FG Set to Sell 216 Defunct PHCN Assets

The federal government has said that it is set to dispose of some of the non-core assets belonging to the defunct Power Holding Company of Nigeria (PHCN) in three phases.

Speaking on Monday during an oversight function to the Abuja Electricity Distribution Company by the Senate Committee on Power led by Senator Gabriel Suswam, the Managing Director of the Nigerian Electricity Liability Management Company (NELMCO), Mr. Adebayo Fagbemi, stressed that the processes for the proposed sales were nearing completion.

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During the tour, the Managing Director, AEDC, Mr. Ernest Mupwaya, also indicated interest in buying two of the properties the company currently occupies in Abuja, adding that the AEDC has the right of first refusal on the buildings.

However, Fagbemi explained that according to the procurement act, the assets were being sold out in phases because the government will have to offload “as at the time of best value”.

The government said it would be cumbersome to put everything in the market at the same time, adding that it had to get the value at the current period for the assets transferred to NELMCO.

NELMCO was designated to assume responsibility for all of the PHCN liabilities leading up to the November 1, 2013 handover of the companies, as well as the management of the non-core assets of the companies, prior to disposition of same.

It administers the stranded debts, settles PHCN’s Power Purchase Agreement (PPA) debts obligations, legacy debts and sells, lets, mortgages as well as dispose of any of the property or non-core assets of the company.

Fagbemi explained that NELMCO had advertised the procurement of some of the assets, stating that everything was being done to ensure that the right thing is done.

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