PHCN: $1bn to be generated from privatization

Nigerian Government is expected to generate $1,001,654,534 from the sale of the five generation companies (gencos) unbundled from the Power Holding Company of Nigeria (PHCN) but the entire sum must be paid by the various successful bidders before the assets are handed over to the new core investors. Chairman of the Technical Committee of the National Council on Privatisation (NCP), Mr. Atedo Peterside made this clarification.

Peterside stated that Amperion Power Distribution Company Limited would pay $132,000,000 into the Federal Government’s treasury for the acquisition of the Geregu power station, while Transcorp and its partners – Woodrock, Symbion, Medea, PSL and Thomassen – would pay $300,000,000 for Ughelli Power Station. For Sapele Power Station, CMEC and Eurafric JV would pay $201,000,000, while $257,000,000 would be paid by Mainstream Energy Solutions Limited for Kainji Power Station.

He further stated that the Federal Government would earn $111,654,534 from the concession of Shiroro Power Station to North South Power Company. However, unlike the gas-fired power stations, the transaction for Kainji-Jebba hydro power station is a 15-year concession and not an outright sale, he said. Also, for the Shiroro hydro power plant, North-South Power Limited will manage the station under a concession.