Governments demand refunds from $10bn NIPP investments

Governors from several states have demanded a return of their entire equity interests in the $10 billion National Integrated Power Projects, which are managed by Niger Delta Power Holding Company.

The governors under the Nigeria Governors’ Forum, its umbrella organization, also stated that the Federal Government need to reimburse an adequate rate of return for its investments in the power facilities.

The demands were outlined in a paper that was submitted to the Federal Ministry of Power and was titled “Development of the National Integrated Electricity Policy and Strategic Implementation Plan Policy Recommendations by State Governments.”

“State investments in the NDPHC must be specified precisely. States demand that the federal government reimburse them for all of their equity investments in the NIPPs, along with a fair rate of return.

The governors said, “The federal government’s ability to sell or privatize the NIPPs is unaffected by the refund of states’ investments in the NIPPs.”

The Nigerian Electricity Regulatory Commission, a federal government agency, no longer has authority over state governments’ operations and regulations of their own electricity markets thanks to the Electricity Act 2023.

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