Bidders pay N73.64bn for 11 PHCN successor firms

The Nigerian government is privatizing the power sector.

The 11 companies that emerged preferred bidders for the 12 Power Holding Company of Nigeria, PHCN, successor companies paid a total of $469.032 million (N73.64billion) ahead of the deadline set by the Bureau of Public Enterprises, BPE.

The preferred bidders were given till Thursday, March 21, 2013, to make the mandatory payment of 25 percent of the value of their bid offers, in line with the stipulated guidelines.

According to the BPE, bidders that made payments on Wednesday include Vigeo Consortium, the preferred bidder for Benin Distribution Company, DISCO which paid $32.25 million (N5.063 billion); Transcorp/Woodrock Consortium, $75 million (N11.78 billion) for Ughelli Power Plc; and CMEC/EUAFRIC Energy JV $50.3 million (N7.90 billion) for Sapele Power Plc.

The others are Kann Consortium, $41 million (N6.44 billion) for Abuja Distribution Company; Aura Energy $20.5 million (N3.22 billion); Mainstream Energy Ltd, $59.5 million (N9.342 billion) for Kainji Power Plc, and Sahelian Power SPV $34.25 million (N5.378 billion) for Kano Distribution Company.

Other bidders that had earlier paid the 25 per cent of their bid value are Amperion Power Company Limited for Geregu Power Plc, $33 million (N5.181 billion); Integrated Energy Distribution & Marketing Company, $42.25 million (N6.633 billion) for Ibadan and $14.75 million (N2.316 billion) for Yola DISCOs; NEDC/KEPCO paid $32.75 million (N5.142 billion) for Ikeja Distribution Company; and West Power & Gas paid $33.75 million (N5.299 million) for Eko Distribution Company.

The Bureau is still expecting payment from 4Power Consortium (Port-Harcourt DISCO); Interstate Electrics Limited (Enugu DISCO); and North-South Power Company (Shiroro Power Plc).

The approval of the preferred bidders by the National Council on Privatisation, NCP, followed the commercial bids opening exercise held on October 23, 2012.

The PHCN was unbundled into generation and distribution companies and a single transmission company as part of the reform programme of the Nigerian electricity industry to encourage private sector participation in the provision of electricity to Nigerians.

The policy was also to help attract foreign and local investments into the Nigerian power sector to ensure reliable electricity supply.

Support PREMIUM TIMES' journalism of integrity and credibility


Good journalism costs a lot of money. Yet only good journalism can ensure the possibility of a good society, an accountable democracy, and a transparent government.

For continued free access to the best investigative journalism in the country we ask you to consider making a modest support to this noble endeavour.

By contributing to PREMIUM TIMES, you are helping to sustain a journalism of relevance and ensuring it remains free and available to all.


NEVER MISS A THING AGAIN! Subscribe to our newsletter

* indicates required


Now available on

  Premium Times Android mobile applicationPremium Times iOS mobile applicationPremium Times blackberry mobile applicationPremium Times windows mobile application

TEXT AD: New Discovery! Click Here To See A Miracle Device That Can Cure DIABETES, BLOOD PRESSURE, STROKE, ARTHRITIS, PAINS, OBESITY And 50 Other CHRONIC DISEASES Without Drugs Or Herbs.. Click Here Now To See It

All rights reserved. This material and any other material on this platform may not be reproduced, published, broadcast, written or distributed in full or in part, without written permission from PREMIUM TIMES.