Public Investment Critical Factor To Power Reforms – Amadi

Forum 8 years ago

Public Investment Critical Factor To Power Reforms – Amadi

Two major disciplines have been identified as key to the total overhaul of the power sector in the country.


These are, the discipline of proper project management, and that of prudent public sector investment seen as critical success factors if Nigeria would emerge from the woods of underdevelopment.


According to Dr Sam Amadi, the chairman, chief executive of the Nigerian Electricity Regulatory Commission (NERC), “When our capacity of project management improves, starting from who gets the contract then the country would have started the journey of the rebirth of Nigeria.


“If we had been efficient and reduced corruption more since the beginning of the power sector reform, we would have attained 6,000 megawatts now.


“ More power was expected from the various projects like the National Integrated Power Project (NIPP), however, the failure of some of these projects arose from the historic problem of budgeting in Nigeria.The new government can improve project execution by changing the budget system. That way, important projects are fully funded to avoid lapses.”


Amadi advised government to continue to make critical investments in the sector, particularly in transmission services.


“These investments should be regulated by the regulator to ensure prudence and relevance.

“If we invest prudently and strategically Nigeria will accomplish more with less,but if investments are not regulated and are dictated by political or bureaucratic considerations, then there will be little value for money.


“ Presently, power generation nationally has been fluctuating between 3,600mw-3,800mw,” he added stating that during the campaigns, power dropped to the lowest due to vandalism.”

He urged the new government to continue to maintain the regulatory independence of the regulatory agency, NERC in addition to also providing more of policy support on renewables and gas supply especially on areas that require more policy clarity.


Amadi pointed out that the present team of seven commissioners inherited a sector that lacked credibility and that they have done well by restoring regulatory credibility.
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