The Federal Government was praised for ensuring a transparent bidding process for the power stations.
Yes, there is corruption within Nigerian government, but it has been over amplified, President Goodluck Jonathan said on Monday.
The
president said this at the signing of the Power Reform Transaction
contracts at the Banquet Hall of the Presidential Villa, Abuja.
“Let
me continue to assure Nigerians that yes, there are issues of
corruption in this country but somehow it has been over-amplified,” Mr.
Jonathan said. “People should watch how we have been conducting
government business. We have been bringing down the issues of corruption
gradually.”
Nigeria needs N530 billion for power
Also
at the programme, the Federal Government announced that it needs
investment worth $3.4 billion (N530 billion) between now and 2016 to
improve on the power currently being generated in the country.
The
government, however, said it is working out funding arrangements for
the Transmission Company of Nigeria’s long term expansion plan from a
mix which will include the Transmission Development Fund, International
Development Banks and Multilateral agencies.
Amidst praises on
government for ensuring a transparent bidding process, Mr. Jonathan said
he was particularly pleased to hear directly from the private sector
that the process was transparent adding that the stories of corruption
in the bidding process were not true.
Obviously elated by the
encomium poured on his administration for the way government has handled
the privatization process, the president made the declaration that the
issue of corruption in Nigeria has been over-amplified.
“Look at
the power sector, when we started initially there were stories in the
papers but at the end, even when I was in the U.S., companies from there
that participated said publicly that the process was transparent and
issues of corruption was not there.
“At least today we have also
heard directly, that the process was transparent and that there were no
issues of manipulations or corruption,” he said.
Mr. Jonathan
further appealed to Nigerians on the need to trust in his
administration’s efforts to tackle the issue of corruption adding that
“the country belongs to all of us and we will all protect what belongs
to us, what belongs to our children and what belongs to the generation
yet unborn.”
The President also commended the various stake
holders including the Governors, the development partners and the
private sector for their interest and investment in the sector and for
“having confidence in us to place this huge investment in this country.”
In
his speech, the Minister of Power, Chinedu Nebo, disclosed that
“installed available generation capacity has risen to 6,000MW while
generation capability has increased to 5,228MW with peak generation at
slightly above 4,500MW.
“We expect to add additional generation
capacity of about 2,200MW from the NIPP projects (1,896MW), IPPs (292MW)
and FGN legacy assets (514MW) before the end of 2013.”
He noted
that the Federal Government is also investing heavily to boost
generation through the large, medium and small hydro plants with total
capacity of over 4,234MW. These include Zungeru-700MW; Mambilla
-3,050MW; Guarara II -360MW; Itsi-40MW; small Hydro Power -84MW.
“These
massive increase in generation underpins the need for a robust
transmission grid. Currently, our grid remains a weak link with a
wheeling capacity of about 4,800MW. With government’s objective to
achieve 10,000MW in 2014 and 20,000MW in 2016, the urgent need to expand
our transmission capability to evacuate the projected additions becomes
imminent”
“I must admit that it has not been a bed of roses. The
reform has had its setbacks and slippages due to the unprecedented size
and scope of the reform program. Resolution of labour issues is at
advanced stage. We expect to conclude all labour severance settlement
issues before the end of June 2013. The process for the sale of Afam
Power Plant and Kaduna Disco is on-going,” Mr. Nebo said.
The
Minister commended the President for his unprecedented support for the
power reform programme stating that the President and his Vice have
demonstrated great leadership and dogged courage in taking the needed
decisions and initiatives in driving, with personal commitment, the
Nigerian Power Sector Revolution.
“I wish to place on record that
there is nothing we in the sector have asked from Mr. President that he
has not graciously granted. For us, that is the highest demonstration
of political will. Sirs, history and generations of Nigerians yet unborn
will ever cherish your vision and labour,” he addressed Mr. Jonathan
and Vice-President, Namadi Sambo.
Tony Elumelu of Transnational
Corporation, who spoke on behalf of the five generation companies who
also received their certificates, commended the Federal Government for
transparently handling the power process.
He also commended the
new partnership between government and the private sector, assuring that
they were willing to pay up the balance of 75 percent adding that they
will develop the much needed capacity to ensure that Nigerians enjoy
power within the shortest time possible.
Mr. Elumelu further
called on government to take Nigerian banks into confidence in the
financial arrangements for the long term funding of the Transmission
Company of Nigeria adding that Nigerian Banks have come of age and are
capable of partaking in the funding of the needed $3.4billion.