Centre for Health Equity and Justice (CEHEJ) Presents Damning Report on Electricity Contractors in Nigeria
A civil society group has published a report estimating that Nigeria has lost N11trn to power sector corruption since the advent of civil rule in 1999.
The Centre for Health, Equity and Justice (CEHEJ), a non-profit, non-governmental advocacy, research and capacity-building organization, made this assertion as part of a comprehensive report titled, ‘KEPT IN DARKNESS – HOLDING NON-PERFORMING ELECTRICITY CONTRACTORS ACCOUNTABLE’ which was released at a media launch ceremony in Ikeja, the Lagos State capital.
This humongous figure, the report warned, is certain to rise to N20 trillion in the next decade, if urgent steps are not taken to stem the tide and hold those responsible for these losses to account as a deterrent to others. Presenting the report, Prof. Yemi Oke, an Associate Professor of Law at the University of Lagos who specializes in energy and electricity law, established that the corruption in the power sector manifests itself most significantly in the process and procedure for contracts to certain privileged corporations. The estimated N11trn loss, he said, represents not just public funds, but also private equity and social investment (or divestments) in the power sector.
‘It is estimated that, given the rate of government investment and funding in the power sector amidst dwindling fortunes and recurrent revenue shortfalls, this rise will rise precipitously in the next decade … The entire infrastructure of a community –homes, offices, agricultural establishment, industries, hospitals, banks, shopping malls, transportation system, communications, and recreational facilities – all depend on electricity in some form or the other,’ Prof. Oke added.
The report also provided details of electricity contracts where it alleged that huge sums of money were embezzled, as well as contracts that were abandoned in spite of huge funds released for their implementation. The report recommended, among other measures, that the bidding and contract awarding processes in the sector be more transparent. It also suggests that ‘the federal government should consider fully divesting its stake in the power sector to allow for efficient, decentralized sector governance by federal, state and sub-national authorities, as appropriate, in line with the provisions of the Second Schedule, paragraph 13 and 14 of the Constitution for the Federal Republic of Nigeria 1999 (as amended)’.
Earlier, in his welcome address, the convener of the event and the executive director of CEHEJ, Timothy Adewale, explained the rationale for the publication of the report as a way of alerting the public in general, and key stakeholders in particular to the crime currently being perpetrated against the Nigerian people by electricity cohorts in official circles, against the background of the activities of Discos, Gencos and the like. The study, he said, seeks to entrench a regime of accountability in the country’s power sector by ensuring that those who failed to deliver on their contractual obligations suffer sanctions under the law.
Also speaking, Engr. Ahmed Abdu, FNSE, who represented the Hon. Minister of Power, Saleh Mamman, agreed with the basic premises of the report, and promised to convey the recommendations contained therein to the appropriate quarters for timely and effective action.
Sunday Oduntan, Chairman of the Association of Nigerian Electricity Distributors (ANED), was emphatic in asserting that any fight against corruption or other official misdemeanor must necessarily include the possibility of stiff sanctions. There have to be consequences awaiting persons or groups whose actions or inaction have led Nigeria on the path of social and economic perdition. This is one report, he said, that must never be allowed to gather dust if Nigerians must enjoy the benefits of adequate, if not constant, electricity.
Others who also spoke at the event, giving graphic – and mostly depressing – accounts of the rot in the electricity sector, the nefarious goings-on therein, and what their respective organizations were doing in particular – were Barrister Abiodun Ajayi, chairman of the CEHEJ board, who also chaired this event; Benjamin Ogu Okoli, national coordinator of Open Government Partnership (OGP) Nigeria; Chukwuemeka Jideani, an executive with the Ethics and Corporate Compliance Institute of Nigeria; Olusegun Elemo, executive director of Paradigm Leadership Support Initiative (PLSI); Mandy Asagba, President of the Association of African Women Lawyers; as well as representatives of the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Crimes Commission (ICPC), among many others.
One of the highlights of the event was the formally presentable of the report, ‘KEPT IN DARKNESS – HOLDING NON-PERFORMING ELECTRICITY CONTRACTORS ACCOUNTABLE’ by a cross section of dignitaries.
In his closing remarks, the chairman of the board of CEHEJ, Barrister Ajayi said this event was in line with the commitment of CEHEJ to work for the right of all Nigerians to a qualitative life, and to safeguard their rights to the best attainable standard of health and wellbeing.
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