The former Chairman of Nigerian Electricity Regulatory Commission (NERC), Sam Amadi has called for a comprehensive review of the entire power sector reform since 2000 instead of revisiting the privatisation of the sector.
The Nigerian government had recently hinted on the plan to revisit the sale of Nigeria’s power distribution companies (DisCos) over poor and inefficient performance.
The power distribution companies had paid the Federal Government $1.4 trillion to acquire 60 percent shares held for them by the former PHCN.
He disclosed this in a chat with Daily Independent in Abuja on Tuesday on the plan to revisit the privatisation process in the sector.
Amadi stated that there is need to review the policy and regulatory interventions in the sector with the view to defining a new direction for power sector.
He said ” We need to focus on first carrying out proper review of the entire power sector reform since 2000.
“First establish a parliamentary commission to conduct a policy and regulatory review and then build legislative intervention on the findings from experts based on rigorous assessment.
” The issue is not whether they can find the money to pay off the discos owners. The main issue is whether it’s a profitable venture to scramble privatization in this manner “
He also expressed doubt on the financial capability of Nigerian government to pay off investors with the dwindling economic fortunes of the country arising from coronavirus (COVID-19) pandemic.
Amadi however disclosed that it is not profitable to scramble privatisation in such manner without having a specific roadmap
in the sector.According to him ” So even though I doubt if we can find the money to fund such takeover at this time of severe financial crisis, I believe that such takeover is not and should not be the priority now.
