Privatisation continues in Power Sector

NOTWITHSTANDING the legal action trailing the sale of the Enugu Distribution Company (EDC) to Interstate, the company, along with nine other DISCOs, was ratified as the successor company by the National Council on Privatisation (NCP) at its meeting in Abuja Friday.
The NCP, which was chaired by Vice-President Namadi Sambo said the sale of 10 electricity distribution companies (DISCOs) including the Enugu Disco, for which the reserved bidder is challenging the sale in court was in fulfillment of the federal government’s roadmap for effective power supply to Nigerians.
But there was cheering news for the workers of the Power Holding Company of Nigeria (PHCN), who the payment of their severance allowance would be settled beginning from Monday, September 23 to 27. Altogether, 49,000 workers are expected to be paid the severance package, amounting to about N384 billion.
The reserved bidder for EDC, Eastern Electric had gone to court to challenge the NCP’s alleged insistence for Interstate, which had reportedly defaulted to meet the August 23 payment deadline for the company.
Interstate is linked to the Chairman of Chrome Petroleum, Emeka Offor, while Eastern Electric is reportedly linked to the immediate past Minister of Power, Prof. Barth Nnaji.
Chairman of the NCP Technical Sub-Committee on the sale process, Atedo Peterside, who confirmed the eventual sale, however, declined to give details of how the issue was resolved because it is now before the courts. He would not answer question on the circumstances that led to the qualification of Interstate.