Tony Elumelu, Chairman of Transcorp Group, has urged the Federal Government to establish special courts to prosecute energy thieves in Nigeria.
Gatekeepers News reports he made this appeal during the 18th Annual General Meeting of Transcorp Group in Abuja, emphasizing the need for stringent measures to combat energy theft, which has severely affected the country’s power sector.
Elumelu stressed the importance of reliable power for national progress and recommended a public naming and shaming process for convicted energy thieves, regardless of their societal status, to serve as a deterrent.
He noted, “While I note the provisions of the Electricity Act 2023 regarding criminal punishment for energy theft, I recommend the establishment of special courts with powers for summary proceedings to exclusively deal with cases of energy theft. There should also be a process of naming and shaming convicted energy thieves irrespective of their status in the society.”
Elumelu also highlighted the financial challenges facing the power sector, including the substantial debts owed to power generation companies (GENCOs) by the Nigerian Bulk Electricity Trading Plc (NBET).
He said, “The power sector is designed to function in a cycle that ensures liquidity flow and payment assurance, which in turn sustains the reliable flow of electricity from power generation companies (‘GENCOs’) to end users. The distortion in the liquidity flow in the sector is huge and typified by the debt owed to GENCOS by Nigerian Bulk Electricity Trading Plc (‘NBET’), currently in excess of N2 trillion. We are owed N250 Billion as at March 2024.”
He urged the Federal Government to expedite actions to address these debts, emphasizing the need for liquidity to sustain reliable electricity generation.
Also, Elumelu called for the full privatization of the Transmission Company of Nigeria (TCN) and DISCOs, saying, “Only a partial privatization of the power sector has been achieved since the privatization exercise commenced in 2012. As of today, TCN is owned 100% and DISCOs are owned 40% by the Federal Government, which also holds ownership interests in some GENCOs. To enable the sector to be efficiently run by the private sector, I recommend that the Federal Government should come out with a clear timeline for full privatization of the power sector, starting with the DISCOs and Transmission Company of Nigeria.”
