Following the takeover of the power distribution and generation companies by new investors last week, it has emerged that the owners of the electricity utilities have adopted different short to mid-term management strategies to run their businesses.
THISDAY learnt that while West Power and Gas, the new owners of Eko Distribution Company (Disco), have decided to retain Mr. Ayodele Amoda, who was appointed managing director of Eko Disco almost two years ago by the federal government, others like Vigeo Power Consortium, which acquired Benin Disco, has appointed Mrs. Funke Osibodu as the new managing director for the power firm.
Mrs. Osibodu, an economist and seasoned banker, has spent most of her career in banking, where she rose to become MD/CEO of three banks – Merchant Banking Corporation, Ecobank Plc and Union Bank of Nigeria Plc.
West Power is not the only new investor that has decided to inherit the management left behind by Power Holding Company of Nigeria (PHCN) alongside the asset, as Amperion Power Company which bought Geregu I power station, has also decided to retain the services of Mr. Adeyemi Adenuga as managing director.
On the other hand, Interstate Electrics, the owner of Enugu Disco, has decided to dispense with the services of the managing director it inherited with a new MD and executive team.
THISDAY was informed by one of the investors that those who have decided to retain the executive management teams left behind by PHCN, stemmed from the need to maintain continuity.
“A lot of these MD and EDs have institutional knowledge and know where the skeletons are buried, so we decided to retain ours for at least a year or two to run the company.
“There are bound to be hiccups as we go along and sometimes it helps if we use experienced hands to tackle them head on instead of resorting to trial and error,” he explained.
However, another investor, who has decided to dispense with the PHCN executives, countered that his preference would be to start on a new slate given the amount of money his consortium had borrowed to acquire the power utility.
He said: “We cannot leave anything to chance. A lot of money is at stake and has been borrowed for acquisition and capital injection, so we would rather start with a new team that we know is efficient and can be trusted to deliver.”
He said even investors who have decided to retain the teams left behind by PHCN would in the near future bring in new hands as the businesses evolve.
Information from This Day was used in this report.