Ugbo said, “We are still negotiating with the buyers. The privatization challenges such as liquidity problems, inadequate gas supply, as well as microeconomic issues, had a significant impact on the privatization process since the emergence of the bidders on March 7, 2014. But we are negotiating with them.”
Pointing out that the negotiations took about the entire period of his tenure as Minister to achieve, the Minister added that the successful negotiation was able to free up another N39.17Billion held under another Judgement in court to be used now for the supply of electricity metres to the Discos.
“The power sector lost an estimated N1,458,000,000 on July 24 2017 due to constraints. High frequency due to loss of Disco feeders remains a significant constraint to generation. Increased gas constraints at Omotosho I and II, Olorunsogo I, Alaoji NIPP and Geregu NIPP.”
He noted that, “Whether the government likes it or not, they have to review the tariff of power in this country. All those playing politics with it that they do not want to increase, people do not want to hear of this.”
Although, the Central Bank of Nigeria (CBN) provided a N701 billion facility, to assist NBET in meeting its payment obligations from the generation invoices to ease the liquidity challenges, the Gencos are yet to get full payment of all the outstanding debts.
Operational statistics of the Transmission Company of Nigeria (TCN) yesterday showed that the peak generation of electricity as at Sunday was 3,903mw but that sharply dropped to 2,982mw on Monday. The lowest generation for Sunday was 3,108mw as reported by the media.
The eligible customer directive is yet to commence as she said the Nigerian Electricity Regulatory Commission (NERC) is working on the framework that that will address registration process, tariff setting among others.
“The CWC-in-Session wants the Federal Government to address the challenges of poverty, unemployment and hunger in the land. It adds that the Federal Government should vigorously address the issue of rising costs of goods and services.”
