The Federal Government, yesterday, terminated the $24 million or N3.79 billion management contract awarded to Canadian, Manitoba Hydro for the management of the Transmission Company of Nigeria, TCN, citing lack of due process in the award of the contract.
Strangely, the admission of the management contract not following due process is coming more than three months after the signing of the contract, in July, by the same government, which declared Manitoba as the preferred bidder.
But according to a statement from the Presidency, signed by Dr. Reuben Abati, Special Adviser to the President on Media and Publicity, President Goodluck Jonathan cancelled the Manitoba power contract with immediate effect because due process was not followed in the award of the contract.
According to the statement, “the President would not want to compromise due process in anyway. I assure you that this does not in any way affect the on going privatisation of the power sector.”
Manitoba Hydro International (MHI) was scheduled to take over TCN on September 1, 2012 in the management contract worth $23 million to turn around the fortunes of the TCN, as part of the electricity reform programme.
Manitoba signed a contract with the Federal Government, as represented by the Bureau of Public Enterprises, BPE on July 30, 2012.
Presidency alliance with India’s Power Grid
A competent Presidency source, who spoke on phone, revealed that the revocation might not be unconnected with the Presidency’s desire to hand over the management contract to India’s Power Grid Corporation, one of the three firms originally shortlisted for the contract. Others being Canada’s Manitoba Hydro, and Electricity Supply Board of Ireland.
The same National Council on Privatisation, NCP, headed by Vice President Namadi Sambo, had overseen the contract process, and had approved the exercise every step of the way, including the shortlisting of candidates and the agreements signing ceremony.
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Kai! This country??! Is it after 3 months they now realised due process wasn't followed? And they expect investors to "rush" into Nigeria? When will we ever learn to do things right and avoid selfish interests?
ReplyDeleteNITEL sale and current moribund state should give you an idea of where this is all heading. Prof. Barth Nnaji's sack was a pointer for this unfolding drama by Federal Government.
ReplyDeleteThis shoddy cancellation is embarrassing. Damn ! After 3 months of contract award.
ReplyDeletePres. Jonathan has failed and that is the truth. How can you sign a contract and three months later cancel it citing lack of due process. He should be mindful of the fact that he has less than 3 yrs to end his tenure and he is yet to deliver anything to the poor masses on whose emotions he played when he was telling them how he did not have shoes and was treking 1000 miles to school.
ReplyDeleteThe power problem is getting worse, Peoples' houses are being demolished, no fuel at the petrol stations and uncertainties everywhere.
Cheap ashawo like Ruben abati. I wonder who is the worst between him and doyin okupe. These elders will do anything to continue to be relevant to the president. They so shamelessly say jagons that you wonder if their mouths is capable of saying anything that has a semblance to wise thoughts. And to add to these, the president is so dumb he never sees how they defame his character.
ReplyDelete