FG, World Bank PSRP loan negotiation ongoing, not abandoned – Fashola

The federal government has not concluded its negotiation of a $2.5 billion loan expected from the World Bank in support of the implementation of its Power Sector Recovery Programme (PSRP), the Minister of Power, Works and Housing, Mr. Babatunde Fashola, has disclosed.

To this end, Fashola, explained that the PSRP which was articulated as a means to address some post-privatisation challenges in Nigeria’s power sector, as well as improve power supply, has not been abandoned by either parties. The minister who disclosed this in a statement by his Senior Adviser on Communications, Mr. Hakeem Belo, noted that the PSRP sought to articulate all of the problems that were being reported about the power privatisation.

According to him, all the problems arising from the 2013 exercise were documented in the PSRP document.
He listed these to include challenges with generation; transmission; energy theft and tariff issues amongst others. Fashola, however said the PSRP was not all about the World Bank loan, adding: “The World Bank loan is just a component of the PSRP. We couldn’t reach a conclusive negotiation because some departments felt that additional provisions had to be made. That was a sticky point.”

“However, of the basket of issues in the PSRP, people seem to have identified the World Bank loan as the be-all-and-end-all of the PSRP. Certainly not and it is not off the table.” He said in addition to the loan from the World Bank, there were loans for the Transmission Company of Nigeria (TCN) for expansion from the same multilateral institution as well as from the African Development Bank (AfDB) for rural electrification.

Source: THIS DAY




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