcome is that the Nigerian family is like a family, which out of frustration auctioned their rickety vehicle, only for the buyer to come back requesting for loan from them to fix the vehicle.
“It is our candid view that this is criminal, unjust and a huge land mine for the incoming General Muhammadu Buhari,s (GMB) administration, an administration that will not only inherit an empty treasury, huge severance debt being owed PHCN staff and increase in electricity tariff nationwide on 1st June, 2015.”