The House of Representatives has asked the Federal Government to suspend the planned privatisation of the Niger Delta Power Holding Company (NDPHC).
The lawmakers noted that the asset does not belong to the federal government solely, hence, the planned sale should be put on hold till ownership of the asset is resolved.
This resolution was sequel to a motion of urgent public importance moved by Kayode Musbau (APC, Lagos) on Thursday.
In his motion, Mr Musbau said the “funding for procuring the asset” was sourced from the federation account, noting that the asset belongs to federal, states and local governments in Nigeria.
“Niger Delta Power Holding Company (NDPHC) is incorporated under the Companies and Allied Matters Act as a private limited liability company with shareholding fully subscribed to by the Federal, State and Local Governments with a mandate to manage the National Integrated Power Projects (NIPP).
“In 2005, the National Council of State and the National Assembly approved an initial funding of US$2.5 billion for NIPP from the Excess Crude Oil Account (ECOA) which statutorily belongs to the Federal, State and Local governments,” he said.
He said the government had in 2013, decided to sell the asset, with proceeds to be invested in renewable energy but the process was truncated.
Mr Musbau informed his colleagues that some assets of the company are part of the those listed by the Bureau for Public Enterprise (BPE) to be sold with the aim of using the proceeds to fund the federal government budget deficit.
The House, therefore, mandated the
committees on power and privatisation and commercialisation to investigate the planned sale of the NIPP power plants of the NDPHC and report back within four (4) weeks for further legislative action.
When the motion was put to question by the Speaker, Femi Gbajabiamila, the “ayes” had it.
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