Omonigeriarere:


Contracts like this are revocable, but with stringent condition which majorly favours the offeree.

I can bet it, the investors will be pleased if the.offer can be revoked: they will all smile to bank at all times.

Yeah. We might lose huge money but the long term benefit we will get from a functioning electrical sector is incomparable. Also, we should be able to rely on failure to perfom their parts of the contract for the revocation. It is a good defence and will likely succeed in court.

Kyase:
since 2015 we the people of gboko benue state enjoy atleast 18 hours of electricity supply till date, well except on thursday last week that we didn't see even flash.

how many Pple get TV and DVD not to talk of AC, Fridge, water dispenser ND d likes for Una village

Reference:


Revoke the licenses and then do what. Isn't it clear that if there is no performance across the bnard that it is the structure of the power sector that is at fault.

When it was privatised what they did was to break up the old PHCN into unworkable independent units. What is the meaning of GENCO and DISCO. In advanced countries there is just the power company that generates, transmits and distributes. It is like saying Nitel was broken up and MTN bought satellite access, GLO bought the masts and switch boards and Airtel bought the fibre optics and copper cables. That is absolute rubbish and unworkable. Which bank will fund this disjointed arrangement. If they cannot see value from gas supply to consumer units they will not invest.

The issues of gas supply debts, power rejection are just some of the signs all parties involved are not working for the same business interests.

Yes, the privatisation is a horse that has bolted but the horse can be pursued, caught and ridden. The process can be repaired with the consent of all parties involved. The government should encourage mergers and consolidation into no more than three of four companies with each posessing generating, transmitting and distribution capabilities.

You made too much sense boss

woodcook:


You know you can still pass your message without calling the past administration names?

I wouldn't want to go round in a cycle with you while we both rant about what is and what is not.

If you could please post data or charts that show that power generation is better under the present administration than during the time of the past government? Once you post it, I can discuss with you based on evidence and not sentiments until then hold your peace!

You could have done better to show the progress recorded after it has been privatised under the same regime so far the same regime experienced both.

U need to grow up.

aby1976:


Your own better

They ve never given me anything less than 10k. 2rooms self contain. As am talking to u now am at work and know when i will get home. U get home self where is the light? Those people are bastards

BABA ME SELF DEY WORK LIKE THIS OO.. I HARDLY STAY AT HOME BRO AND IF I AM HOME MY BVRO NA FUEL THINGS OO..

B E.D.C re the biggest culprit here with their crooked ways,most times it's 4 hrs a day, which is even on a day that the light is seen at all because most days we go without light for days,yet at the end of the month, they still ve the temerity to bring their outrageously manipulated bills..


That was how they brought a bill of 1.7 million for a duplex,how come and it's not like the occupants of the house haven't been paying since the house was built.

.
Useless bunch of mofos... I don't know y Buhari has not revoked their licenses to send a signal that he means business...


Funny enough immediately Buhari took the mantle of leadership, power supply improved mainly because they didn't know how the president would react to their shenanigans yet, which meant that they just needed to test the waters first after which they went back to their old ways...

Justdare:
"Load Rejection"When I heard the new terminology in the Nigerian power sector I weak.
How can you reject load when the consumers don't have power at all. All in a bid to reduce what is remitted to GenCos.
Naija we hail thee.

Partly.
The major reason is also stated by the Minister. The assets infrastructure to distribute the given power are weak and unreliable. If the Discos cannot distribute the power allocated due to weak infrastructure, then they will continue to accumulate debts.
Also most Nigerians are rejecting the idea of estimated billing - from where most of the Discos makes their kill.

Fashola is just discovering what everybody else has known for over two years and you are here clapping for him.

Perhaps now he has discovered the glaringly obvious he can take some action sometime before 2022!

Before APC won the election he said "its not rocket science" to give us electricity.

Now he has climbed to the seat he has found out that it is quantum physics.

Rubbish.

politeboy:
mr fashola this is what nigeria inherited from pdp. its pure politics by pdp. pls clean the shit and pooh made by pdp. Discos that cannot supply or install ordinary cable what do u expect. this discos are all briefcase companies. pls terminate their contract and bring in better people. useless pdp.

VULCAN:
Fashola is just discovering what everybody else has known for over two years and you are here clapping for him.

Perhaps now he has discovered the glaringly obvious he can take some action sometime before 2022!

Before APC won the election he said "its not rocket science" to give us electricity.

Now he has climbed to the seat he has found out that it is quantum physics.

Rubbish.

Who sold the assets to incompetent briefcase business men?

I see Fashola getting frustrated here ....Let him just be bold and do the needful!

Moreoffaith:


Awon eleribu dede

Na so dem dey bring #3500 come give me for mini flat like say i dey produce soap for my apartment

Me wey i no dey stay house.

make dem force dem to share prepaid meter and lets see if light no go dey.

That's the only way to solve the problem

Maduawuchukwu:
Hmm. I respect the sanctity of contract but I do not believe that the government should obey a contract which did not meet the laid down requirement and was still is not able to perfom it's contractual duty. The Privatisation exercise carried out by Nnamdi Sambo was one of the worst things to happen to Nigeria. Power Assets were given to criminals who are incompetent like Emeka Offor etc.
I recommend that their contracts should be cancelled and new exercises.

He can't because it is the govt that has violated their part of the contract. The discos bought with the agreement that the tariff would be cost reflective. The gas producers have been increasing their prices at triple what was agreed and the discos have yo bear that cost. That leaves little or no money for the infrastructure development they are meant to do.

Govt is also the highest debtors to discos which include military formations and other ministries to the tune of billions.

Seems someone in high office, like us rest is sounding exasperated!

Useless lot!

ProWalker:


Partly.
The major reason is also stated by the Minister. The assets infrastructure to distribute the given power are weak and unreliable. If the Discos cannot distribute the power allocated due to weak infrastructure, then they will continue to accumulate debts.
Also most Nigerians are rejecting the idea of estimated billing - from where most of the Discos makes their kill.

That's a rather convenient excuse for rejecting load. We both know that not all power infrastructure is weak in Lagos for instance. Weak infrastructure is true for some substations but it should translate to 24hrs supply to the areas with "unweak/disweak" (pick your choose) infrastructure. This is not the case. Which will make me assume and submit that there is a foul play somewhere.
All they do is cheat Nigerians and it won't stop us from yelling "UP NEPA" whenever we get some.

Omonigeriarere:


You could have done better to show the progress recorded after it has been privatised under the same regime so far the same regime experienced both.

U need to grow up.

You are the more that said that past administration didn't do jack when it comes to power generation, I then asked you to provide evidence and just like I suspected you posted your 'bla bla again".

If there is anyone needs to grow up that should be you. You always come here to bamboozle kids with your rants, for me it is very simple either you provide hard facts to support your claim that the pass administration did not provide the masses with power more than the current administration is doing presently (as insinuated by your posts) or quietly keep your opinion to yourself. I am not interested in your rants this afternoon.

By the way this is the last response from me, if you like start or end your next rant with an insult to yourself na you sabi.

We sold power to those who have no idea on power.-- Bukola Saraki

blank:


He can't because it is the govt that has violated their part of the contract. The discos bought with the agreement that the tariff would be cost reflective. The gas producers have been increasing their prices at triple what was agreed and the discos have yo bear that cost. That leaves little or no money for the infrastructure development they are meant to do.

Govt is also the highest debtors to discos which include military formations and other ministries to the tune of billions.

That's a good one but are investors of such calibre not expected to come with enough money initially to Carry out the major infrastructural projects knowing fully well that they will likely sustain losses in the beginning stages? Which kind of enterprise is this where the investors come in with the hope that they will carry out their first projects from profit gotten from the business? Is that the way big Telecos like MTN, GLO etc operated at inception?

Maduawuchukwu:


That's a good one but are investors of such calibre not expected to come with enough money initially to Carry out the major infrastructural projects knowing fully well that they will likely sustain losses in the beginning stages? Which kind of enterprise is this where the investors come in with the hope that they will carry out their first projects from profit gotten from the business? Is that the way big Telecos like MTN, GLO etc operated at inception?

First off, there is no profit. Most of the serious ones actually have capacity to do so and are doing it. However, remember that they came in with certain assumptions which were based on the false information govt gave them. Information that ultimately means that the DISCOs were overvalued and have now been made illiquid.

Let me use a small example. Imagine that you want to buy 100 oranges for resale. You agree the price of N100 for all with the promise to be able to resell at N150 which is mutually agreed. You also have an extra N70 that you would like to use to touch up the shop to further enhance future sales. However, you received 90 good oranges that could be resold and then you cannot sell at N150 but N90 because people will be upset. The seller also holds on to 10 oranges for his younger brother with a promise to pay the sales price later. The cycle continues. No matter how much extra you have, it cannot even cover the cost of the oranges and you will keep digging deeper into a hole. You do not want to walk away because it will mean losing all your money as against the premise that you will one day be able to recover all your money and start making gains.

I have tried to simplify the issues without giving away too much. Govt should first pay what they owe. Inflation in Nigeria is in double digits and the DISCOs are not immune.

blank:


First off, there is no profit. Most of the serious ones actually have capacity to do so and are doing it. However, remember that they came in with certain assumptions which were based on the false information govt gave them. Information that ultimately means that the DISCOs were overvalued and have now been made illiquid.

Let me use a small example. Imagine that you want to buy 100 oranges for resale. You agree the price of N100 for all with the promise to be able to resell at N150 which is mutually agreed. You also have an extra N70 that you would like to use to touch up the shop to further enhance future sales. However, you received 90 good oranges that could be resold and then you cannot sell at N150 but N90 because people will be upset. The seller also holds on to 10 oranges for his younger brother with a promise to pay the sales price later. The cycle continues. No matter how much extra you have, it cannot even cover the cost of the oranges and you will keep digging deeper into a hole. You do not want to walk away because it will mean losing all your money as against the premise that you will one day be able to recover all your money and start making gains.

I have tried to simplify the issues without giving away too much. Govt should first pay what they owe. Inflation in Nigeria is in double digits and the DISCOs are not immune.

I love ur arguments. What do you think is the way forward sha as every segment does not want to move ground?

Ajibel:


The clauses in the contract makes it difficult for the contract to be terminated.

If the government does that, it'll send a very wrong signal to the investment community and there would be so much losses coupled with the fact that the discos can take the FG to court.

These clauses have not even been lucidly spelt out for us to know if it can hold water. We certainly cannot continue like this. Then we are not far from the truth if we call it a 'Witchcraft Agreement' even with the so call education of the last administration. Oh God, why why am I in this shit hole

politeboy:
mr fashola this is what nigeria inherited from pdp. its pure politics by pdp. pls clean the shit and pooh made by pdp. Discos that cannot supply or install ordinary cable what do u expect. this discos are all briefcase companies. pls terminate their contract and bring in better people. useless pdp.

Suprised That in 2017 you still have party politics in your head .Apart from New faces in government like GEJ ,Fashola,and other young politicians in the last 8 years the Nigerian govt has always been controlled actively or passively by the same set of leaders starting way back from the 70's.they have moved from different parties at different times .please let us not blindly blame one faction it is problem with unanimous cause,let's tackle it together

politeboy:
mr fashola this is what nigeria inherited from pdp. its pure politics by pdp. pls clean the shit and pooh made by pdp. Discos that cannot supply or install ordinary cable what do u expect. this discos are all briefcase companies. pls terminate their contract and bring in better people. useless pdp.

we all know why there is problems all over the world, but why we Nigerian's have refused to progress is ignorance and sentiment's you had from the comment that Fashola told the discos
“Rather than complain about old infrastructure, I wish to remind you that nobody forced you to buy these assets, and that you knew what you were buying when you bought them.
So why bringing in sentiment of PDP and APC in the causing it when they are suffering us we still give them the excuse to dupe us the more in a week of 168 hours you can only have light in less than 24 hours and at the end of the month you get bill of 500 in a 3 bedroom flat, yet you see nothing wrong in it habbaa!! Let us tell ourselves and this people the truth this a rip off and pure fraud, we the consumers buy or donate the transformers, cables, insulators, poles and still pays for the installation of all these which by right of them being the distribution company they are surppose to do all that yet we the consumers do it yet we dont see light and you say they are not to be blamed, well thats my summation i just want to make common sense!!

The most important thing is for the minister to enforce the directive that all customers should be metered first of all. Secondly, there should be visible investment in facilities and of course, improved power generation.

Then , and only then, will people be amenable to their constant requests for increase in tariffs!

blank:


First off, there is no profit. Most of the serious ones actually have capacity to do so and are doing it. However, remember that they came in with certain assumptions which were based on the false information govt gave them. Information that ultimately means that the DISCOs were overvalued and have now been made illiquid.

Let me use a small example. Imagine that you want to buy 100 oranges for resale. You agree the price of N100 for all with the promise to be able to resell at N150 which is mutually agreed. You also have an extra N70 that you would like to use to touch up the shop to further enhance future sales. However, you received 90 good oranges that could be resold and then you cannot sell at N150 but N90 because people will be upset. The seller also holds on to 10 oranges for his younger brother with a promise to pay the sales price later. The cycle continues. No matter how much extra you have, it cannot even cover the cost of the oranges and you will keep digging deeper into a hole. You do not want to walk away because it will mean losing all your money as against the premise that you will one day be able to recover all your money and start making gains.

I have tried to simplify the issues without giving away too much. Govt should first pay what they owe. Inflation in Nigeria is in double digits and the DISCOs are not immune.

Firstly, the discos have not invested any money as they have made Nigerians think.
Secondly, they didn't do any better even when there was no inflation.
I have top engineer with BEDC warri branch and he made me to understand that owners obviously know nothing about these things, all that they want in their mediocre thinking is just to make money. They don't have the interest of the nation at heart. It's just an opportunity for them to make money and they are making it in billions. no thanks to the witchcraft agreement that after all cannot be terminated

Maduawuchukwu:

I love ur arguments. What do you think is the way forward sha as every segment does not want to move ground?

First off, govt should pay what it's ministries and security outfits are owing. Then, TCN through NBET (govt owned institutions) should not be using exchange rate of N400 to bill the DISCOs when it was N198 that was the agreed price at the last tariff increase. Then they can modify as they go along.

Ajibel:


Bro, it isn't possible to terminate their contract like that for so many reasons besides they are backed by the law too. If not Osinbajo and Fashola who are both lawyers would have revoked any discos license who doesn't meet up to expectations.

Then a bill should be passed for the ammendment of those laws six that any DISCO that refuses to perform should be given the boot. No time for excuses anymore

chimauk:
how many Pple get TV and DVD not to talk of AC, Fridge, water dispenser ND d likes for Una village

lol all aside AC

bareal:


Firstly, the discos have not invested any money as they have made Nigerians think.
Secondly, they didn't do any better even when there was no inflation.
I have top engineer with BEDC warri branch and he made me to understand that owners obviously know nothing about these things, all that they want in their mediocre thinking is just to make money. They don't have the interest of the nation at heart. It's just an opportunity for them to make money and they are making it in billions. no thanks to the witchcraft agreement that after all cannot be terminated

BEDC is not all the DISCOs. And i seriously disagree with what your top engineer has told you. He sounds like one of the pained PHCN staff that have their alternative sources of livelihood being cut short. Even if he is the Business Manager of Warri Business Unit, i doubt he is competent enough to give such feedback.

BEDC that has spent money in creating relief feeders and purchasing new MW transformers. Remember that it is a value chain with TCN being the major bottleneck. TCN has to make power available to an injection substation from which the DISCOs then distribute to our individual houses through a network of feeders and transformers. Where they add value is in creating additional feeders to relieve the overloaded feeders, repairing/replacing faulty transformers, ensuring a fair and reasonable measurement of energy consumed and providing multiple ways to make seamless and stress free payments. In it's simplest form.

But a situation where people will gladly bypass and are happy to let others pay for the energy they consumed whilst screaming and swearing at the DISCOs for not providing 24hrs light is not also healthy for the country.

bareal:


Firstly, the discos have not invested any money as they have made Nigerians think.
Secondly, they didn't do any better even when there was no inflation.
I have top engineer with BEDC warri branch and he made me to understand that owners obviously know nothing about these things, all that they want in their mediocre thinking is just to make money. They don't have the interest of the nation at heart. It's just an opportunity for them to make money and they are making it in billions. no thanks to the witchcraft agreement that after all cannot be terminated

Their cost of the electricity produced (gross cost alone) is also in billions.

Ajibel:


Bro, it isn't possible to terminate their contract like that for so many reasons besides they are backed by the law too. If not Osinbajo and Fashola who are both lawyers would have revoked any discos license who doesn't meet up to expectations.

On the effect of contracts cancellation or revocation, the Minister declared that “it weakens the economy, it frustrates enterprise and leads to poverty and unemployment through job losses, loans taken from banks are endangered and the knock on effect is more than we often can see on the horizon, because the bad word spreads around the global investment community very quickly like wildfire

http://www.vanguardngr.com/2016/02/fgll-renegotiate-not-revoke-inherited-contracts-fashola/

Reasons given by Fashola why it's bad to terminate contracts and he made a lot of sense, we lose and gain nothing by terminating contracts. We just have to be more diligent before entering into any future contracts.

The privatization thin was all based on politics, corruption, cronyism and governmental incompetence. They sold assets to groups with little or no knowledge about power generation and distribution or even financial portfolio to draw on for power investments needed to boost their operations and this is why they are in trouble and the facts that banks don't trust them and not willing to loan them funds complicates the whole situation.

Right now, the DISCOS should be investing in critical assets or even diversify by selling stand alone solar solutions to consumers like home owners for extra income.

Even MTN is encroaching by selling portable solar solutions to consumers, this is what the DISCOS should be doing, but they have no funds to invest or maybe they are just incapable and incompetent across the board to run power companies, I really think they are.

Unfortunately, Nigerians are paying for this sad error by the previous administration.

Maduawuchukwu:
Hmm. I respect the sanctity of contract but I do not believe that the government should obey a contract which did not meet the laid down requirement and was still is not able to perfom it's contractual duty. The Privatisation exercise carried out by Nnamdi Sambo was one of the worst things to happen to Nigeria. Power Assets were given to criminals who are incompetent like Emeka Offor etc.
I recommend that their contracts should be cancelled and new exercises.

Touché. Laws/contracts/constitutions are made for men. Not the other way round.

blank:


BEDC is not all the DISCOs. And i seriously disagree with what your top engineer has told you. He sounds like one of the pained PHCN staff that have their alternative sources of livelihood being cut short. Even if he is the Business Manager of Warri Business Unit, i doubt he is competent enough to give such feedback.

BEDC that has spent money in creating relief feeders and purchasing new MW transformers. Remember that it is a value chain with TCN being the major bottleneck. TCN has to make power available to an injection substation from which the DISCOs then distribute to our individual houses through a network of feeders and transformers. Where they add value is in creating additional feeders to relieve the overloaded feeders, repairing/replacing faulty transformers, ensuring a fair and reasonable measurement of energy consumed and providing multiple ways to make seamless and stress free payments. In it's simplest form.

But a situation where people will gladly bypass and are happy to let others pay for the energy they consumed whilst screaming and swearing at the DISCOs for not providing 24hrs light is not also healthy for the country.

My brother there's no excuse for mediocrity. it's damn glaring.
we can't be comfortable in this situation because by your submission, there's no solution in sight. This is not a good sign at all.