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House of Representatives
The House of Representatives Ad-hoc Committee investigating power sector reforms and expenditures between 2006 and 2024 has constituted a seven-man sub-committee to carry out a forensic audit of gas supplied to electricity generation companies across the country.
The sub-committee is chaired by Afam Ogene, with Kafilat Ogbara, Salisu Magaji, Faud Laguda and Harrison Nwadike among its members.
The decision followed the adoption of a motion moved by Nwadike, who questioned the rationale behind the continued supply of gas to the moribund Sapele Power Plant in Delta State for over a year.
Speaking at the National Assembly Complex on Tuesday, Nwadike said “the committee made the discovery during its recent oversight visit to the plant in Sapele, Delta State,” noting that “despite receiving gas supplies, the facility has not generated electricity.”
In his opening remarks, the Chairman of the Ad-hoc Committee, Al-Mustapha Aliyu, said there were widespread concerns among Nigerians that Seplat Energy Company was not supplying adequate gas to gencos as required, thereby strangulating power plants and short-changing the country.
Responding to the allegations, the Managing Director of Seplat Energy, Ibiada Itoto, dismissed the claims, insisting that “the company has remained committed to supporting the Federal Government’s power sector reform agenda.”
According to her, “Seplat’s primary objective has always been to ensure the sustainability and growth of Nigeria’s power sector, rather than undermining it.”
On his part, the General Manager, Gas, Seplat Energy Company, Mr Olubukola Fasoyin, disclosed that the Sapele Power Plant is currently indebted to Seplat to the tune of ₦20bn for gas already supplied.
Unimpressed by the explanations, Nwadike moved the motion for a forensic audit, stressing that Seplat may be guilty of an economic offence for allegedly acting as an accomplice to a power plant that has diverted gas supplied for electricity generation over the past one year.
In his reaction, Aliyu expressed dismay that a company of Seplat’s pedigree allegedly lacked the internal structure to detect foul play in the utilisation of gas supplied to power plants.
The Ad-hoc Committee was inaugurated by the leadership of the House as part of efforts to unravel longstanding challenges in Nigeria’s electricity sector, including persistent power outages, weak generation capacity and the huge public funds committed to reforms with limited results.
Between 2006 and 2024, the Federal Government implemented several power sector reform programmes, including the unbundling and privatisation of the Power Holding Company of Nigeria, the establishment of gencos and distribution companies, and repeated financial interventions running into trillions of naira.
Despite these measures, electricity supply has remained unstable, with generation frequently constrained by gas shortages, infrastructure deficits and mounting debts within the power value chain.
The committee’s mandate covers a review of expenditures, contractual arrangements, regulatory oversight and compliance by key operators, with a view to identifying leakages, enforcing accountability and recommending legislative or administrative actions to stabilise the sector.
The newly constituted sub-committee is expected to focus specifically on the supply, utilisation and monitoring of gas provided to gencos, a critical input for thermal power generation in Nigeria, and submit its findings to the main committee for durther legislative action. (The PUNCH)