Reps halt plan to borrow N309bn to finance power

Posted by News Express | 28 April 2016 | 1,879 times

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House of Representatives yesterday stopped plans by the federal government to raise a secured bond of N309 billion to finance the shortfalls in the Nigerian electricity market.

The House also called on the Federal Ministry of Power, Works and Housing, and the Nigerian Electricity Regulatory Commission, Nigerian Bulk Electricity Trading, NBET, to immediately halt the move to raise the bond.

This followed a motion moved by Hon. Edward Pwajok (PDP, Plateau) on the floor of the House.

In his lead debate, Pwajok expressed concern that the planned borrowing was in spite of intervention by Central Bank of Nigeria in March 25, 2015, through the grant of a bailout.

The lawmaker said the bailout was to the tune of N213billion through the Nigerian Electricity Sector Intervention, NESI, facility.

Also contributing, Hon. Wale Raji (Lagos-APC) said that Nigerians were being subjected to darkness at huge cost, as citizens cannot continue to subsidise the electricity supply tariffs.

In its resolution, the House urged NERC to devise a monitoring mechanism to measure and enforce full monthly remittance by DISCOs, recoup all misappropriated funds that resulted in the accumulated market shortfalls. (Nigerian Pilot)

•Photo shows the House of Reps in session.

Source: News Express

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