Sabotaging Nigeria’s economy has consequences, Fashola warns ANED

Babatunde Fashola, minister of Power, Works and Housing has warned the Association of Nigerian Electricity Distribution Companies (ANED), a group that speaks for the DisCos that sabotaging the economy through poor power service delivery has dire consequences under Nigerian laws.

 

In a strongly worded press release sent to media houses including BusinessDay, Fashola took a swipe at Sunday Oduntan, executive director, research and advocacy of ANED, calling him an interloper following Oduntan’s criticism of the minister’s directive to the Nigerian Electricity Regulation to step up regulation on July 9.

 

Fahsola had directed NERC to compel DisCos to either upgrade their efficiency levels in the market or quit the stage. The minister also said DisCos were rejecting about 2,000MW.

 

However, Oduntan refutes this saying that a review of NERC’s “Daily Energy Watch” for January 28, 2015 indicate a generation availability of 6,421MW – divided into peak of 4,230MW and constrained energy of 2,191MW.

 

“In other words, it is misleading to state that available generation has grown from 4,000MW in 2015, as a measure of progress, given that a volume of generation slightly under 7,000MW already or previously existed, prior to the beginning of this administration.

 

“Furthermore, there is no stranded 2,000MW. While there is an available capacity of 7,000MW, the best that can be generated, at this time, is 5,000MW. This is because there is insufficient gas to power the thermal plants due to gas line limitations – for instance, the non-completion of the Oben pipeline, and the absence of a commercial framework that would encourage gas exploration.”

 

Oduntan further said that orders from the Minister to NERC to compel it improve service delivery would not stop the imminent collapse of the electricity sector

 

Fashola took exceptions to the remarks said ANED needs to clarify its stake in the sector

 

“Mr. Oduntan should tell members of the public if ANED is a licensee. He should tell the public whether he is an investor in a DisCo and in which DisCo he has invested and what he invested.

He should tell members of the public that I walked him out of our monthly meeting because he has no capacity to attend and he was not invited.,

The minister further said, “If ANED is not a licensee, who is ANED ? An NGO? If so, they should listen to consumers because Nothing is Going On about poor service.

 

“The BPE, NBET and NERC, to whom my directives were made, contracted individually with DisCos not as an association.

 

“Any right thinking and well-meaning person knows that power supply has economic consequences and has  political relevance.

 

Fashola suggested that ANED without a license at stake has little vested interest in the success of the sector.

 

“If Mr. Oduntan represents the DisCos who, for reasons best known to them, choose not to act to save their investments, that is a matter of choice for them.

 

“I do not recognize him because the law that guides my functions does not recognize him.

 

“His statement that no directives from me will save the power sector from collapse, is consistent with the views of someone who has no skin in the game.

 

“It is perhaps a Freudian revelation of the mindset of those he represents, whoever they may be,” said Fashola.

 

 

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