Firm plans N98bn investment in power sector

electric-power-lines httpwww_treehugger_comTo give a boost to the on-going private sector participation in the Power Sector Reform of the government, another Nigerian electricity company, Nsquared Integrated Electric Nigeria Limited, has disclosed plans to invest N98 billion to develop effective technical structural model for power industry reform and set up network boundaries for providers and operators.

The company which is also seeking to provide Integrated Operation Management system for the power industry for easy and fast fault detection and clearing as well as to partner and invest with the transmission and distribution companies in operation management development on equity arrangement as System Operator in-line with section 26(7) and 66 of the EPSR Act2005 has expressed regret that some persons in government are frustrating its efforts to get the ministry of Power to officially engage it for the services.

Available documents endorsed by Engr. Bassey F. Nkamado, President and Chief Executive Officer showed that the company is still seeking for the letter of appointment as Development and Investment Partner for the detail design and participation in TCN development plan for the utilization of Basfonie Operation Management System (BOMS) Project is in fulfillment of section 40, 42 and 45 of the Public Procurement Act 2007.

According to him, the company still awaited to be invited for investment partnership meetings by the Federal Ministry of Power on the review, preparation and execution of the partnership agreement, memorandum of understanding and equity guarantee documents with Infrastructure Concession and Reconstruction Commission (ICRC) after several years of follow up to secure the letter of appointment and signing of Memorandum of Understanding (MoU) with the ministry.

He disclosed that the Financial Implication of the Investment Partnership is put at N98 Billion of which the federal government part is in the provision of all required land, utilization of our services, guarantees, support, approvals and assistance to enable us recoup on the investment.

With this deregulation of the power sector will yield great democratic dividends for our economic growth. The source of fund he said shall be from NIE and FG equity investment participation of NIE = 80per cent and FG = 20% contained in its evaluation report for budget provision.

He also stated that after several meetings on the matter, Nsquared Integrated Electric Company Ltd submitted its Detail Investment Profile ref: NIE/CEO/ Vol.02/2011/076 Dated 24th November 2011 as requested by TCN Management ref: TCN/01/90.003/947/2011 dated 3rd November 2011 for consideration.

“These projects seek to establish an investment partnership between Nsquared Integrated Electric Company Ltd and the Federal Government for the development of the Transmission Sub-sector with the Basfonie Operation Management System – BOMS developed by Nsquared.

“This shall provide cutting-edge technology in Integrated Operation Management System for industry transformation for power stability. Nsquared shall collaborate with Federal Government strategic development plan and invest required fund on their part in complete power system design, procurement, construction and installation to meet-up target requirement for transmission system expansion, upgrade and operations for effective system operation, load dispatch, congestion management, energy purchase and transmission for power stability and reliability. This Public – Private Partnership is a design, construct, finance and manage Project” he stated.

 

Information from National Mirror was used in this report.

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