Friday, 3 August 2012

Court restrains Minister, NERC Chairman & PHCN from awarding prepaid meter contract


An Abuja Federal High Court has issued an interim order restraining the Minister of Power, Prof. Bart Nnaji, the Chairman of the Nigerian Electricity Regulatory Commission, Dr. Sam Amadi, and the Power Holding Company of Nigeria from going ahead with the award of contract for prepaid meters, pending the determination of a suit brought by a firm, Ziklagsis Network Limited. The order was issued by Justice Gladys Olotu of a Federal High Court in Abuja.
Ziklagsis Network Limited claimed that the PHCN had in 2003 entered into a tripartite agreement with it and Unistar High-Tech System Limited for the maintenance of prepaid electricity meters. The firm also alleged that the said agreement was frustrated by senior management personnel of the PHCN through various manipulations.
An arbitral panel headed by Justice Kayode Eso, a retired justice of the Supreme Court had earlier issued an order restraining the Power Holding of Nigeria (PHCN) from awarding the contract to any other company pending the determination of an appeal brought by a firm, Ziklagsis Network Limited. But Nnaji was said to have vowed that the government of Nigeria would not be bound by any court order.
 PHCN had in 2003 entered into a tripartite agreement with Ziklagsis, Unistar High-Tech System Limited for the maintenance of Prepaid Electricity Meters.  Ziklagsis in separate letters to Nnaji and Amadi alleged that the agreement was frustrated by very senior management staff of the PHCN through various manipulations.

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