The Bureau of Public Enterprises (BPE) has amended the timeline for the conclusion of the privatisation of Yola Disco in Adamawa State and the 987.2 MW- capacity Afam Genco in Rivers State, it was gathered Wednesday in Abuja. This is coming as data from the Office of Vice President Yemi Osinbajo has shown that Nigeria’s power sector could not earn a total of N530.868 billion in 2018 due to varied operational constraints, which included lack of adequate gas to power the Gencos; and poor distribution and transmission facilities, as well as water reserves issues. The country’s electricity market had ended the year 2017 with a loss of N423.529 billion.
According to reliable sources in the BPE, the conclusion of the privatisation of both electricity assets would no longer happen this month, but within the first quarter (Q1) of 2019. It was also gathered that 11 investors – eight for the Genco and three for the Disco, have been prequalified to proceed to the next stage of the privatisation exercise, which is the Request for Proposal (RfP) stage. It was learnt that due to community disturbances at Afam, which resulted in the investors not being able to undertake due diligence of the power generation facility, the privatisation agency was forced to amend its privatisation timetable for the plant.
That of Yola Disco, it was further learnt, was however not in any way affected by the renewed insurgency in the North-east, but BPE was said to have opted to undertake the privatisation of the two assets at once.
Speaking to THISDAY on the development, sources in the BPE explained that potential investors for the two power assets were aware of the situation.