Chairman-Nigerian-Electricity-Regulatory-Commission-Mr_-Sam-AmadiAll is set for enthronement of corporate governance as the Nigerian Electricity Regulatory Commission (NERC) has vowed to prosecute erring directors of the 14 power firms.

The firms, penultimate week, took over the assets of the unbundled Power Holding Company of Nigeria (PHCN) as part of plans for starting operations in January next year.

They include Amperion Power Company Limited (Geregu); Transcorp/Woodrock(Ughelli); Integrated Energy Company(Ibadan); NEDC/KEPCO (Ikeja); Vigeo Power Limited (Benin); Aura Energy Limited (Jos); Mainstream Energy Limited(Kanji).

Others are KANN Consortium (Abuja), Power Consortium (Port Harcourt), Sahelian Power SPV Limited (Kano), North South Power (Shiroro) and Interstate Electric Limited (Enugu).

Speaking to The Nation, the Chairman, NERC, Sam Amadi said the commission would review the guidelines guiding the appointment of people into the board of the companies to ascertain their fitness.

He said after investigation, NERC would hand over to the police any director found guilty.

He said the development became necessary to have only the ‘fit and safe’ personnel on the board.

Amadi said: ‘’The guidelines stated that the would-be- directors must be above 18 years, have enough experience/ training, good financial records, among others. If we find out that the person has questionable character via engaging in under-hand dealings, we will allow the law to take its course. We want to find out whether they have money to run the companies or not. If there is anything, we hand them over to the police,’’

‘’We will be reviewing the law guiding the appointment into the board of the14 power generation (GENCOs) and distribution companies (DISCOs),’’ he said.

Also, the Secretary, NERC, Ada Ozamenan, said the commission wants to ensure that only people with good financial backgrounds run the affairs of the firms as from next year.

She said anybody who engages in money laundering would not be allow to be in the board of the firms.

A former President, Senior Staff Association of Power Holding Company of Nigeria, Godwin Ifenacho, said the commission needs to continue due diligence in view of the problems that accompanied the selection and approval of the power companies.

He said one cannot guarantee the genuineness of the directors, arguing that they may be bad eggs in the board.

‘’To rule out bad eggs from the board of the companies is a problem. That is why NERC must apply the big stick by removing board members found engaging in shady practices when the companies start operations in 2014’’ he added.

It would be recalled that the Vice President, Namadi Sambo said companies that failed to operate in line with the privatisation guidelines would be sanctioned.

Sambo at the handing over of Ikeja and Eko Distribution Companies to their owners in Lagos, penultimate week, said the Nigerian Electricity Regulatory Commission and the Bureau of Public Enterprises have been mandated to monitor the operations of the PHCN’s successor companies for growth. He said the agencies would not hesitate to sanction any core investor that does not deliver on the performance agreement that was executed with the government.


Information from The Nation was used in this report.