Liberalization in the Nigerian Power Sector
Being presentation made by Engr (Dr.) J.O Makoju- MD/CE PHCN Plc
At the National Workshop on Electric Power Liberalization:
Finance/Investment Organized by World Stage Limited on 30th
March 2006 at the Lagoon Restaurant, Victoria Island, Lagos, Nigeria
The Sector Pre-1999
§ Highly centralized vertically integrated
utility
§ Poor Commercial Performance
§ Little impetus toward reform (significant
§ Absence of a service delivery culture
§ Dwindling Investment
The Present Administration’s
Response
§ Short to Medium Term Strategy- improved
§ Medium to Long Term Strategy-
Restructure, Privatize and Liberalize the electricity
industry by put in place an appropriate legal &
regulatory framework to facilitate long term private
sector led growth
Major Steps so far taken …….………….cont’d
• Entry of IPPs (AES in Jun-01 and more
recently NAOC JV in Apr-05)
• RCM Contracts in Dec-01
• Introduction of a new Power Policy Mar-01
• Internal Unbundling; Introduction of Market
Operations; Staff Rationalization (2004-05)
• Formation of a Holding Company (PHCN
Plc) in May-2005
Commercialization of Optic Fibre- Aug-05
• Incorporation of successor companies of
NEPA (11no.-DisCos, 6no. -GenCos, 1no. -
• Promulgation of the EPSR Act in Mar-05
• Inauguration of the NERC in Oct-05
funding by the FG to the sector to rehabilitate and
expand electricity infrastructure
resistance to change)
TranSysCo)- Nov-05.
• Rural Electrification Agency inaugurated in
Mar-06
Back
