The Guardian
Friday, July 6,2001
NEPA increases tariff by 50 per cent

Former NEPA boss, denies Ige's claims
From Abiodun Adeniyi, (Abuja)

FROM London came yesterday bad news for Nigerian electricity consumers: With effect from the end of this month, a 50 per cent hike in electricity tariff by the National Electric Power Authority (NEPA) will take effect.

And before December 31, another round of increase will be made to enable the authority cover its operational costs.

To eliminate the problems associated with billing consumers, NEPA, said its Managing Director, Joe Makoju, has voted $24 million (about N3.1 billion) for new metering and billing system.

Makoju, in a message to the West Africa Business Association (WABA) meeting in London, however, assured that NEPA would improve on its services. To do so, it intends to buy 4,000 transformers before the end of the year and use the $120 million (about N15.6 billion) for strengthening transmission and redistribution lines.

Besides, contracts for rehabilitation and refurbishing of power stations across the country have been awarded to reputable contractors, said the NEPA boss at the parley. Makoju's submission was made just shortly before former helmsman of the authority, Bello Suleiman accused Justice Minister, Bola Ige of deception in his submissions before the Senate Public Accounts Committee.

Represented at the London meeting by Sebastian Koka of NEPA office in London, Makoju restated the authority's promise to provide 4,000 megawatts of electricity in the country by December as directed by President Olusegun Obasanjo.

The authority, according to him, is providing up to 2,5000 megawatts out of the country's total capacity of 5,888 megawatts.

He said that NEPA's efforts would be complemented by Independent Power Providers (IPP) who are encouraged to get involved in the provision of electricity to the people in line with "unbundling" power distribution system.

The managing director urged WABA to assist NEPA by attracting foreign investment in the power sector.

WABA is a group of about 170 companies and entrepreneurs having business interests in or with West and Central Africa.

Meanwhile, buck-passing at the on-going investigation of NEPA's N2.3 billion allocation by the Senate Public Accounts Committee continued yesterday with Suleiman accusing Iger, a former minister of Power and Steel of deception.

Suleiman said with deep emotions, which at once, resulted in his having to fight back tears, that he knew nothing about NEPA's fund and interests deals, as he had left the body before the disbursement of the money.

According to him, Ige who was Power and Steel minister when he was managing director should apologise to Nigerians for failing to keep to, "his covenant with Nigerians," and to the Senate, "for not telling the truth."

Specifically, he denied allegations of disloyalty, indiscipline and stubborness against him, arguing that he gave his utmost cooperation to the minister.

"I was always together with Chief Ige. We travelled together to Israel and Britain and Nigerians saw us on television. How come he summoned me three times and I did not go."

Testifying before the Senator Idris Abubakar-led Public Accounts Committee last week, Ige hinted that the delayed utilisation of the N2.3 billion was partly caused by the former management headed by Suleiman, which was reluctant in discussing the reversed programme of NEPA.

Insisting that the allegation was not true, Suleiman stressed: "I was not even in charge of the tendering for the contracts as the Ministry of Power and Steel under Ige then took over the tendering from NEPA." He backed up this claim with a letter dated October 21, 1999 which came from Ige, informing the management to forget tendering as the ministry would handle it hence.

Saying that the minister set up an adjudication panel headed by J.K. Babatunde, with Olu Agunloye as a member, Suleiman stated that he remain blameless over Ige's failed promise to reduce outages by 50 per cent within six months.

He hinted that the minister even regretted that promise when he later apologised to President Olusegun Obasanjo in a November 29, 1999 letter.

Asked what his feelings were when he was sacked, the former NEPA boss further displayed his emotions. He said that he knew his removal was going to come, even while he was committed to reviving power supply in the country.

Suleiman lamented an alleged fact that the nation was "going two years backwards to where we started," and maintained that "it was high time Chief Ige apologised to Nigerians."

Earlier, E. Ekerendu, a former secretary in the power and steel ministry said he would take permission from the head of service to submit the ministry's file to the panel.

Its extremely unfortunate that Imo and Anambra states have errand boys/money bag/visionless governors for leaders.
If progressive visionaries are at the helms of affairs in these states, they would have been already implementing this alternative energy source by now...among other things.