THE Senate was told, yesterday, that the Federal Government has invested a N2.74 trillion in Nigeria’s power sector over the last 16 years (1999 to date).

The investments were made during the regimes of former President Olusegun Obasanjo; his successor, late President Umaru Yar’Adua, and President Goodluck Jonathan.

The Permanent Secretary, Ministry of Power, Ambassador Godknows Igali, and the Managing Director, Niger Delta Power Holding Company, NDPHC, Mr. James Olotu, disclosed this before a Senate Ad-hoc Committee probing the power sector from 1999 till date.

Furthermore, Olotu revealed that contrary to popular belief, the National Integrated Power Projects, NIPPs, which gulped about $8.23 billion or N1.64 trillion were actually being funded from the Excess Crude Account, rather than from ministerial provisions.

Power in military era

Speaking further, Ambassador Igali told the Senate that former military Heads of state, who ruled the country from the overthrow of former President Shehu Shagari, up to 1999, when democracy was reinstituted, crippled the power sector.

According to Igali, this is because the successive regimes not only failed to recruit the relevant engineers for 19 years, but also failed to invest in the power sector during their reigns.

He disclosed that out of the 79 power generation units, only 19 were functioning at that time, adding that no new power plant was constructed from 1991 to 1999.

He recalled that the last plant, Shiroro was built in 1991, long before the emergence of Obasanjo as president in 1999, adding that consequently, the power sector depreciated rapidly due to lack of consistent investment and funding until Obasanjo began the power reforms.

Democracy brought improvement

Igali said further: “When democracy came, the government inherited the sector that had not made capital investment for a long time and not a single engineer was recruited in 19 years.

Despite the effort at investment by government, we have not been able to invest in a consistent manner in the power sector.

“Investment from government and the private sector must go up gradually but consistently, as fluctuation will not help our economic development.

I do know that despite government’s effort at funding the power sector, the nation continues to experience epileptic power supply. However, it takes time to stabilise.”

He equally recalled that when Obasanjo came to power in 1999, electricity generation capacity was a mere 1,750 MW, noting that in view of the volume of investment required, the Ministry had to bring in the private sector which resulted into a reasonable improvement from what it used to be.

Funds appropriation

Igali further disclosed that despite the sector’s need, budgetary votes were seldom released fully, noting that the country cannot realise the full benefit of any investment in power unless the value chain elements – generation, transmission and distribution were also revamped.

He gave a breakdown of the appropriation and money released from 1999 to 2015 as follows:

*1999 – N11.206 billion appropriated, N6.698billion released;
*2000 – N59.064billion appropriated, N49,785 billion released;
*2001 – N103. 397 billion appropriated, N70.927 billion released;
*2002 – N54.647billion appropriated, N41.196 billion released;
*2003 – N55.583billion appropriated, N5.207billion released;
*2004 – N54.647billion appropriated, N54. 647billion released

Read on : http://michelleosablog.com/blog/blog/2015/09/09/power-obasanjo-yaradua-jonathan-spent-n2-74trn-in-16-years/

People must be held accountable

Bad men

3 destructive men from People Destructive Party. PDP will never produce anything good. Thank God we voted for CHANGE.

Hmmm, they should all be probed especially OBJ whom i think is the most corrupt person amongs all of them