POWER SECTOR: DisCos Tackles FG, Vows To resist Take Over By Siemen
Feb. 21, 2020
While reacting to Wednesday’s threat by the federal government to take over power supply from the Discos and hand it over to Siemens, the Discos, under the auspices of the Association of Nigerian Electricity Distributors (ANED), said on Thursday that they would resist any attempt to hand over their assets to Siemens.
Recall the Minister of Power, Engr. Sale Mamman, had said that the Federal Government can not continue to subsidize power in the country, charging the electricity distribution company (DisCos) to step up their game to ensure effiecient distribution of power in the country. And that if they cannot perform their responsibilities, they should give way for other investors.
“What I want to say is that most of the problems we are facing in this country is that we cannot get electricity supplied adequately and efficiently and this is because we have a problem in distribution. On generation, there is no more problem. We can generate up to 13,006 megawatts but the transmission, those who are taking the electricity supply, can only take 7,000 megawatts. Even at that, they are not taking the whole 7,000 megawatts but only 4,500 megawatts and then send for distribution. The distribution (Discos) in turn receives only 3,000 megawatts. Because of technical and commercial reasons, they cannot contain the whole power that has been generated.
But, Mr. Sunday Oduntan, ANED’s Executive Director in charge of Research and Advocacy, would have none of it, saying the minister was wrong and the proposal ill-advised.
“If truly the minister said that, it is very unfortunate for Nigeria. He was wrong and ill-advised. This kind of statement from a minister will not encourage foreign investors to come to Nigeria. We have a legal agreement with the federal government and nobody will close his eyes and allow his $2.4 billion investments taken away. Let us wait and see how he (minister) plans to do it" he said.
“And for the present administration to take Siemens to the bank is very unfortunate for Nigeria – the same Siemens that was involved in bribery scandal in Nigeria. We all know the antecedents of Siemens in Nigeria. Siemens was accused of corruption and was indicted,” he added.
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