** Bidders pay N87.8bn for PHCN

All the preferred bidders for the 15 Power Holding Company of Nigeria, PHCN, successor companies have met the deadline for the payment of the mandatory 25 percent of the offer value,the Bureau of Public Enterprises, BPE has confirmed.

At the close of deadline yesterday, the BPE in a statement said the 14 bidders paid $559.446million or N87.8billion into its coffers, representing 25 percent of the bids value for the 15 successor companies.

About 24 hours to the deadline, 11 bidders had paid the mandatory cost, while the remaining three bidders paid the mandatory fees before the close of work yesterday.

4 Power Consortium, promoted by the South/South governors paid $31million for Port-Harcourt Distribution Company; Interstate Electrics Limited paid $31.5 million for Enugu Distribution Company; North-South Power Company paid $27,913,633.50 for Shiroro Power Plc.

It had earlier been reported that many of the bidders were struggling with raising the necessary funds, which was debunked by the Vigeo Group, which noted that the delay in the payment of the 25 percent bid value was merely part of the cost effective measures being adopted by some of the bidders.

Accordingly, about seven of the bidders paid the fees 24 hours to the close of the March 21, 2013 deadline. They are Vigeo Consortium, preferred bidder for Benin Distribution Company, which paid $32.25million; Transcorp/Woodrock Consortium, which paid $75 million for Ughelli Power Plc; CMEC/EUAFRIC Energy JV paid $50,249,965 for Sapele Power Plc; Kann Consortium paid $41 million for Abuja Distribution Company; Aura Energy paid $20,464,968.15 for Jos Distribution Company; Mainstream Energy Ltd paid $59,467,500 for Kainji PowerPlc; Sahelian Power SPV paid $34.25million for Kano Distribution Company.

Other bidders who avoided the hassles of the deadline were: Amperion Power Company Limited, the first to pay $33 million for Geregu Power Plc; Integrated Energy Distribution & Marketing Company – $42.25 million and $14.75 million for Ibadan and Yola Distribution Companies respectively.
NEDC/KEPCO – $32.75 million for Ikeja Distribution Company, West Power & Gas – $33.75 million for Eko Distribution Company.

With the successful completion of the payments by all the proffered bidders, there would be no need to fall back on the reserved bidders as would have been the case, if any of the proffered bidders could not meet the deadline for the mandatory payment.

The bidders are now left with the challenge of raising the balance of their bid values, which they are expected to turn in within a 90-day deadline based on agreements with the BPE.

It would be recalled that the final approval of the preferred bidders by the National Council on Privatisation, NCP, and its announcement for the successor companies was done on October 23, 2012.

The Nigerian electricity industry has been unbundled into generation and distribution companies and a single transmission company with a view to encouraging private sector participation and attracting foreign and local investment into the Nigerian power sector to ensure economic and reliable electricity supply.

It was learnt that preparations were already at advanced levels between the investors and officials of the BPE to ensure a smooth takeover of the successor companies.

http://www.vanguardngr.com/2013/03/bidders-pay-n87-8bn-for-phcn/

Fantastic development. I'm so happy with this latest development. It further CONFIRMS that the power reform agenda is REAL and working.

The historic transformation of the power sectors is unfolding right before our eyes.

Congratulations to all patriotic Nlanders who voted for sincerity and VISION.

We voted for TRANSFORMATION, and transformation is unfolding before our eyes.

Congratulations to all patriotic Nlanders who stood firm in defence of TRUTH on this forum.

Shame on haters, incurable cynics and pathological pessimists. What they said was IMPOSSIBLE, is unfolding, transparently, before our eyes.

Bye bye to PHCN

@Moderator, front page pls

Clerverly:

I am a Comedian

Lol...

Music to my ears. Great!

Moderators sleeping on duty. This report is fit for front page. Even if you wouldn't like to move this particular thread to the front page, you can move any other thread containing the same report to the front page.

Is that the reason why I've been experiencing epileptic power supply?

Can't wait for the preferred bidders to take complete control of the companies. Hoping these millions of dollars paid to FG won't enter voicemail!

Clerverly:

Comedian

Walahi this insincere9gerian monkey go spoil basketmouth market oh

Sincere 9gerian: Moderators sleeping on duty. This report is fit for front page. Even if you wouldn't like to move this particular thread to the front page, you can move any other thread containing the same report to the front page.

Yes let the Mods move this thread to frontpage

https://www.nairaland.com/1232672/experience-drastic-reduction-power-supply

Well this is good news

well with these GEJ Just got himself 25% of my vote and the remainimg 75% is still hanging

If for example, I reside in Mushin, would I have a choice of distribution companies or am I restricted to just one?

Very, very GOOD... I read earlier this week dat an Implementatn Committee, made up of Govt and Workers rep, hv bn set up to work out d payment of PHCN workers in 3 weeks. Abeg, let them do it quick. Honestly, am tird of waiting and all these looong processes. Let them pay d workers so that any of d bid winners who can pay d remaining 75% as early as possible cud tk ova dier company smtime in say April, instead of waiting d entire 90 days in June or so. Abeg

Good good, now we are all excpecting Joe to remedy himself from that stupid pardon thing, if he want to be presiednt come 2015

daywatcher: If for example, I reside in Mushin, would I have a choice of distribution companies or am I restricted to just one?

For now, I tink you wud hv to be restrictd. But I tink ova time as d market matures, more smaller Distributn companies wud crop up. Maybe then sm companies wud enter into a Facility Sharing Agreement with themselves or so