Sale of PHCN’s Successor Coys Records Flood of Interest
- By Simeon Ogoegbulem
- Published March 14th, 2011
- News
- Unrated
The Bureau of Public Enterprises (BPE) received a total of 325 applications for expressions of interest (EOIs) in the privatisation of the successor companies created out of the Power Holding Company of Nigeria (PHCN).
The government has time and again restated its resolve to throw open the power sector to private operators, an announcement that resulted to a deluge of interest from prospective investors in the Nigerian power sector.
As part of the strategies to encourage private sector operators, the National Council on Privatisation (NCP), the apex government agency on privatisation matters initiated moves to sell 18 companies carved out of the PHCN, the only power monopoly in the West African country. The successor companies are 11 power distribution firms, four thermal stations, two hydro stations and one Transmission Company.
A statement from the BPE showed that a total of 325 firms have indicated interest to buy into the PHCN successor companies. A breakdown showed that 174 applications were received from prospective investors/concessionaires interested in acquiring the four thermal stations and the two hydro stations. 151 applications were harvested from prospective investors interested in acquiring the eleven distribution companies.
The privatisation agency had last December invited prospective core investors to express interest in the eleven distribution companies unbundled from the PHCN.The BPE also invited prospective core investors to express interest in the four thermal power stations and as concessionaires for the two hydro power stations.
Following representations by prospective investors who attended the five-city Electric Power Investors’ Forum which was to court world class investors to participate in the privatisation of the successor companies, the federal government approved the extension of the deadline for the submission of EOIs to Friday, March 4, 2011. The approval was granted by Vice-President Mohammed Namadi Sambo, chairman of the NCP. The fora were held in Lagos, Dubai, London, New York and Johannesburg.
The core investor sales to be carried out through international competitive bidding will cover the eleven electricity distribution companies in the country. They are Abuja Electricity Distribution Company Plc; Benin Electricity Distribution Company Plc; Enugu Electricity Distribution Company Plc; Eko Electricity Distribution Company Plc; Ibadan Electricity Distribution Company Plc; and Ikeja Electricity Distribution Company Plc. Others are Jos Electricity Distribution Company Plc; Kaduna Electricity Distribution Company Plc; Kano Electricity Distribution Company Plc; Port Harcourt Electricity Distribution Company Plc; and Yola Electricity Distribution Company Plc.
The government has time and again restated its resolve to throw open the power sector to private operators, an announcement that resulted to a deluge of interest from prospective investors in the Nigerian power sector.
As part of the strategies to encourage private sector operators, the National Council on Privatisation (NCP), the apex government agency on privatisation matters initiated moves to sell 18 companies carved out of the PHCN, the only power monopoly in the West African country. The successor companies are 11 power distribution firms, four thermal stations, two hydro stations and one Transmission Company.
A statement from the BPE showed that a total of 325 firms have indicated interest to buy into the PHCN successor companies. A breakdown showed that 174 applications were received from prospective investors/concessionaires interested in acquiring the four thermal stations and the two hydro stations. 151 applications were harvested from prospective investors interested in acquiring the eleven distribution companies.
The privatisation agency had last December invited prospective core investors to express interest in the eleven distribution companies unbundled from the PHCN.The BPE also invited prospective core investors to express interest in the four thermal power stations and as concessionaires for the two hydro power stations.
Following representations by prospective investors who attended the five-city Electric Power Investors’ Forum which was to court world class investors to participate in the privatisation of the successor companies, the federal government approved the extension of the deadline for the submission of EOIs to Friday, March 4, 2011. The approval was granted by Vice-President Mohammed Namadi Sambo, chairman of the NCP. The fora were held in Lagos, Dubai, London, New York and Johannesburg.
The core investor sales to be carried out through international competitive bidding will cover the eleven electricity distribution companies in the country. They are Abuja Electricity Distribution Company Plc; Benin Electricity Distribution Company Plc; Enugu Electricity Distribution Company Plc; Eko Electricity Distribution Company Plc; Ibadan Electricity Distribution Company Plc; and Ikeja Electricity Distribution Company Plc. Others are Jos Electricity Distribution Company Plc; Kaduna Electricity Distribution Company Plc; Kano Electricity Distribution Company Plc; Port Harcourt Electricity Distribution Company Plc; and Yola Electricity Distribution Company Plc.
