Ex-NIEEE boss asks FG to review power privatisation contracts

Former National Chairman Institute of Electrical and Electronic Engineers (NIEEE), Mr Emmanuel Akinwole, has appealed to President Muhammadu Buhari to review the power sector privatisation agreement to resolve the problems in the sector.

Akinwole told the News Agency of Nigeria (NAN) Sunday in Lagos that the previous privatisation contract was a bad business proposal that could not work.

He said the slow success in the sector was due to the faulty privatisation procedure and had nothing to do with the appointment of Mr Babatunde Fashola as the previous minister.

Akinwole, who is also a procurement expert, said the best solution to bad contract agreements were usually a review, adding that managing the bad agreement would only compound problems.

He said the Buhari government had utilised the first term to understand the problems in the sector and this time, the government should interact with all power sector stakeholders to evolve a solution strategy.

“I am a procurement expert to World Bank standard, the regulation says if you realise there is a bad contract, what you need to do is renegotiation. If after you entered the contract, you now see the facts you did not see before, you have to rearrange it, so that there is a win, win situation.

“That is why we are challenging government that it has identified the problems in the last four years, the reasonable option now is to call the other parties and review the solution options,’’ he said.

He stressed the need to urgently renegotiate the contract to steadily improve power in the country.

“All you have to do in a bad contract is renegotiate with all the other parties. I am sure that today if power distribution or generation operators are invited and told for example, we owe you a debt of N20 billion but we cannot pay but this competent company is ready to partner with you and will give you N10 billion upfront, do you think they will refuse the offer,’’ he queried.

Akinwole said government could bring in competent operators to gradually buy back the contracts till they fully take control of the sector for optimal performance. (NAN)

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