HomeIndustry SectorsGenerationEnergy monopoly in Nigeria may end

Energy monopoly in Nigeria may end

Aruba, Nigeria — ESI-AFRICA.COM — 19 January 2012 – The Nigerian House of Representatives is considering legislation which will bring to an end the long-standing monopoly held by the Power Holding Company of Nigeria (PHCN) in the country’s energy sector.

Leading debate on the bill here, Patrick Ikhariale said the epileptic nature of electricity supply in the country had led to the collapse of the manufacturing sector and dwindling economic fortunes.

He pointed out that globally, corporate bodies and states with financial muscle went into the business of generation, transmission and distribution of electricity. “We must take a cue from them in order to enhance the electricity industry in Nigeria,” he added.

“The Federal Government alone cannot meet the requirement as much as we need. Amending the Electricity Power Reform Act will enable state governments and other corporate organisations that have the resources to delve into power generation, transmission and distribution,” said Ikhariale.

He emphasised that there was a need to end the monopoly in order to open up the energy sector and to prevent companies in the country from shutting down.

After a long debate, Speaker Aminu Tambuwal referred the bill to the House Committees on Constitution Amendment, Power and Justice for further legislative input.