NATIONAL NATIONAL News

Liquidity Key to Power Sector Revamp – Minister 

Written by Yusuf Zubairu

The Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, says liquidity is the major solution required for the power sector in the country.

This aligns with the submission of the Managing Director of the Niger Delta Power Holding Company (NDPHC), Mr. Chiedu Ugbo, who informed the Senate Committee on Power that the Calabar Power Generation Company, under its ownership, is the best performing power plant in the country.

The Finance Minister Informed the Senate Committee on Power, tasked with investigating the controversial Make-Up Gas (MUG) Reprocessing Deal involving the Ministry of Finance, NDPHC, Calabar Generation Company Limited, and ACUGAS Limited, about the urgent need for liquidity in the power sector.

Mr. Wale Edun, who made this submission through his Special Assistant, Mallam Dahiru Moyi, said the agreement on gas supply between NDPHC and ACUGAS Limited was inherited by former President Muhammadu Buhari in 2015, as it was signed in 2011 during President Goodluck Jonathan’s administration.

According to him, as the Ministry of Justice was not aware of the contract agreement, his ministry was also not part of it from the beginning, however, since government is a continuum, the Ministry of Finance later became involved to facilitate the required liquidity.

In his submission before the Managing Director of NDPHC , Chiedu Ugbo , explained that the company as a result of the Gas supply agreement with ACUGAS Limited , is taking Gas from three out of five units and generating power from Calabar plant to the National Grid which according to him, is the best power plant in the entire country .

He said NDPHC went out of its way to construct 80 kilometres gas pipeline for utilization of MUG in Calabar and Alaoji power plants

In a remark, the Chairman of the Committee, Senator Enyinnaya Abaribe ( APGA Abia South) , thanked the stakeholders for giving the committee clarity on the issue but added that is still an on going investigation.

Bashir M