Business

Power Sector Illegally Sold – Fashola Says

Published

9 years ago

June 1, 2016

The Federal Government and labour agreed yesterday that the power sector was illegally privatised but they differed on how to redress the “illegality.”

Labour leaders are demanding for the cancellation of the sale and reversal of 45 percent increase in tariff effected in February.

However, the government said though it agreed the deal was fraudulent there were legal issues that might make it impossible to reverse the sale.

Speaking at a Senate public hearing on the electricity tariff yesterday, Minister of Power, Works and Housing, Babatunde Fashola, said government’s interests were illegitimately sold to some private businesses.

“As a minister, I inherited a power sector where government’s interests have been illegally sold and, therefore, I don’t control how power is distributed.”

On the electricity tariff increase, the minister said that the tariff could not be reversed.

“The DISCOS made it very clear to us that if we did not give them the market reflective tariff it means that government would have to carry the continuing cost that accumulated in the region of about a trillion naira.

“The tariff was increased in 2015 and then reversed because of the electoral significance. But the debts that they created were not reversed and they continued to accrue into this administration.

“We are not insensitive to Nigerians, owing to their challenges. We were looking for the best way to solve what has become an over 60-year problem, since 1950, when TCN was first created.

I guess tariffs may initially look excessive but when we count and measure the down times and how much time is lost when there is no sustainable electricity and measure them against the expectation of sustained electricity overtime, perhaps it would seem cheaper.”

Fashola, who admitted that power supply in the country had not significantly improved, said confidence had been restored in the sector.

“Yes, service hasn’t improved but confidence has come into the system. Like you have the Nigerian Communication Commission (NCC) in the telecommunication industry, NERC is for us in the power sector.”

In his remarks, Anthony Akah, the acting chairman of NERC, said it was not possible to reverse the tariff.

“The review of the tariff is possible but its reversal is not,” he said.

“The tariff was essential and meant to trigger the necessary investment in the sector. The hike in the tariff was not different from what is happening in other sectors of the economy,” he added.

In his submission, the General Secretary of the National Union of Electricity Employees (NUEE), Comrade Joe Ajaero, said that the privatisation of the power sector was not properly done and must, therefore be reversed.

Also speaking, the representatives of the Trade Union Congress (TUC), Chris Okonkwo, said that the power sector was better off before its privatisation.

He said that the investors in the power sector lacked the technical expertise and finance to turn around the sector.

He said: “Consumers are bearing the brunt of the inefficiencies of the investors. We, at the TUC, are of the opinion that tariff increase was not the solution to the problems of the power sector.”

Former Vice President AtikuAbubakar had in April last year advised then president-elect Muhammad Buhari (Rtd) to reverse the privatisation exercise of the power sector.

Atiku spoke at the 36th Kaduna International Trade Fair’s Seminar organised by the Kaduna Chamber of Commerce, Mines and Agriculture (KADCCIMA).

He said the Obasanjo-led administration sunk billions of dollars into the sector, but failed to address the problem of the power sector.

The Senate had in February asked NERC to halt the 45 percent increment, following the outcry that trailed it.

The Senate Leader, Ali Ndume (APC-Borno South), recently called for the revisiting of the privatisation process and its possible revocation.

Speaking with reporters in Abuja Ndume said the Nigeria Electricity Regulatory Commission had no reason to increase the tariff.

The senator said the companies bought the nation’s electricity infrastructure for almost nothing and rather than investing in them, were calling for hike in tariff.

He said: “These people took over these companies for peanuts and they have not invested. I have not seen how they will just come and be charging people indiscriminately like that.

“This is not a competitive market where you say the market forces determine the price. They just want to take advantage of Nigerians. I am against that completely. In fact, I am against the privatisation completely.”

Business

NIHOTOUR Calls on Hospitality, Tourism, Travel, Allied Sector Professionals for Mandated Registration

Published

1 day ago

December 24, 2024

Sahara Weekly

NIHOTOUR Calls on Hospitality, Tourism, Travel, Allied Sector Professionals for Mandated Registration

The National Institute for Hospitality and Tourism (NIHOTOUR), the regulatory and standardization authority in the sector, has invited professionals in the hospitality, tourism,travel and allied sectors to register as mandated by the National Institute for Hospitality and Tourism (Establishment) Act 2022.

A statement signed by Aare (Dr.) Abisoye Fagade, FIMC, Director-General/CEO
The National Institute for Hospitality and Tourism reads:

“Enjoy FREE registration from December 1, 2024, to January 15, 2025! This is your chance to register as a professional or practitioner at no cost.

“Don’t miss this opportunity to solidify your presence in Nigeria’s thriving tourism industry. Visit www.nihotour.gov.ng now!

“Hurry—free registration closes on January 15, 2025. Take the first step toward advancing your career in tourism today!”

Business

EGC Homes Unveils Goodness and Mercy Estate, Brand Ambassador

Published

1 day ago

December 24, 2024

Sahara Weekly

EGC Homes Unveils Goodness and Mercy Estate, Brand Ambassador

EGC Homes, a notable player in the real estate and property development sector, has made waves in the Nigerian market with its recent announcement of the launch of Goodness and Mercy Estate in Ogun, alongside other strategic initiatives.

The company emphasized its commitment to collaborating with the government to alleviate the housing deficit in Nigeria while prioritizing the well-being of residents.

In an interview with THECONSCIENCE NG, Oladapo Jimoh, the Managing Director of EGC Homes and Properties, expressed the brand’s long-term vision to bridge the housing gap and simplify the journey to homeownership.

He stated, “Current data estimates Nigeria’s housing deficit to be around 28 million units by 2024. This figure is among the largest globally and poses significant challenges, contributing to homelessness and various social issues.”

“National statistics indicate that our country faces a pressing need for approximately 700,000 new homes each year to address this deficit. As urbanization continues, these challenges are particularly evident in major cities, where affordable housing becomes increasingly scarce, forcing many into slums and informal settlements.”

The World Bank projects that Nigeria’s urban population could exceed 200 million by 2050, highlighting a potential social crisis as the lack of affordable housing leads to the rise of slums, especially in urban areas.

“As a forward-thinking and solutions-oriented company, we are dedicated to addressing these critical housing issues in partnership with the government.”

Following its successful launch in Lagos, EGC Homes has rapidly expanded its operations, acquiring a significant land bank across the southwestern region of Nigeria and enhancing its marketing strategies to effectively connect with customers.

The firm is committed to providing Nigerians with exceptional value, peace of mind, and simplifying the processes of land acquisition and homeownership.

“Our mission is to make life easier for Nigerians while assisting the government in tackling the housing deficit.”

Recently, the company introduced its premier property, the Goodness and Mercy Estate, located in Arepo and Sagamu Interchange in Ogun State, with more projects on the horizon. Its flexible payment plans and affordable property prices aim to cater to a wide audience.

Additionally, EGC Homes has appointed Titilayo Adebayo-Omotosho as its social media brand ambassador to promote the unique offerings of EGC Homes and Properties Limited to Nigerians both at home and abroad.

In her remarks, she highlighted her commitment to the vision of EGC Homes, stating, “I believe every Nigerian deserves a decent roof over their head. This aligns perfectly with the mission of EGC Homes and Properties, which is why I chose to represent the brand, promoting its exceptional estates and home packages to Nigerians and those aspiring to own homes here.”

Business

Optiva Capital Partners and Loft & Keys LCC Forge Strategic Partnership to Drive $500m Investments in Nigeria

Published

1 day ago

December 24, 2024

Sahara Weekly

L-R Dr. Jane Kimemia, CEO, Optiva Capital Partners and Chief Austin Ugochukwu Albert, Chairman, Loft & Keys LLC during the partnership agreement signing between Optiva Capital partners and Loft & keys LLC at Optiva's headquarters in Lagos

Optiva Capital Partners and Loft & Keys LCC Forge Strategic Partnership to Drive $500m Investments in Nigeria

Optiva Capital Partners, Africa’s leading wealth management and retention company, has announced a groundbreaking partnership with Loft & Keys LLC, a renowned real estate and investment company with dominant presence in Nigeria and the Middle East.

The ceremony which took place over the weekend at Optiva Capital’s Corporate Headquarters, aims to boost investment in Nigeria’s hospitality and healthcare sectors on the one hand, as well as provide Nigerian investors with opportunities to invest in real estate in the UAE, particularly in Dubai.
Speaking at the signing ceremony, Dr. Jane Kimemia, CEO, Optiva Capital Partners, emphasized the transformative potential of this partnership, “With Loft & Keys’ deep understanding of the Nigerian market and established networks in the Middle East, we are poised to bring $500 million in investments into Nigeria’s hospitality and healthcare industries. These funds will be strategically spread across Lagos, Abuja (FCT), Delta, and Enugu.”

The investment in hospitality will serve as a catalyst for economic growth in Nigeria. Beyond creating employment opportunities, it will spur infrastructure development, enhance regional tourism appeal, and foster business ecosystems in Lagos, the Federal Capital Territory, Enugu, and Delta. Similarly, the healthcare focus will address critical gaps in medical infrastructure, improve access to quality care, and promote health innovation—key pillars for national development.

The partnership According to Dr Kimemia also extends to Nigerian investors seeking opportunities in the UAE. With Loft & Keys’ expertise and extensive networks in Dubai and other Middle Eastern hubs, the collaboration will unlock access to one of the world’s most dynamic real estate markets.
Speaking about the partnership, Chief Austin Ugochukwu Albert, Chairman, Loft & Keys LLC, said “Optiva Capital Partners stands as Africa’s leading wealth retention company, a position that is firmly established and without question. This partnership with Loft & Keys will further solidify their dominance and create even greater opportunities for growth. As Dr. Jane Kimemia has rightly emphasized, Loft & Keys, with our extensive expertise in the Middle East, is a trusted and experienced partner”. We have a strong presence in the UAE and are actively expanding into Saudi Arabia and Qatar in the near future. Together with Optiva Capital Partners, we are committed to capturing significant market opportunities in these regions. I am confident that this partnership will foster substantial growth that will be mutually rewarding for both parties.

Dubai, a city widely known for its opulence and rapid development, is reportedly operating at only 30% of its projected capacity, presenting a significant growth opportunity for investors. According to industry experts, this untapped potential creates a unique window for investors to capitalize on the city’s future expansion and development.
The partnership aligns with the United Nations Sustainable Development Goal 17 as two formidable brands, Optiva Capital Partners and Loft & Keys are committed to leveraging their collective strengths to drive impactful investments that benefit clients and communities alike.

About Optiva Capital Partners
Optiva Capital Partners is a premier wealth management and retention firm offering bespoke solutions in four areas of specialization – investment immigration, investment advisory, insurance, and international real estate.
About Loft & Keys LLC
Loft & Keys is an internationally recognized real estate and investment company with a robust presence in Nigeria and the UAE. The firm is dedicated to connecting investors with high-value opportunities in dynamic markets.