The Imo State Water Corporation, a parastatal organisation of the Ministry of Public Utilities and Rural Development, has been privatised to the West African Utilities Metering System and Services Ltd.
The State Commissioner for Public Utilities and Rural Development, Dr Ifeanyi Nwachukwu, made this known to the News Agency of Nigeria (NAN) on Friday in Owerri while explaining the need to restructure parastatals to suite the commercialization policy of the state governor.

NAN reports that Gov. Rochas Okorocha had, during the budget presentation, announced his intention to privatise all state parastatals, ministries and departments to make civil service less dependent on government treasury.
Nwachukwu said the company was expected to pay N100 million for the take-off and N10 million every month to the Imo State Government.

It would also manage the corporation for effective circulation of water in the state and pay salaries of members of staff. The commissioner said the company would have started full operations last November, but for the management of the water corporation which made the take-over difficult. “In line with the commercialization policy of this government, we were able to get a South African company to partner with government to take over the water scheme.

“The people are expected to pay the state government N10 million every month and a N100 million upfront payment

http://www.sunnewsonline.com/webpages/news/national/2012/jan/29/national-29-01-2012-011.html

Rochas Okorocha on the Rescue Mission Indeed! I must commend him for this innovative step.

How did this escape me? May JTF punish Boko Haram for causing me distractions!

@topic
Nice and very smart move by Rochas. The good thing is that even without the 100 million upfront payment, 10 million a year is good; plus they have to pay the hitherto govt workers!

But the agreement should be renewable just in case it becomes more profitable to the state to tax the company rather than the flat charge.

i suggest they privatise govt houses in nigeria. why is it that govt at all levels are running away from their responsibilities? in economics, we were told that govt is not a profit oriented organisation rather they are ppl oriented while private companies are profit oriented. what are the benefits of running a govt that is not responsible for anything?
to me, it is better to privatise governace in nigeria so that we will live our lives paying for everything and benefiting nothing.

Privatisation appears to be the way to go to salvage the nigerian infrastructure.

This one of the reasons Rochas Okorocha is slimy dupe. There is no functional Water Corporation in Imo State. Every new estate in Owerri in particular and Imo State in general has its borehole. The existing buildings in Owerri do not have running water. What the hell Okorocha’s government is talking about Water Corporation and privatization. A person does not privatize what he or she does not have.

Even electricity is provided by any family that can afford generators. A family without generator can be in darkness or without electricity for weeks.

I traveled to Owerri lately and the urge to eliminate certain people in power or whosoever that ruled or ruling Nigeria kept propping up in mind.

This might turn out to be a good idea for Imo State Residents.

do water corporations really provide water to residents or they are mainly for rural communities- boreholes

I have always wondered what minister of water resources and commissioner of water blah blah do considering most people have their own water system done by themselves

^^^ That hasn't always been the case. Water Corporations help to provide clean water to residents in states. Back in the 80's when Lagos State Water Corporation functioned, you didn't have to dig boreholes on your property or carry containers to your neighbors to purchase water. You had clean water right there from your faucet sourced directly from the Water corporation that managed Water provision for your local government/state.

In my opinion this is one of the best ideas from any of our leaders for a long time.  The key to unlocking Nigeria's potential is to remove the dead hand of the government from the provision of basic services and utilities in Nigeria.   Just think about the sense in this innovative decision:  instead of losing millions every year and government simply outsources the service delivery, makes money in the process and the masses get clean water.  I simply don't understand why simple common sense policies like this are like rocket science to Nigerian leaders.   If only Jonathan can do the same thing at the Federal level.   In case you are wondering, I am not Ibo, but I know a good policy when I see one.  Kudos, Mr Okorocha.

What else can i say

You have all made good points

All i want is a functional Imo State

I dnt care how they go about it

Kobojunkie:

^^^ That hasn't always been the case. Water Corporations help to provide clean water to residents in states. Back in the 80's when Lagos State Water Corporation functioned, you didn't have to dig boreholes on your property or carry containers to your neighbors to purchase water. You had clean water right there from your faucet sourced directly from the Water corporation that managed Water provision for your local government/state.

true, in fact 2 years ago i saw pipes near gutters with water coming out in different areas of lagos meaning there were once well layed water pipes around estates and housing developments. now i just cant see what these departments spend money on

For a criminal Governor, This is a brilliant move. KUDOS!!

another con game played by the  nigerian ruling elite on the unsupecting/ignorant nigerian masses.

privatisation of govt owned services leads to one thing and one thing alone - higher costs for the consumer  - why? because the private owned businesses are only interested in making profit.

why should water be sold to nigerians at market rate -isnt that unconscionable?

they tried this same method in south africa and it led to wide scale riots because of the extortionate amounts that poverty stricken consumers were being asked to pay.

this is another way  for rochas and his friends to milk the residents of imo state for the money they havent got.

This is brilliant! Other governors and GEJ should learn from Rochas.

It is dangerous to let important commodities like water fall into greedy private hands.

[img]http://s01.flagcounter.com/count/7uR/bg=FFFFFF/txt=FFFFFF/border=FFFFFF/columns=1/maxflags=1/viewers=3/labels=0/pageviews=0[/img][img]http://s10.flagcounter.com/count/oH/bg=FFFFFF/txt=FFFFFF/border=FFFFFF/columns=1/maxflags=1/viewers=3/labels=0/pageviews=0[/img][img]http://2.s01.flagcounter.com/count/7uR/bg=FFFFFF/txt=FFFFFF/border=FFFFFF/columns=1/maxflags=1/viewers=3/labels=0/pageviews=0[/img]

Smart move Rochas. Most advanced societies do everything they can to remove government's involvement in running of things. Look around the country, the only things that actually work are the ones owned by individuals such as businesses. Government only needs to provide enabling environment for businesses to thrive. Look at police, airports, NNPC, power, roads and ports management all managed by the government. Government should focuss on law enforcement, making laws and foreign policy and leave everything to the people.

A smart move if well implemented. It will cost less to provide portable water to the people than sinking boreholes or buying water from neighbors or even patronizing water vendors

Dede1:

This one of the reasons Rochas Okorocha is slimy dupe. There is no functional Water Corporation in Imo State. Every new estate in Owerri in particular and Imo State in general has its borehole. The existing buildings in Owerri do not have running water. What the hell Okorocha’s government is talking about Water Corporation and privatization. A person does not privatize what he or she does not have.  

Even electricity is provided by any family that can afford generators. A family without generator can be in darkness or without electricity for weeks.

I traveled to Owerri lately and the urge to eliminate certain people in power or whosoever that ruled or ruling Nigeria kept propping up in mind.

i lived in Works Layout, Owerri for 5 years (2006-2011) and used pipe-borne water in our house (bathroom, kitchen, etc) throughout my stay.
I agree the infrastructure is inadequate but that was the case with NITEL , PRIVATISATION IS THE SOLUTION.

Marlboro1:

Smart move Rochas. Most advanced societies do everything they can to remove government's involvement in running of things. Look around the country, the only things that actually work are the ones owned by individuals such as businesses. Government only needs to provide enabling environment for businesses to thrive. Look at police, airports, NNPC, power, roads and ports management all managed by the government. Government should focuss on law enforcement, making laws and foreign policy and leave everything to the people.

@Marlboro1, you have said it all, but one strange thing about Nigerians is that some would still insist on the tried, tested and failed policies.  I thought the definition of insanity is  doing the same thing over and over again, and expecting a different result.

This might turn out to be a good idea. I have to see the outcome before I can analyze it.

I do not know anybody who heads the department of any corporation willing to buy Imo State Water Corporation. If any, the person’s head needs to be examined by the psychiatrist because other than the waste land along Okigwe Road which houses the so-called water corps, there is no sign of profit in such endeavor.

All the hotels and new buildings in and around Owerri have private borehole. There will be a huge expense accrued in attempt to lay pipe lines in Owerri municipality especially when would-be customers have boreholes already.  

I visited the new Owerri area yet there was no network of pipes laid down by government or any other entity for carriage of drinking water. All the structures within the new Owerri city sunk a borehole.

If government can not provide water, electricity, security and good roads to the citizenry, why do the people need the government?  Who are the government of Imo State kidding?

@Didi1
What is the problem if there is someone ready to pay the government over 100 million Naira for somethning that doen't exist fair enough, so don't be a smart dude. This the first people to privatize downring payments, again they are the first on this one kudos to Rochas . Next the Federal governmnet must deregulate the power sector to the states so the states can managed or pritazed it the way it deem fit.

Good move by the Rochas administration. Other governments should take a cue.

@ Dede1

The truth is that this thing of everyone owning a borehole would soon start to have great negative effect when our ground water becomes depleted or contaminated as a result of excessive drawdown. Thats when we would see the importance of a functioning Water company/coporation. So let them privatise the darn thing and start putting in place the ground work necessary for their take-off. Another move I envisage is that the government would introduce a compulsory tax on those who own private wells in their homes. Lets watch and see. Even if the water company can provide water to farmers for irrigation, then its still not a bad Idea.

Overall, the idea is laudable IF, and only IF there isnt any hidden scam/agenda attached to it.

Dis Guy:

true, in fact 2 years ago i saw pipes near gutters with water coming out in different areas of lagos meaning there were once well layed water pipes around estates and housing developments. now i just cant see what these departments spend money on

It has been the rot that has come to be the norm. However, if the Government is now willing to step up it's game, I bet this could turn out to be a marvelous deal, both for residents and private sector in states where it is implemented. That way, all our WaterWorks will busy itself doing, with leaner staff by the way, is monitoring the various companies to ensure standards are maintained across the board.

Boreholes are not sustainable and will eventually lead to more problems than our society can handle. In the late 80's/early 90's Borehole water was considered relatively clean. These days it ain't so. People now need to install filter upon filter to get the water to satisfactory conditions. I am not certain why Lagos State, uptil now has yet to tackle the water problem considering it has in place already a good system it could build on, but I think by removing the state from it, Imo might make some significant headway in finally giving the people access to basic clean water.

ceejayluv:

i lived in Works Layout, Owerri for 5 years (2006-2011) and used pipe-borne water in our house (bathroom, kitchen, etc) throughout my stay.
I agree the infrastructure is inadequate but that was the case with NITEL , PRIVATISATION IS THE SOLUTION.

I have a house in Works layout built in late 80s when borehole was not in vogue and had depended on the water corporation. Yet we did not use the water for drinking purposes and it hardly run when needed. Sometimes kids had to wake up in the midnight to fill the barrels with water. However, I have a new structure somewhere in Owerri with a borehole. Even the water is not used for drinking purposes, it is regularly available. Even when there is no electricity, generator kicks off.

I have experienced life under the so-called Imo State Water Corporation and life under the provision of private borehole, it is not gainsaying that I am not ready to give up on the private bole soon. I am planning to do away with PHCN by getting solar panel in conjunction with generator.

My neighborhood is planning to build road from the estate to the major road and very soon, we shall get rid of Imo State government.

Okija_juju:

@ Dede1

The truth is that this thing of everyone owning a borehole would soon start to have great negative effect when our ground water becomes depleted or contaminated as a result of excessive drawdown. Thats when we would see the importance of a functioning Water company/coporation. So let them privatise the darn thing and start putting in place the ground work necessary for their take-off. Another move I envisage is that the government would introduce a compulsory tax on those who own private wells in their homes. Lets watch and see. Even if the water company can provide water to farmers for irrigation, then its still not a bad Idea.

Overall, the idea is laudable IF, and only IF there isnt any hidden scam/agenda attached to it.

I understand your concern about the depletion of ground water. Actually your concern is not totally misguided. The shortage of resources of ground water should not appear because of the number of boreholes sunk but usage of water. The idea of Water Corporation being privatized would not reduce volume of water usage by the people rather it will increase the price of water to a point the large cross section of the society can not be able to afford a gallon of water.

If the state government is privatizing a non efficient parastatal and still get workers paid then I am happy for that. Right now PHCN is firing and relocating staff to other ministries due to privatization. I do not think folks will be mad with clean water ran by a private company. Plus, water corporation also has duties to help with drainage systems and with the erosion in Imo I feel this is a good move.

If the privatization will enhance efficiency then it is ok

Good moves if there will be an anti trust policy to ensure people are not exploited in the long run. I foresee a time when they will be required to pay about N5000 monthly out of their N18000 minimum wage salary because the average Nigerian investor seeks to exploit the citizenry in the name of profit maximization.

Dede1:


I understand your concern about the depletion of ground water. Actually your concern is not totally misguided. The shortage of resources of ground water should not appear because of the number of boreholes sunk but usage of water. The idea of Water Corporation being privatized would not reduce volume of water usage by the people rather it will increase the price of water to a point the large cross section of the society can not be able to afford a gallon of water.   

Water has already been privatized in Nigeria.  A large section of the population now drink fully privatized pure water supplied by Mama Bomboy Water Works Limited.

kulutempa:

Water has already been privatized in Nigeria. A large section of the population now drink fully privatized pure water supplied by Mama Bomboy Water Works Limited.

It is funny you injected the issue of “pure water” into this debate. Actually, Mama Bomboy Water Works Limited is rooted in borehole sunk by Mama Bomboy. Even non-regulated pure water products could come from the stream or river.