Some power firm managers award inflated contracts to relatives –Fashola

The Minister of Power, Works and Housing, Mr. Babtunde Fashola, on Monday alleged that the managers of some power distribution firms were awarding inflated contracts to their relatives.

He also threatened to sanction the firms for their continued inability to deliver on agreed terms.

While condemning the recent statements by the firms, a visibly angry Fashola declared that the power firms had failed in many aspects.

According to him, allegations of obsolete infrastructure in the power sector by the companies are unnecessary because they were aware of the state of the facilities when they purchased the assets.

The minister, who spoke during the 15th monthly meeting of power sector stakeholders in Jos, Plateau State, also demanded that participants should cast a vote on whether to carry on with the meeting every month or to put an end to it, as he expressed worry over the poor attendance at the forum.

Fashola was particularly pained by the actions of the power distribution companies, who according to him, are bent on frustrating the stakeholders’ meetings, adding that the Discos had failed in providing meters and electricity feeders, as well as remitting very poor revenue to the market and making false allegations against the government, among others.

The minister, who chaired the meeting, also lamented the electrocution of seven persons at a football viewing center in Calabar, Cross River State recently, and blamed it on man-made errors of the power companies.

“Whilst the accident is regrettable and the consequences very saddening, they were clearly man-made and avoidable; and if we must learn any lessons from the accident, it is to honestly and truthfully admit that it occurred as a result of non-compliance with laws and regulations,” he said.

On how the Discos frustrate efforts of the government, Fashola said the firms had formed themselves into an association of power distribution companies and had persistently issued statements on issues they either did not present for discussion at meetings, or which contradicted the communique jointly agreed and released after each meeting.

The minister, however, declared that his ministry reserved the right to recognize or deal with the Discos as a body, adding that the Nigerian Electricity Regulatory Commission and the Nigerian Bulk Electricity Trading Plc would communicate a similar position to the firms.

SOURCE: http://punchng.com/some-power-firm-managers-award-inflated-contracts-to-relatives-fashola/