Okonjo-Iweala to Reps: ‘FG mobilizes N239.4bn to upgrade transmission in 2014’

The Minister of Finance and Coordinating Minister of the Economy, Dr Ngozi Okonjo-Iweala, has said the federal government mobilized about N239.445 billion ($1.5 billion) from multilateral sources to upgrade the transmission network this year and beyond.

Okonjo-Iweala disclosed this in her 102-page documented response to the 50 questions posed by the House of Representatives Committee on Finance. The document, according to the ministry, provides in extensive detail, including tables and graphs, answers to the committee’s questions.
A statement issued by the Special Adviser to the Minister, Paul Nwabuikwu, highlighted government’s major achievements in power as at 2013 and the completion of a comprehensive power sector privatization.

Nwabuikwu noted in the statement said that: “We have privatized four power Generation companies (Gencos) and 10 power Distribution companies (Discos), and have virtually settled all claims and entitlements of PHCN workers.”
 The statement also said: “In 2013, we also mobilized $1.5 billion (about N239,445 billion) in financing from multilateral sources for investment and upgrade of the transmission network in 2014 and beyond.”
“To promote clean energy, we also commenced construction of the 700mw Zungeru hydro-power project in 2013,” it added.
 Although the statement noted that “some major cities get an average of 16-18 hours of electricity per day in 2013’, it however said, the power supply consistency was short-lived after privatization due to some teething problems.
“This however dropped in November and December during the transition, we expect some teething problems and then power supply should pick up,” it said.
 Other achievements highlighted in the minister’s response include the strengthening of relevant power market intermediaries such as the Nigerian Bulk Electricity Trading Plc (NBET), and backing them with financing to stimulate greater private investments in the power sector.