BREAKING NEWS

Metro

World

Spiritual

13 Oct 2017

FG To Sell Electricity Distribution Companies To New Investors

The President Muhammadu Buhari administration is seeking to introduce new investors in the energy market to boost power production.
File Photo
The federal government has commenced negotiations with operators of the Electricity Distribution Companies (DisCos) with a view to ceding some of their shares to accommodate new investors who would bring in more funds to increase their service delivery.

The Minister of State for Budget and National Planning, Mrs. Zainab Mohammed, disclosed this at the end of the Nigeria Economic Summit , in Abuja, Thursday.

Discos have been recognised as obstacles to the nation’s quest for efficient electricity sector.

Her words, “The Power sector has been privatized and every Nigerian knows that the privatization has not worked well. Things we sought to achieve in the power sector have not yet happened. And we have now come to the point where investors in the power sector must come together and decide to cede some of their holdings to enable new investors with expertise come in to enable us grow the power sector at the pace we want. It involves negotiating with existing owners and also government.

“No new investor will be interested to come in with the level of tariff obtainable now.  There will be an impact  on tariff. Starting point will be Discos.

“The power sector will be opened up to new investment, it is very clear that no new investor will be coming without having a satisfaction from the tariff that will be obtainable in the industry.

“That is a discussion that must be held. It is very clear to us now that the level of tariff we have now is not obtainable. It will be a subject of negotiation between government, the existing investors and new investors as well as consumers.

“We will try to attain to optimal level that will make an impact on the tariff.  The starting point will be the Discos.”

SHARE YOUR STORY WITH US VIA EMAIL: INFO@247NIGERIANEWSUPDATE.CO

RECEIVE NEWS VIA OUR WHATSAPP, KINDLY TEXT +234 701 056 0394 TO ADD YOU

CLICK HERE TO JOIN US ON OUR YOUTUBE CHANNEL FOR NEWS UPDATE

CLICK HERE TO JOIN US ON TWITTER FOR INSTANT NEWS UPDATE: @247NGNEWSUPDATE

CLICK HERE TO JOIN MILLIONS AROUND THE GLOBE TO READ NEWS ON OUR FACEBOOK FAN PAGE

FOR INSTANT UPDATES ON INSTAGRAM CLICK HERE

RECEIVE INSTANT NEWS UPDATE VIA OUR BBM BROADCAST: D3EDEFDF

PLACE YOUR TEXT ADVERT BELOW:>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Loading...

Post a Comment

 
Copyright © 2015 247 Nigeria News Update
Website by Tech Guardian