Today marks the sixth year since the federal government under the former President Goodluck Jonathan formally handed over 18 power utility firms to the investors in the private sector. However, the tell-tale signs of poor power supply, unstable operations have remained.

Since November 1, 2013 when Nigerians including the assets buyers thought things would transform quickly, the power sector has yet to see some stability. Government handed over 60 per cent control of 10 Distribution Companies (DisCos) and concessioned six Generation Companies (GenCos) initially after receiving $3 billion from the private investors. Transaction for Kaduna DisCo was completed in 2014.

It left the Transmission Company of Nigeria (TCN) under a under a four year management contract by Manitoba Hydro International Nigeria Limited (MHINL). However, it came under local administration since 2016. The transaction supervised by the Bureau for public Enterprises (BPE) designed Conditions Precedent (CP) especially on the need for DisCos to reduce the Aggregate Technical, Commercial and Collection (ATC&C) losses and for the GenCos to rehabilitate turbines and raise the actual generation capacity which was around 4,500 megawatts (MW) then.

The industry regulator, Nigerian Electricity Regulatory Commission (NERC) pegged the Capital Expenditure (CAPEX), Operational Expenditure (OPEX) along with the ATC&C for the DisCos in the Multi Year Tariff Order (MYTO) to ensure significant investments are made on metering, reducing estimated billing among others. NERC started the Interim Market rule that moved to the Transition Electricity Market (TEM) since 2015 when all contracts are expected to be paid by 100 percent.

That has not happened owing to several factors. From July this year, the Market Operator (MO) rolled out sanctions that compelled the DisCos to start paying 100% for ancillary services. NERC followed suit in October by giving eight DisCos 60 days to defend their default in the minimum payment required for energy traded. But operators and industry watchers have blamed NERC for such actions since it did not implement about six MYTO tariff review since June 2016.

The private firms at various occasions said their demand for cost reflective tariff has not been met and there is not practical terms to cushion the over N1.3 trillion shortfall in the electricity market. Although government through the Central Bank of Nigeria (CBN) has injected about N1.7trn into the sector, operators insist that it was a loan which is deducted at source monthly at 11% interest rate despite the liquidity challenges.

Read more: https://www.dailytrust.com.ng/power-supply-still-poor-operations-unstable-6-years-after-privatisation.html

Let's be honest there has been improvement biko

Any public-owned business where the govt transform itself into private beneficiaries after privatising such business will not work. All the power assets were bought by both present and past govt officials and loyalists even though they weren't qualified to run them.These businesses don't answer to public regulations because they are above the law. Govt will need to re-purchase these assets and genuinely hand them over to qualified managers and focus only on regulation.

allthingsgood:
Let's be honest there has been improvement biko

Please speak For yourself.

allthingsgood:
Let's be honest there has been improvement biko

no light in my area for many months now in Benin city. We are the ones maintaining and servicing power assets inmy area. We even pay Bedc staff to do their work otherwise they won't. Power hasn't improve anywhere. Only those areas that were enjoying power before the privatisation are still the ones enjoying it post privatisation.

Nothing has changed.

oz4real83:
Any public-owned business where the govt transform itself into private beneficiaries after privatising such business will not work. All the power assets were bought by both present and past govt officials and loyalists even though they weren't qualified to run them.These businesses don't answer to public regulations because they are above the law. Govt will need to re-purchase these assets and genuinely hand them over to qualified managers and focus only on regulation.

Childish! If they repurchase it, will they then invite you to come and take or will they still share it among themselves?

If Nigerians were not docile idiots, fashola should have been on his way to prison for deceiving the people

oz4real83:
no light in my area for many months now in Benin city. We are the ones maintaining and servicing power assets inmy area. We even pay Bedc staff to do their work otherwise they won't. Power hasn't improve anywhere. Only those areas that were enjoying power before the privatisation are still the ones enjoying it post privatisation.

Yea Benin case is bad I agree. Benin and Delta discos are demons

Vulcanheph:

Please speak For yourself.

That's exactly what I did

Gandollar:
Childish! If they repurchase it, will they then invite you to come and take or will they still share it among themselves?

starting your comment with insult shows are immatured you are. To educate you, it is an established fact that most of these power asset buyers had no experience or capacity in any power sector prior to privatisation. They didn't even have the funds to invest into the sector. They took loans from banks and almost crippled our banking sector. I said in my statement that the govt should repurchase the assets and sell them to "genuinely qualified power asset managers". Is it a wrong comment? Is it enough to call my statement "childish"? Just keep quiet and read on next time if your only contribution to any meaningful discussion will be insult.

allthingsgood:
Let's be honest there has been improvement biko

Improvement where ...Power supply has never been worse ..what do u even gain by lying ...

oz4real83:
starting your comment with insult shows are immatured you are. To educate you, it is an established fact that most of these power asset buyers had no experience or capacity in any power sector prior to privatisation. They didn't even have the funds to invest into the sector. They took loans from banks and almost crippled our banking sector. I said in my statement that the govt should repurchase the assets and sell them to "genuinely qualified power asset managers". Is it a wrong comment? Is it enough to call my statement "childish"? Just keep quiet and read on next time if your only contribution to any meaningful discussion will be insult.

Oga stop fishing for idiots!! This post of yours is even worse than the first and you not only sounded Childish again but outright clueless. There are regulations guiding these operations for checks and balances and if the regulator has failed in its duty, someone has to pay.

Do you even know the cost effectiveness of what you propose?

It's myopic people like you that put Nigeria in the PID whatever court issues.

allthingsgood:
Let's be honest there has been improvement biko

I live in lekki, where do you live?

Gandollar:
Oga stop fishing for idiots!! This post of yours is even worse than the first and you not only sounded Childish again but outright clueless. There are regulations guiding these operations for checks and balances and if the regulator has failed in its duty, someone has to pay.

Do you even know the cost effectiveness of what you propose?

It's myopic people like you that put Nigeria in the PID whatever court issues.

continue to show your stupidity. I won't even bother to reply you anymore. Idiota

oz4real83:
continue to show your stupidity. I won't even bother to reply you anymore. Idiota

Lol.. you wanted to have a free reign spewing thrash simply cos you have internet access.

Up Nepa

Gandollar:
Lol.. you wanted to have a free reign spewing thrash simply cos you have internet access.

You and trouble are like 5&6..

Is being troublesome profitable?

Asking on behalf of a friend

Gandollar:
I live in lekki, where do you live?

None o ya biz!

[s]

helinues:
Up Nepa

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[s]

helinues:


You and trouble are like 5&6..

Is being troublesome profitable?

Asking on behalf of a friend

[/s]

If people start to contribute money together and buy a huge power plant of 30mwt that hospitals use see how power companies will get sense i don't see it working thou.

EkwensuAmosu1:
[s][/s]

Tired or what is causing the delay in delivering

The more comments I made , the more job for my boy to do the justice

[s]

helinues:


Tired or what is causing the delay in delivering

The more comments I made , the more job for my boy to do the justice

[/s]

Now to provide 24hours electricity is now rocket science to the government of the day.

allthingsgood:


None o ya biz!

Lol you must be Mamman daura enjoying power supply 24hrs at the expense of tax payers.

[s][quote author=helinues post=83652022][/quote][/s]

Gandollar:
Lol you must be Mamman daura enjoying power supply 24hrs at the expense of tax payers.

Cry me a river