Group faults PHCN on contracts variations

B2507212-PHCN-HeadquartersA group, Nigerian Contracts Monitoring Coalition, has blamed the delay on execution of projects under the Power Holding Company of Nigeria (PHCN) on mild penalties.

Its Head, Mrs Seember Nyager, told The Nation that the law guiding projects execution has been relaxed, resulting in the abandonment of some contracts.

She said the penalty clause was relaxed in favour of some contractors, adding that the development has affected implementation of projects.

She said: “There are lots of contract variations in the sector. These have affected negotiations made and subsequently implementation of contracts. Cases abound where some contractors do not do the job and were not heavily penalised.’’

Nyager also the Chief Executive Officer, Public and Private Development Centre(PPDC), said the coalition is made up of Nigerian Society of Engineers (NSE), Media Right Agenda (MRA), Initiative for Environmental and Health Society, the Centre for Organisational and Professional Ethics (COPE-AFRICA) and the Bureau of Public Procurement (BPP). He said the coalition has been monitoring contracts to know their level of execution.

Also, the Chairman, Prevention, Investigation and Failures Analysis Committee, (PIFAC), Nigerian Society of (NSE), Charles Mbelede, stressed the need for monitoring of contract documents, specifications, among others, to encourage growth. This, he said, would enhance the monitoring exercise

Mbelede said the contracting firms did not place order on time, adding that the development has affected the implementation of several projects.

According to her, the group has focused attention on power projects including some electricity distribution projects in Lagos, Ibadan and Abuja.


[The Nation]



Read the latest energy industry news and researched articles
for oil and gas, power generation, renewable energy, events and more...