In reaction to the take over of some Distribution company by a Nigerian Commercial Bank over debt related issues, The bureau of public enterprise, BPE and The Nigeria electricity regulatory commission NERC say they are discussing with the Central Bank of Nigeria to ensure an orderly transition.
This was made known in a joint statement seen by ait.live after an emergency meeting between NERC and BPE.
It is envisaged that the majority interest in the entities would be sold to capable private sector investors willing and able to re-capitalize and manage the entities efficiently.
BPE and NERC also noted that it received assurances that Fidelity Bank will participate fully in all the ongoing market initiatives aimed at improving the sector through the National Mass Metering Program and other initiatives
The two bodies have also activated the Business Continuity Process and appointed interim Managing Directors in the affected DISCOs.
Also, with the take over of Ibadan DISCO by AMCON, the BPE has obtained approval from NERC to appoint Kingsley Achife as the interim Managing Director.
In a temporary capacity the leadership of AMCON will be a placeholder Board for the Ibadan franchise
The federal government is also re-structuring the Management and Board of Port Harcourt DISCO to forestall the imminent insolvency of the entity.
As a condition for support to the entity to meet its market obligations, Iboroma Akpana will take over as the Chairman of the Board. Emmanuel Okotete, Eyo Ekpo, Ismaila Shuaibu and the DG of BPE will form the interim Board. Mr. Benson Uwheru will take over as the Managing Director of PHEDC as part of the changes.
Government is to support the activation of Emergency funds through the Nigerian Electricity Market Stabilization Facility to support the entity while it goes through restructuring and repositioning to serve the citizens of the franchise area better.
Editor Paul Akhagbemhe
