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FG seeks financiers for power firms

By on February 5, 2014

Disturbed by the inability of most investors in the recently privatised power generation and distribution firms to raise funds to run the operations of the plants, President Goodluck Jonathan has directed Vice-President Namadi Sambo to convene a meeting of stakeholders to seek new funding for the power sector.

The Head, Public Communication, Bureau of Public Enterprises, Mr. Chigbo Anichebe, confirmed this in a statement made available to our correspondent in Abuja on Monday.

Anichebe said stakeholders from different parts of the world would come together at an international conference holding at the State House in Abuja next Monday.

The BPE spokesperson quoted the Permanent Secretary, Ministry of Power, Ambassador Godknows Igali, as saying that the conference was aimed at augmenting the efforts of the private sector in seeking funds for the electricity industry.

Igali said, “Following the physical handover of the successor companies to the private sector investors on November 1, 2013, the burden of process optimisation and capacity expansion has been shifted from the Federal Government to the new owners.

“Nonetheless, the Federal Government recognises that power supply still remains a social responsibility as it is the paramount infrastructure needed for our nation building and economic development.

“Consequently, the President  has directed Vice-President Namadi Sambo, who also chairs the National Council on Privatisation, to convene an international conference to facilitate the funding of the power sector infrastructure development of the country to achieve the required modernisation, expansion and overall enhancement of electricity service delivery.

“Ultimately, the direct beneficiaries of the fund influx are the Transmission Company of Nigeria, the Discos, Gencos, NIPPs, the emerging IPPs and other sector service providers.”

Participants in the conference are expected to be drawn from the country, development partners, the donor community, international financial institutions and financiers.

According to Anichebe, the conference aims to facilitate an interaction between the new investors and local and international financial institutions to explore the available opportunities in meeting the capital expenditure needs of the Nigerian power sector.

 

 

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