The
Senate, yesterday, mandated its Committees on Power and Public Accounts
to investigate the whereabouts of the $650 million balance of the
Eurobond that was meant to be with the Transmission Company of Nigeria
(TCN) and the Nigerian National Petroleum Corporation (NNPC).
It
also mandated the committee to invite the Minister of Power, Works and
Housing, Babatunde Fashola, to render a detailed account in terms of
public funds spent on the Afam Fast Power Project.
The apex
legislative chamber urged the committee to investigate and consider
summoning the Nigerian Sovereign Investment Authority (NSIA) and the
Nigerian Electricity Bulk Trading Company (NBET) so as to be able to
establish the status of the funds.
These resolutions were made by
the Red Chamber sequel to a motion brought to the floor of the Chamber
by Senator Dino Melaye (APC, Kogi), entitled “Monumental Fraud in the
Power Sector”.
While presenting his motion, Melaye noted that
sometime in July 2013, the Federal Government raised a total sum of $1
billion through a Eurobond issue.
He said: “The sum of $350
million was taken by the Federal Government out of the proceeds of the
July 2013 Eurobond issue and released to Nigeria Electricity Bulk
Trading Company (NBET) Plc. as shareholder contribution to shore up its
capitalization.”
He said that the sum of $350 million released to
NBET was to demonstrate NBET’s preparedness to assume its role as a
government backed electricity bulk trader to provide market confidence
in the privatised electricity market.
“As confidence building
measure, the $350 million was domiciled with the NSIA for reinvestment
in low risk investment and structured in a manner that NBET can call for
funds at short notice when required,” Melaye said.
He said the
fund had been with NSlA since 2014 and had helped build market
confidence, especially among new investors in the electricity market who
saw NBET’s positive balance sheet as a form of security that their
investments were safe.
He said there was now a desperate attempt
by the Ministry of Power, Works and Housing to retrieve the fund and
divert same to fund the so-called Afam Fast Power Projects.
“The ministry has already spent $35 million of public funds not appropriated by the National Assembly,” Melaye alleged. In
his remarks, the President of the Senate, Dr. Bukola Saraki, mandated
the joint Committee of the Public Accounts and Power to carry out the
investigation, asking the former to lead the probe.Senate probes alleged
$650m fraud in Power Minister.
No comments
Post a Comment