Bring back NEPA.
Privatization have never favoured Nigerians.

Agboriotejoye:

See what I'm saying?
He's still blaming GEJ.
Selling the obviously moribund national asset was not an error. It's the inability of this present govt to see an obvious failure and turn away from it, goaded by you their supporters that led things to generate to this point.
For example, do you know that power distribution by AEDC has actually improved since they were taken over from the inept handlers who kept on rejecting load?

AEDC that is giving my people 72 hours supply in a month.....just say your area is okay with AEDC.

Kog45:
AEDC that is giving my people 72 hours supply in a month.....just say your area is okay with AEDC.

It's very possible. That's because your area probably has very weak transformers and changeover switches that can't carry the load your area demands.
It's most certain that s critical component gets damaged anytime power is restored to your area which the useless discos will refuse to fix.
That's the fault of the previous so-called investors.
Only God knows what exactly they claimed to invest.
And I'm sure they'll bring bills every month end

Bad move. The government cannot afford to take on new employees and pensions when it is struggling to pay its liabilities on ground. It’s best the government focus on its business of managing the economy and collecting taxes rather than administrating things like electricity. Best to get new players who can actually do the job rather than Cronies which the disco was sold to. Coconut heads that don’t know what they are doing but just want to boast they own a disco.

Things like electricity also need a lot of government funding or subsidies. Not government ownership. Last last maintaining a minority stake in the industry due to ownership of assets is best. While another private party is in charge of operations.

Praxis758:
I hope those strict clauses in the agreement won’t clog this step.

I strongly pray we find a way to take the Discos away from those ineffective and incapacitated buyers.

The greatest error made by GEJ was his selling of a key national asset like Discos to incompetent and unskilled investors in the name of attracting favor and winning second term.

Prof Oshinbajo should use his legal expertise to drive us out of this swamp.

Is Prof Osinbajo still in Aso rock or he resigned?

Agboriotejoye:

This one has come again. Oga, how do you justify their refusal to supply prepaid meters, buy new transformers, replace faulty components until consumers contribute money to buy and pay their staff to fix it with your lame excuse of cost reflective tariffs. Is cost reflective tariffs the reason why they couldn't rollout transformers and changeovers massively to improve their capacity to take load.
Or is getting a license the only investment they need to do to get the distribution network better run?
Is that how the telecoms sector, which you agents of capitalism and market economy hold up as your strong point, developed?

My good fellow, read the links. Thank you.

Also, the telecoms were allowed to set their prices, while the discos were not. Big difference.

I insist, read the links.

Nowhere in my comments did I talk about meters, either for or against. Plus, how would the discos get the money for meters? Partly from the profits raised from..... tarrifs.

Read the links, and don't quote me until you do. Thank you.

Agboriotejoye:

Where are those blaming the contracts signed by the former administration for the inability of this administration to takeover these failed discos earlier?
You can now see it was simply lack of political will and foresight.
The damage done by the supporters and paid media urchins of this administration is worse than the damage done by the administration itself.

Look at the way this one dey disgrace himself

Instead of Una to make research, you will choose not to, but start making ignorant comments online.

SmartPolician:
Simple things other countries do and move on become rocket science in Nigeria because everyone wants to cash out from the weak system.

Lol I'm telling you, just spoke my mind

After years of fake privatisation we are finally back.

May God have mercy on Nigeria.

Parachoko:
Look at the way this one dey disgrace himself

Instead of Una to make research, you will choose not to, but start making ignorant comments online.

Oya na. Researcher. Show us your research

Bankowner:
I wonder why NEPA was sold in the first place.

Because it was not performing well under government....and because it was becoming difficult for government to fund it well enough.

Hence the privatisation which led to the discos and gencos.

The problem was that the government set the prices, instead of letting the discos set the prices...which made many discos and by extension gencos run at a loss. Government paid some money, and allowed an increase in prices to cover for the loss, but it was eventually not enough to save the discos...as their costs rose and kept on rising...particularly the cost of producing power.

baby124:
Bad move. The government cannot afford to take on new employees and pensions when it is struggling to pay its liabilities on ground. It’s best the government focus on its business of managing the economy and collecting taxes rather than administrating things like electricity. Best to get new players who can actually do the job rather than Cronies which the disco was sold to. Coconut heads that don’t know what they are doing but just want to boast they own a disco.

Things like electricity also need a lot of government funding or subsidies. Not government ownership. Last last maintaining a minority stake in the industry due to ownership of assets is best. While another private party is in charge of operations.

Well, the government was paying a lot of subsides , while the price was kept below cost of production.

Thank you PYO

29kobo:


My good fellow, read the links. Thank you.

Also, the telecoms were allowed to set their prices, while the discos were not. Big difference.

I insist, read the links.

Nowhere in my comments did I talk about meters, either for or against. Plus, how would the discos get the money for meters? Partly from the profits raised from..... tarrifs.

Read the links, and don't quote me until you do. Thank you.

Your links are hatchet jobs.
Let me educate you. Before telcos set prices, they procured standard equipment for network coverage, got very reputable vendors as technical partners, and took loans from banks and financial institutions that will be adequate to run the business. They then went about setting up the infrastructure optimally.
The discos on the other hand, made no attempt to improve on the infrastructure they met on ground. In fact, the closest I saw from a disco as infrastructure was IT infrastructure to ensure billing and payment info not even service delivery.
How then do you justify your call for cost reflective tariffs? May I ask what exactly is the cost you're talking of.

Kog45:
AEDC that is giving my people 72 hours supply in a month.....just say your area is okay with AEDC.

Depends on the band where you are located. Your area is probably service band E.

Below is a summary of the various service bands and their tarrifs..

BBC report on the matter.

baby124:
Bad move. The government cannot afford to take on new employees and pensions when it is struggling to pay its liabilities on ground. It’s best the government focus on its business of managing the economy and collecting taxes rather than administrating things like electricity. Best to get new players who can actually do the job rather than Cronies which the disco was sold to. Coconut heads that don’t know what they are doing but just want to boast they own a disco.

Things like electricity also need a lot of government funding or subsidies. Not government ownership. Last last maintaining a minority stake in the industry due to ownership of assets is best. While another private party is in charge of operations.

Very apt. Govt will eventually hand the discos over to private hands. But they need to be stabilized first from the mismanagement of the former crooks.

Agboriotejoye:

Your links are hatchet jobs.

Hatchet job, without any proof as to why they are hatchet jobs.

Right...PwC and Nairametrics are doing hatchet jobs......

I have tried for today for you. Good morning.

ogaemma:
Bring back NEPA.
Privatization have never favoured Nigerians.

Neither did NEPA.

29kobo:


Because it was not performing well under government....and because it was becoming difficult for government to fund it well enough.

Hence the privatisation which led to the discos and gencos.

The problem was that the government set the prices, instead of letting the discos set the prices...which made many discos and by extension gencos run at a loss. Government paid some money, and allowed an increase in prices to cover for the loss, but it was eventually not enough to save the discos...as their costs rose and kept on rising...particularly the cost of producing power.

You keep harping on price.
You're totally ignorant of the matter I can boldly say.
The discos agreement with govt that is in their concession contracts is that tariffs will be reviewed every quarter and will be performance based.
If there's anything you don't know about Fashola, know today that he's pro-market.
But even he, had to reject their call for tariff increase when they kept falling consistently to meet targets for pre-paid meter supply. Ordinary PPM o. Not transformers or changeover switches or distribution lines.
He eventually had to hand over that aspect of distribution to external hands.
The discos were bastion of inefficiency and ineptitude. Even if tariffs were increased to 100 per unit, they will still not improve.

Parachoko:


https://punchng.com/fg-concludes-takeover-of-four-discos/

This is just like AMCON. Yet another pointless agency to be stuffed full of semi-literate northerners pretending to work and achieving nothing.

29kobo:


Hatchet job, without any proof as to why they are hatchet jobs.

Right...PwC and Nairametrics are doing hatchet jobs......

I have tried for today for you. Good morning.

PWC? Which of your source is Pwc?
The one by naira metrics, did you even read it?
They clearly stated that the issue of cost-reflective tariffs being top problem for Discos is their own view.
If you really read it, you'll realise in the opening paragraphs, were they laid bare the facts before going to their hatchet views, Nigeria's generating capacity has actually hit 13,000MW but only over 4,000MW can be transmitted because the Discos don't have capacity to carry that load. That's the fact based part of your source. But you wilfully are blind to that hard fact!

Agboriotejoye:

Since when? Tell me
The FG should have moved to take over the Discos when Fashola raised it in 2017. Their constant rejection of load from TCN and declaration of shortfall repeatedly was a pointer to poor management but the inept govt became their major defender, blaming GEJ for not being able to do the needful.
Now that those owners have eaten their cake and had it, your govt is now taking over the cadaver from them.

Are you defending GEJ for cluelessness?

Are they the ones who told you they've eaten their cake and had it?

Mu government? Aren't you a Nigerian?

Discos is a cadaver? You must be a clown.

REST!

It’s back to the Stone Age for the affected parties.

beardedboy:


Are you defending GEJ for cluelessness?

Are they the ones who told you they've eaten their cake and had it?

Mu government? Aren't you a Nigerian?

Discos is a cadaver? You must be a clown.

REST!

Nobody is defending anyone. Rather, it's you who is defending the cluelessness of this adminstration and pointing out the cluelessness of the other. It's childish and harebrained at best.
GEJ sold it to inept people. It was already obvious since 2017 to the present govt that these handlers are inept. Yet they kept them there for five years! How exactly do you blame GEJ for that?
The privatisation was done in 2013 with review every five years. That means by 2018, the govt was in pole position to take over the Discos. But they left it till 2022 when the Discos are deep in debt.
Maybe you think a company being taken over by amcon is a good thing since you say they're not cadaver
Shift!!

Agboriotejoye:

PWC? Which of your source is Pwc?
The one by naira metrics, did you even read it?
They clearly stated that the issue of cost-reflective tariffs being top problem for Discos is their own view.
If you really read it, you'll realise in the opening paragraphs, were they laid bare the facts before going to their hatchet views, Nigeria's generating capacity has actually hit 13,000MW but only over 4,000MW can be transmitted because the Discos don't have capacity to carry that load. That's the fact based part of your source. But you wilfully are blind to that hard fact!

Well it still makes sense to me. Allow cost reflective tarrifs and there would be improvements. Because the companies would have to work for their money.

Government price setting always ends in tears because at the end losses happen.

The telcos were not put under an agreement similar to the power sector. They had full control over their price setting.

Anyways, no need for you to get so upset and agitated about my opinion. At the end the government won't listen to either of us. And what we say here won't influence policies.

Good morning. I've said my say.

baby124:
Bad move. The government cannot afford to take on new employees and pensions when it is struggling to pay its liabilities on ground. It’s best the government focus on its business of managing the economy and collecting taxes rather than administrating things like electricity. Best to get new players who can actually do the job rather than Cronies which the disco was sold to. Coconut heads that don’t know what they are doing but just want to boast they own a disco.

Things like electricity also need a lot of government funding or subsidies. Not government ownership. Last last maintaining a minority stake in the industry due to ownership of assets is best. While another private party is in charge of operations.

I couldn't have said it better

29kobo:


Well it still makes sense to me. Allow cost reflective tarrifs and there would be improvements.

Government price setting always ends in tears because at the end losses happen.

Anyways, no need for you to get so upset about my opinion. At the end the government won't listen to either of us

It makes sense to you because you're obviously biased!!
Performance based tariff review is not price-setting. It is a standard practice where incremental improvement is expected in an industry.
You improve performance, you get paid more for it and you make more money in return. It's a win-win practice that has succeeded in other climes. The difference here is that the Discos want to reap where they have not sown. Till today, Discos have not covered 80% of Nigeria with ppm. PPMs which were initially subsidized by govt, but later pushed to the consumer during Fashola's era!
Can you justify why they find it so hard to provide PPMs that the consumers are even ready to cover the full cost?
If they can't provide PPMs which cost them nothing, how does that show they can do higher things like transformers and distribution lines?
The fact is based on their performance, even the tariff increase they got is not justified.
Do you even realise how much the tariff has increased since this govt took over? Has the performance of the Discos justified the tariff increase?
Don't just be a textbook analyst. Learn to educate yourself with realities. You don't know who might be reading your thoughts.

Agboriotejoye:

It makes sense to you because you're obviously biased!!

Calm down. It is because you are not calm that I am no longer listening to your points.

Every one of your comments begins with 'You are biased' 'You are ignorant' 'Hatchet job', etc.

If I responded to you in kind, everytime...you won't like it.

Just a friendly word of advice.

This IS a site. Not your whole life.

I won't trouble you again.

bhella10:
Atiku can explain better.

It was Jonathan that sold it to his cronies, not Atiku.

29kobo:



The telcos were not put under an agreement similar to the power sector. They had full control over their price setting.

This is why I keep saying you're ignorant which you find uncomfortable.
Why will anyone compare the conditions under which telcos came in with that of Discos?
Telcos procured every aspect of their operations up to the broom they used to sweep by themselves. You now compare with Discos and Gencos who inherited working albeit dilapidated infra and not only that, got a good deal of financial support from govt through NBET.
Quick question. Can you name the equivalent of NBET in the telecoms sector?
The idea of price setting which is performance based is not unique to Nigeria. Germany and South Africa also have same approach.
So stop making it seem as if performance based tariff review is evil. It's not. It's even better than open tariff because it protects the consumer while ensuring the operator puts his best foot forward.

Parachoko:


https://punchng.com/fg-concludes-takeover-of-four-discos/

Na so. In the next few weeks you begin to hear about billion naira payments for hazy contracts, purchase of Landcruiser jeeps for the ogas and vouchers going up in flames

Vulture government contractors must be licking their lips, glad at the stench of the carcass.

Government that cannot successfully manage a single enterprise cannot be the solution to the power sector failure.

29kobo:


Calm down. It is because you are not calm that I am no longer listening to your points.

Every one of your comments begins with 'You are biased' 'You are ignorant' 'Hatchet job', etc.

If I responded to you in kind, everytime...you won't like it.

Just a friendly word of advice.

This IS a site. Not your whole life.

I won't trouble you again.

I don't think any of these comments is an insult.
When you hold on to a certain view even when it's obviously not the reality, it's due to bias
When you are not properly informed, you're ignorant
When you hold an untrue position as truth and seek to propagate it as truth to a determined end, it's an hatchet job.
None of the above are insults. They're just facts based on observation.
If I said you're stupid, crazy or out of your mind, that will be an insult.