Governors in court to stop privitisation of power plants
Nigerian governors have sued the federal government in their bid to stop the planned sale of 10 National Integrated Power Projects (NIPPs). The power plants are Geregu, Omotosho, Ihovbor, Olorunsogo and Calabar power plants.
The government-run Niger Delta Power Holding Company (NDPHC) – a power generation and distribution company, oversees the implementation of the NIPPs.
The 10 stations undergoing privatisation processes are: Benin Generation Company Limited; Calabar Generation Company Limited; Egbema Generation Company Limited; Gbarain Generation Company Limited; Geregu Generation Company Limited; Ogorode Generation Company Limited; Olorunsogo Generation Company Limited; Omoku Generation Company Limited; Omotosho Generation Company Limited and Alaoji Generation Company Limited.
In a communiqué issued Wednesday, the governors said that a court had already restrained the federal government from going ahead with the privitasing the power plants.
“The effect of the order of the court is that respondents cannot proceed with the proposed sale of the power plants belonging to the Niger Delta Power Holding Company Limited (NDPHCL) until the hearing and determination of the motion on notice for interlocutory injunction,” the communique read.
In addition, the governors faulted the promissory note issued by the Federal Ministry of Finance and the Debt Management Office (DMO) to consultants on the on the controversial $418 million Paris Club Refund fee.
“Regarding the $418 million Paris Club Refund and promissory notes issued to consultants by the Federal Ministry of Finance and the Debt Management Office (DMO), the forum remains resolute in exploring all legal channels available to it in ensuring that resources belonging to states are not unjustly or illegally paid to a few in the guise of consultancies,” they said.
On floods, the governors said that states would reallocate funding from the programme for immediate response for livelihoods, assets and basic services.
“As the flood recedes, the states, through the programme, will be able to support the household enterprise recovery grants, short-term transfer of Households displaced, labour intensive opportunities for unskilled labor, rehabilitation of basic services infrastructure, recovery of damaged agricultural infrastructure, rehabilitation of destroyed wet markets, amongst others.