Why NCP, Issued Post-Privatization Discharge Certificate To Transorp Power- Osinbajo

By Stephen Ubanna

Tony Elumelu, founder of Tony Elumelu Foundation, TEF, and Chairman of Transnational plc, and other declared conglomerates listed in the Nigeria Stock Exchange, SEC, is a happy man. Elumelu’s source of  happiness  was that his diversified investments in the nation’s power sector, hospitality and  oil and gas sector was not a waste after all.

The Consortium, power business  which had increased  available  and generation capacity  from 598MW and 240 MW to 720MW and 426MW, respectively, between 2013 and now, following significant investment  and rehabilitation of its generating  assets at Ugheli , gas plant in Delta state and Afam , in Rivers state, appear to have won the confidence of President Muhammadu Buhari.  That the company can deliver on its mandate.

The Company’s local Engineers had carried  out  the most sensitive  repair work  in a gas turbine at the 966 MW  Afam power  plant, without foreign technical support which was said to have saved  Nigeria huge foreign exchange spending. The Transcorp Group Chairman was emphatic that’’ their plants are managed and fully operated by Nigerians’’, thus ‘’creating jobs and reducing unemployment in the country’’. He may have gladdened the heart of Nigerians when he said that ‘’since the company started operations in 2013, it has recorded zero incident till date’’.

  The Katsina born Nigerian President, who is counting days in office to handover to Asiwaju Bola Ahmed Tinubu, a former governor of Lagos state and the President-elect on the Platform of ruling All Progressive Congress, APC, appear to have shown that the government appreciates the contributions of Transnational Conglomerate to reposition the nation’s power to ensure stable power supply.

This is evident as the National Council on Privatisation, NCP, under the Chairmanship of Vice President Yemi Osinbajo, has approved the acquisition of the Abuja Electricity Distribution Company, AEDC, by the Consortium.   The Nigerian NCP, may have been encouraged to do so because of the Trans afam outstanding performance, at the 240MW, Afam 3-Fast Power plant, located in Afam, Rivers state.

There is no gainsaying the fact that with the inauguration of the Afam 3-Fast Power plant, operated by the Group.  It has brought its Cumulative generating capacity of the plant to 1,000MW. As a prelude for the  Transcorp power to increase its Power generation,  the Nigerian Electricity  Regulatory Commission, NERC,  was said to have made a payment of N40 billion security  for gas suppliers .

 Some of the  Gas Company Marketers that may have benefited from  the  N40 billion security  payment included Nero Oil and Gas, Pigging Products Limited, Nigerian Gas Company, Bell Oil and Gas, Clean Global Gas, Intralog Nigeria, Cranes R-us Nigeria Limited,Desopa Engineering Limited,  and Maersk Nigeria Limited, and Mon International ervices and Supply Co. Others are Boc Nigeria Boc Gases, Time Logistics Limited, Soar Global Resources Limited, Oil Related Ventures Limited,  Nikosking Invest Limited.

This may have informed why the Transcorp Consortium Chairman, who could not hide his feelings had called on the incoming Tinubu’s Administration ‘’to increase gas supply to power generating plants across the country to ensure a reliable and table power supply.

Given the superlative performance of the Transcorp  Power  Generation Company since it took over effective control of Ughelli Gas  and Afam power plants in fulfilling all its  obligations between 2013 and now, the NCP, at the instance of the Nigerian President, was encouraged  to issue the Company  with ‘’the post-privatisation Certificate award’’ , on Monday, May 8, 2023, at an impressive Ceremony in Abuja.

VP. Osinbajo, Presents Transcorp Power Plant, Post-Privatization Discharge Certificate, To Elumelu, Consortium Chairman

In presenting the heart-warming Certificate to the Company, at the meeting of the NCP, an elated Vice President Osinbajo , noted that Transcorp  Power Limited , described as Nigeria’s leading  power generation Company  located in Ughelli, Delta state,  has’’ fulfilled  all Privatization conditions’’.

He asserted to the appluause of the shareholders present and the Management Team, including staff of other subsidiaries of the Transcorp Group, that ‘’Transcorp Power will no longer be subjected to post- privatization monitoring’’ .

The Value News findings shows that ‘’it is the first privatized government power generation Company to achieve this milestone’’ since the power sector privatization commenced in 2013.  Recall that the government had set a minimum of 670MW available capacity for the Transcorp plant to achieve but it has gone beyond it to hit a cumulative generation capacity of 1000MW, in 10 years.

Given an insider information of the post- 0privatisation programme of the government , Vice President Osinbajo, disclosed  that ‘’the  post –privitization  monitoring  was an important aspect  of the government’’ , noting that ‘’Transcorp power  has been able to ensure  compliance  and surpassed expectations with  all post-privation deliverables’’.

He was said to have urged the Transcorp team ‘’to continue in that path of performance and even do better in the future’’. He averred that the post-privatization Certificate issued to Transcorp  power which was the first  to be carried out by the NCP,  would not be the last post-privatization event  in the country’’.

VP.Osinbajo,Elumelu, Others In A Group Pix

Alex Okoh, Director General of Bureau of Public Enterprises, BPE, on his part was said to have congratulated  the Board and Management of Transcorp  for the milestones achieved in the last 10 years  in turning around the enterprise  for good. He had corroborated Vice President observation when he noted that Transcorp has ‘’met and exceeded the performance targets and all other covenanted obligations agreed during the signing of the privatization agreement in 2013’’.

He opined that Transcorp power plant had increased its generation capacity by 227% from   its operational stutus  as at the handover  in 2013, by the Nigerian government. The BPE, Director General, may have shocked Nigerians when he said that  the ‘’capital expenditure totaling N68.612 billion  was covenanted  for phase I, phase II, as additional  investment , but stated that the actual investment  made by the Transcorp power company was N83.85 billion, leading to a score of 143%.

 He was said to have concluded his speech by stating   that Transcorp invested and increased the power plant available capacity to 680MW, within four years of takeover from the BPE, surpassing the 5-year target of 670MW set by the BPE.  He did not stop there.

He was said to have  stated further that Transcorp Limited, which  is a member of West African Power Pool and a Participant in Economic of West African States, ECOWAS , Regional EElectricity Market,’’ not only supplies electricity to the Nigerian market but to the ECOWAS Regional market as well’’

An Appreciative Elumelu, the Transcorp Chairman, had thanked the government for ‘’their trust and confidence’’ in the Company.  He stated that in addition’’ to fulfilling the post – privitization performance criteria, the power company was driven by a strong indigenous agenda’’.

Leave a Reply

Your email address will not be published. Required fields are marked *