Council approves execution of Afam power sale agreements

The National Council on Privatisation (NCP) on Thursday approved the Bureau of Public Enterprise’s (BPE) request to proceed with executing the Performance Agreements (PAs) for the sale of Afam Power Plc and Afam III Fast Power Limited to Transcorp Power Consortium. The move aims to regularise outstanding conditions, operational targets, and ensure the commercial viability […]

The National Council on Privatisation (NCP) on Thursday approved the Bureau of Public Enterprise’s (BPE) request to proceed with executing the Performance Agreements (PAs) for the sale of Afam Power Plc and Afam III Fast Power Limited to Transcorp Power Consortium.

The move aims to regularise outstanding conditions, operational targets, and ensure the commercial viability of the power plant post-acquisition.

The approval followed a memo from BPE Director General Ayodeji Ariyo Gbeleyi during the NCP’s third meeting at the Presidential Villa, Abuja.

Gbeleyi noted that the sale, finalised in November 2020, had outstanding proceeds of N53.9 billion collected, and the government had restructured the transaction earlier this year.

Execution of the PAs, a standard post-acquisition procedure in Nigeria’s power sector privatisation, will allow BPE to commence mandatory monitoring of Transcorp’s performance commitments, including achieving specified operational targets.

Vice President and NCP Chairman Kashim Shettima called for a fundamental shift in Nigeria’s privatisation approach.

He urged a move from merely selling state-owned assets to optimising them to drive the nation’s ambition of a trillion-dollar economy.

Shettima stressed that the NCP must serve as an economic compass, guiding investments and policies with discipline and vision to ensure tangible results, warning that without urgent action, economic projections would remain theoretical.