[Daily Independent] The Federal Government on Tuesday threatened to revoke contracts worth over $10 billion if firms handling the National Integrated Power Projects (NIPPs) fail to deliver by the end of next month.

Abuja, according to James Abiodun Olotu, managing director and chief executive, Niger Delta Power Holding Company (NDPHC), owners of the National Integrated Power Project (NIPP), thereafter plans to blacklist the erring firms from July.
Addressing journalists in Lagos after commissioning three NIPP projects, Olotu stressed government’s resolve to crush any impediment to its plan to deliver improved power supply to Nigerians.

“We have identified these contractors and they would be duly sanctioned if by the end of June they do not yield. The Presidency has given them the grace till the June ending to either perform or get their contracts revoked,” he said.

Flanked by the CEO of the Ikeja Electricity Distribution Company of the Power Holding Company of Nigeria (PHCN), Engineer Chris Akamnonu, Olotu said the completion was in line with commitment made by the management of the power infrastructure company to complete and hand over power projects that on a monthly basis, for the benefit of Nigerians.

“No excuse would be entertained any longer. Nigerians have been patient with us enough over this issue, and we cannot allow anybody to hold the government back. We would, by July, commence sanctions against any contractor who fail to deliver by the end of June,” he reiterated.

Olotu noted further that the drive by NDPHC was re-enforced by the support and promise of President Goodluck Jonathan’s administration to supply electricity to Nigerians, and to support the government power sector reform agenda.

According to him, government commitment was brought to bear during the last board meeting of NDPHC where its Chairman, Vice President Namadi Sambo directed that any transmission and distribution project contractors who are unable to achieve 50 per cent of their project delivery will have such contract revoked and re-assign to other performing contractors.

“I have said it when we were commissioning one of our completed projects last year in Lagos that our commitment is to deliver projects every month, I stand by that commitment” he stated.
He explained that the impact of the completed projects in Kaduna state are numerous, including improved quality of supply to all consumers, availability of spare capacity, and more importantly, installation of 525CSP transformers which make it easier to isolate faults, making repairs faster.