Headline National News

Reps queries $40m monthly on power sector

The House of Representatives has queried the Nigerian Bulk Electricity Trading, NBET and the Niger Delta Holding Company NDPHC for spending over forty million dollars monthly on power sector without results.

The Chairman of the House Committee on Finance Investigating the Proposed Sale of the National Integrated Power Project NIPP, Mr James Faleke issued the query during a public hearing in Abuja.

Mr Faleke expressed displeasure over the manner the government agencies conducted businesses without due process, despite the huge investment in the power sector, Nigerians were yet to feel the impact.

He questioned the rationale behind payments by NBET to one of the power operators, Azura power plant to the tune of thirty three million dollars monthly without approval from the Federal Executive Council FEC and ten million dollars expended by NDPHC on gas monthly through AKU gas.

The Chairman urged the agencies to review the contract agreements to reduce the burden on Nigerians.

A member representing Jibia-Kaita Federal Constituency of Katsina state Sada Soli sought clarification on the process of the contract agreements.

Managing Director of NBET, Mr Nnaemeka Eweluka who insisted that NBET does not require the approval of FEC for some expenditure, said Nigeria was still in the process of providing enhanced value for electricity.

The Managing Director NDPHC, Mr Chinedu Ugbo explained that the company went into agreement to take or pay for gas to the tune of ten million dollars monthly.

The Committee also directed Federal Inland Revenue Services FIRS to provide it with comprehensive tax payment of all operators of power plants in the country.

The Chairman also directed NBET and NDPHC to provide the committee with all monthly invoices for payments attached to each agreement.

Reporting by Ibrahim Shehu; editing by Adeniyi Bakare