President Jonathan will hand over PHCN’s successor-companies to buyers Monday

 

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President Goodluck Jonathan will on Monday hand over certificates and licences to purchasers of the successor companies of the Power Holding Company of Nigeria (PHCN) Limited.

Chief Press Secretary, Ministry of Power, Mr. Timothy Oyedeji, disclosed this yesterday.

According to him, the ceremony is scheduled to hold at the Banquet Hall of the State House, Abuja.

Following the Power Sector Reform, the Federal Government concluded the sales of the PHCN entities on August 21 with the investors in the electricity distribution companies (DISCOs) and generation companies (GENCOs) paying up the 75% balance of their transactions.

The only preferred bidder (Interstate Electric (IE)) that reneged on the payment on that date has completed its payment.

President Jonathan had, on April 22, signed a presidential agreement with the buyers of the 15 PHCN entities.

The outstanding issues in the power sector remain the settlement of some PHCN staff severance packages and weak transmission network.

The Transmission Company of Nigeria (TCN) has unfolded plans for the expansion of the transmission network.

The Federal Government has always said that it has the capacity to generate 10,000megawatts, but the transmission network is weak to wheel it to the customers.

In its expansion plan, TCN is strategizing to evacuate the 10,000mw in 2013.

Although the Federal Government pledged to complete the disengagement of PHCN staff before yesterday, it was not clear whether all the staff were already paid or not.

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By joedams Posted in Energy

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