The senate has urged the federal government to
appoint a separate minister for the ministry of power
to ensure optimal performance.
Under the present administration, the ministry of power
is combined with those of works and housing, with
Babatunde Fashola overseeing them.
The senate also urged the government to immediately
incorporate special purpose vehicles (SPVs) for the
implementation of alternative energy projects, which
included the hydropower projects, solar power projects
and the wind power projects.
It equally urged the federal ministry of power, works
and housing to use gas as a source of energy for the
Kaduna project in accordance with its original concept.
This followed a resolution on a motion on ‘The Need
to Establish and Delegate Special Purpose Vehicles to
Execute and Operate Major Power Sector Development
Projects’.
The motion was sponsored by Mustapha Bukar (APC-
Katsina).
Bukar recalled that the federal government in 2004,
conceived the idea of an integrated power project
which metamorphosed into Niger Delta Power Holding
Company Limited (NDPHC), incorporated in 2005.
“This was in government’s quest to bridge the power
gap for sustained economic growth in Nigeria by
adding significant new generation capacity to Nigeria’s
electricity supply system,” he said.
He said the national assembly enacted the Electric
Power Sector Reform (EPSR) Act, 2005 on March 11,
2005, which kick-started the process of privatisation
of the Nigerian Electricity Supply Industry (NESI).
The legislator said the act was in a bid to develop a
competitive electricity market with the establishment of
the Nigerian Electricity Regulatory Commission
(NERC).
The function of NERC is to provide for the licensing
and regulation of the entire value chain of the Nigerian
Electricity Market (NEM).
“The privatisation exercise became effective on Nov.1,
2013 when the unbundled Power Holding Company of
Nigeria (PHCN) was sold and transferred to successful
bidders of the six Generation Companies (GENCOs)
and the 11 Distribution Companies (DISCOs).
“The ownership and control of the Transmission
Company of Nigeria (TCN) was retained by the Federal
Government for strategic reasons,” he said.
Bukar also said consequent upon the commencement
of the privatisation and establishment of the Nigerian
electricity narket, the role of the ministry of power,
works and housing was restricted.
Contributing, Eyinnaya Abaribe, chairman, committee
on power, said the committee was already acting
along its own mandate for oversight.
“We are working toward ensuring that these concerns
that have been raised by this motion were looked into.
“The ministry of power today is combined with works
and housing and the thrust of the ministry is to give
quality direction.
“But, what we find is that the ministry continues to
appropriate these jobs that are specifically meant to
be done by agencies under it.
“We are taking measures to see whether we can bring
back the ministry to what it ought to be,” Abaribe said.
In his remarks, Ike Ekweremadu, deputy Senate
President, who presided at plenary, said every talk
about growing the economy would not work unless the
power sector was repositioned.
“We need to create a situation where we have energy
sufficiency; so long as the private sector depends on
private arrangement for energy requirements, the cost
of goods will continue to be high, especially the ones
produced here.
“It is important that we all work toward ensuring power
sufficiency in the country and ensure that it is
sustained,” Ekweremadu said.
TheCable
0 Comments