President Goodluck Jonathan on Monday formally handed over share certificates and licences to 14 new core owners of the Power Holding Company of Nigeria successor companies.
The Generation Companies now in the hands of core investors are Geregu, Ughelli, Olorunsogo and Egbin Power plants, as well as Kainji and Shiroro Hydro electric plants.
The Distribution companies are Abuja, Benin, Eko, Ibadan, Ikeja, Jos, Kano, Port Harcourt and Yola.
President Jonathan described the formal handing over as historic and a milestone in the country’s long journey from a government-owned and operated electricity sector to a private sector-driven industry.
“For this administration, today’s ceremony is indeed a major step forward in our concerted efforts to ensure efficiency, competitiveness and best practices in the country’s electricity sector,” the President said.
He recalled the journey towards the complete privatization of the power sector, which started in 1999 when the National Council on Privatization constituted the Electricity Power Sector Implementation Committee, with a mandate to undertake a comprehensive study and review of the entire industry.
President Jonathan expressed delight that the process of privatizing the power sector has been “adjudged by both local and foreign investors as transparent, well organized, and fair.”
According to him, the success recorded so far in the privatization of the Gencos and Discos has prompted government to commence the privatization of the generation assets of the new National Integrated Power Projects of the Niger Delta power Holding Company of Nigeria, jointly owned by the three tiers of government- federal, states and local governments.
The President, however, noted that there has been challenges, but hastened to add that they are being addressed, citing the payment of PHCN workers’ entitlements.
Jonathan said: “It is important to say to our labour partners, who we know to be patriotic Nigerians, that they should not nurse feeling of displacement, but dwell on the tremendous possibilities that the revitalization of the sector holds for them and the future.”
Going forward, President Jonathan reiterated the commitment of his administration to providing all elements that are necessary for “our private sector partners to succeed in providing Nigerians with uninterrupted power supply.
“We do not expect the sector to be revitalized overnight but we can look forward to a better time soon as we have seen in the telecommunication and banking sectors.
“To the Nigerian people who have demonstrated such great patience and confidence, putting up often with darkness, noisy power generating sets, the related pollution and the daily disruption in their lives, I say better days are coming.
“Today, we embark on a new journey, a journey that will usher us to a destination of enduring gain and fulfillment.”
In his remarks earlier, Vice President Namadi Sambo, who doubles as the Chairman, National Council on Privatization, also described the formal handing over of the Gencos and Discos as “a new beginning as it marks another major landmark in the implementation of the transformation agenda.”
Sambo recalled that at the inception of the process, very few believed that the feat could be accomplished given the risks and efforts that were required.
“Today, I am proud to say that with the support, encouragement, dogged determination and commitment of President Goodluck Jonathan, we were able to pull through to this stage of the process.”
With the transfer of ownership to core investors, the present 4,000 mega watts being generated is expected to increase significantly in no distant future.
Speaking on behalf of the new owners of the Gencos and Discos, the Chairman of Mainstream Power, Colonel Sani Bello (rtd), congratulated the President for seeing the privatization process through to logical conclusion.
Bello was particularly delighted that the control of the power sector by the private sector will boost economic development of the country as well as open new frontiers for sustainable power supply.
He assured Jonathan and Nigerians in general: “On behalf of all the winners, we shall work with relevant agencies to ensure stable power within reasonable time.
“It has been a very hectic process to get to this point.
“I will like to assure Mr. President that we shall not fail.”
Present at the ceremony were ministers, captains of industry, presidential aides and members of the diplomatic corps.
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