Fashola Charges Service Providers In The Power Sector To Make Customer Service Their Focus * As Minister chairs the 11th Monthly Meeting of Power Sector Operators in Lagos * Encourages  Operators,  service providers to improve the user experience of  consumers by improving metering and reducing estimated billings * Abuja DisCo, Okpai Power Plant, Shiroro win best performing DisCo, best performing thermal plant and best performing hydroelectric plant respectively in third quarter of 2016 The 11th monthly meeting of the Minister of Power, Works and Housing, Mr. Babatunde Fashola SAN with Operators in the Power Sector, has held at the Ikeja West Transmission Station, Ayobo, Lagos with the Minister restating the need for the service providers to make optimum customer service their focus. Fashola’s remarks formed part of the ten paragraph Communiqué of the Meeting which was attended by high level representatives of Operators at the executive management levels, includingManaging Directors and Chief Executive Officers of GenCos, DisCos and the Transmission Company of Nigeria (TCN), as well as various government agencies such as the Niger Delta Power Holding Company (NDPHC), the Nigerian Bulk Electricity Trader (NBET), the Nigerian Electricity Regulatory Commission (NERC), Nigerian Electricity Liability Management Company (NELMCO) and Nigerian Electricity Management Services Agency (NEMSA). The Minister, who emphasized that consumers were the ones that pay the bills and so must be treated rightly by operators in the Power sector, encouraged each Operator and service provider to improve the user experience of its consumers, by improving metering and reducing estimated billings. Acknowledging the challenges of liquidity in the sector, the Nigerian Bulk Electricity Trading Plc (NBET) reminded the meeting that all operators must pay their bills to NBET as well as their suppliers and service providers promptly, to ensure that the sector remains functional and friendly to investors even as the meeting commended the efforts being made by Government and international development partners to address these challenges The meeting, which also agreed on the importance of government Ministries, Departments and Agencies (MDAs) paying their debts, acknowledged the need for proper verification prior to payment and also noted the on-going verification and data collection exercise which, it noted, was aimed at improving liquidity in the sector. While also resolving to complete and submit all outstanding audited financial accounts of all operators before the next meeting in order to improve transparency within the sector, the Meeting noted the importance of the need to complete all outstanding work at the Ikot Ekpene switching station that was commissioned on 21st November 2016, to take full advantage of the added capacity to deliver incremental power. Noting with delight that the family affected by the electrical accident at Oke-Ira, Ogba in Lagos State had been compensated by Ikeja Electric , the Meeting stressed the need for all operators to observe all safety regulations in the sector and to make every effort to avoid such accidents in future. The Transmission Company of Nigeria (TCN) reported the progress of the projects in Shagamu, Ikeja West, Ajah, Ayobo, Omotosho, Ayede and Ogba which it said would be completed between April and the end of 2017 and which when completed, would improve power supply in Lagos State and its environs. The company also reported that with the commissioning of Ikot Ekpene switchyard transmission capacity of the National Grid was now above 6,500MV adding that contrary to insinuations that the Grid was not capable of carrying above 5,000MW of generated energy, the capacity of the grid was dynamic and would continue to grow as more energy was added. The Nigerian National Petroleum Corporation (NNPC) noted that work was on going to repair all pipelines vandalised in 2016 to restore gas supply to power plants while the Nigerian Electricity Regulatory Commission (NERC) announced Abuja DisCo as the best performing DisCo in the third quarter of 2016. The score was based on rates of collections, metering progress, health and safety, amongst other indicators. Okpai Power Plant was announced as the best performing thermal plant in the third quarter of 2016 while Shiroro was announced as the best performing hydroelectric plant. The score for generating plants was based on availability and general compliance with industry standards. The Meeting, which was chaired by the Minister, was jointly hosted by Ikeja Electric and Egbin Power and, as usual, focused on identifying, discussing, and finding practical solutions to critical issues facing the Nigerian Electricity Supply Industry. Earlier, in his opening remarks, Fashola had stressed the need for Operators, especially in the distribution areas of the power sector, to endeavour to improve the quality of their service to consumers pointing out that the consumers being the ones paying the bills, must be treated with all care and respect The Minister urged the Operators to continue to train and retrain their personnel to recognize that the customer is king adding that even if they could not provide all that the customers required, they owed the customers a duty to explain what they were doing at any point in time He declared, “We owe a duty to fish out a few staff that are not dedicated and retrain or discard them. I know that they are not many but a few because we get constant reports and we know we have got staffs that are very dedicated. Our staff must know that without customers they don’t have a job”.   “Without the customer, we have no business and I think all those in the private sector understand that. If you don’t have the zeal and dedication to serve, please leave, it is a thankless task but it is a noble task to serve”, the Minister said. On the frequent complaints of consumers, Fashola listed them to include issues around metering and billing urging, “We must build that trust and that confidence that is needed in service delivery. I have heard complaints of people being charged for things they shouldn’t be charged for. So all of us that are owners of this business must look inside and do whatever is possible to improve service. Expressing confidence that there would be improved service in the New Year “if we work together and have understanding of each other”, the Minister thanked the Operators for their perseverance thus far. He also advised them, “We have spoken of Undercover Boss here before. Go round; ask the consumers what their experiences have been. It will inform your management decision about what to do”. On the liquidity issue, Fashola, who acknowledged its challenges to the service providers, recalled his statements concerning the issue both before the meeting and in the past as well as to the Press in which he had explained government’s efforts,  working with its development partners, both international and local, who, according to him, “have shown commitment and very inspiring appetite to play in this sector”. “We are trying to see what we can do together in order to bring the liquidity issue under some control and from there solve the problem”, he said just as he also announced that the members of Parliament have also shown inspiring understanding of what the challenges are. According to the Minister, “Quick decisions will be made now with collaboration and we will be fair but firm and we expect that people will respect the decisions. These, of course, are matters which the regulator, NERC, will deal with, Bulk Trader, NBET, Ministry of Finance and Ministry of Petroleum in terms of gas and, in fact, all the players, will dovetail into one another”. Speaking on what to expect in the New Year, Fashola noted that government has already listed and identified what the challenges were, adding, “What we are trying to finalize now is what comes first, what follows and what takes dominion, because in solving one problem we might solve three simultaneously and so on and so forth”. Promising that government would keep in constant touch with the Operators as the issues evolved, the Minister said such constant interaction would also enable the operators to give their own side of the story adding, “We will also use this meeting to share details of what we are seeing and to hear what you are experiencing”. Reiterating that the intention of the constant meetings remained to review and enhance services and also to meet the needs of the expectant Nigerians, Fashola declared, “I think the top burner issues still remains service. I am conscious of the challenges the operators in the sector face but you and I are working as hard as we can to make that environment more responsive to you”. “I have said that indeed as pioneers you will carry some burden and you will sacrifice, perhaps, more than you have done. But I am optimistic that things will get better. I am optimistic that we can work together to give Nigerians better service”, he said. ...

FG To Overhaul 50 Bridges The Minister of Power, Works and Housing, Mr Babatunde Fashola has said that the Federal Government is planning to overhaul about 50 bridges across the nation. Fashola said this while inspecting the Rehabilitation of Lagos Ring Road Bridge Abutment and Approach to the Third Mainland Bridge project on Tuesday in Lagos. He told newsmen that some columns and beams of the Third Mainland Bridge were threatened because of human activities, sand filling and ecological factors which resulted in erosion. "The work we have come to inspect was awarded some years back when there was an indication of some mis-alignments here on the Lagos Outer Ring Road which is the beginning of what leads on to the Third Mainland Bridge itself which is just about here. "And it is being caused by erosion, sand filling and other activities. "This road has moved as a result of some sub-soil displacement,’’ the News Agency of Nigeria (NAN) quotes Fashola as saying. He said that the project which was slowed down by funding would be completed in November. The minister said that many of the bridges in Lagos and across the country had suffered neglect and had not been undergoing routine maintenance. Fashola said that the current administration was determined to correct the trend and had began the process for maintenance of about 50 bridges across the country "if it receives the support of the legislature’’. "Many of the bridges we built in the country over the last four, five decades have not been under any form of maintenance. "We now have a three-year plan affecting over 50 bridges across the country for maintenance, repairs and restoration. "And it is going to cost about N270 billion over three years. "Our plan is to start with about N70 to N100 billion in year one; starting with the very critical ones so that they do not collapse and then we move to the less critical ones,’’ he said. The minister said that the government had done all the survey and assessments to unravel the problems of the bridges, adding that, it was waiting for appropriation and approval of funds to execute the projects. He decried indiscriminate parking and trading activities in some parts of Ebute Ero toward the Third Mainland Bridge. Fashola warned that government would take action soon. "I want to appeal to those people who use those areas as car parks and trading to start moving voluntarily in their own best interest. "We intend to repose our right of way while work is going on on the Outer Marina to free traffic,’’ he said. Earlier, while receiving a brief from the Federal Controller of Works, Lagos, Mr Godwin Eke, on status of other bridges, the minister directed engineers to begin work to realign the Apongbon Bridge. Mr Gianfranco Albertazzi, the Joint Managing Director, Boroni Prono and Co Nig. Ltd- contractors of the project, told newsmen that some piers, alignment and decks and piles of the bridge were affected. "I have pictures of the affected columns here. They were enlarged but we have strengthened them by another layer of steel and concrete,’’ Albertazzi said. He said that a new kind of cement that dealt with the problem of salinity of both air and water was being used to reduce degeneration of the bridge. The project was awarded in December 2012 at a sum of N967.3 million. ...

Reintroduction Of Tollgates: One Of The Needful Steps For Road Development And Maintenance Tolling is one of the ways of meeting the critical road and bridge needs of a country, more rapidly than would otherwise be possible with public funds alone, due to both limited and untimely release of public works budgets. Tolls are fast becoming a sustainable way of delivering transportation infrastructure projects, whether public, private or public-private-partnerships funded. It is also note worthy that tolled roads may be funded by accessing capital (debt and equity needed to construct, re-construction or rehabilitate) from commercial market and paid with income generated from tolls over a contractually agreed time frame. Again, the income from tolling could be used to manage and maintain the road and/or bridge infrastructure and the provision of ancillary services. The Federal Government of Nigeria, through the use of public funds and private road concessionaires, can access this funding option. Government’s view is that there are substantial benefits to be derived from tolling, provided certain principles are adhered to. Nigeria has long suffered from a sub-optimal road network that imposes significant costs in terms of travel time, vehicle wear and tear and high fatality rates. Limited or poor access resulting from underdeveloped networks also discourages investment and economic development in many regions of the country. It is worth noting that road tolling is a tried and tested model in many countries. Indeed, road tolling is currently in operation in Nigeria on the newly built Lekki-Epe road and on access roads to major airports nationwide. Nigeria had operated some public tolled roads several years ago which were unfortunately discontinued in 2004 with the exception of some airport approach roads, due mainly to legal disputes, revenue leakages and unmet requirements for maintenance of the tolled roads. Due to the enormity of the benefits accruable to the tolling system, the present administration of President Muhammadu Buhari received several proposals on the issue of re-introduction of toll gates, as additional source of revenue to government. In view of the dwindling oil prices and the commodity being the mainstay of our economy and by way of ensuring sustainability and maintenance of Federal roads, tolling appears to be a credible option. The re-introduction of tolling, will therefore, serve as a tool for additional revenue to support effective management of the Federal road network. Additionally, motorable Federal roads and bridges will reduce journey times and travel costs and ensure safer travel for road users. It can also encourage more investment and diversification of commercial activity to outlying areas that are currently not served by an effective trunk network. Importantly, tolls are also equitable because they are paid by those who use the road or bridge rather than from general taxes and a good avenue for job creation for the nation’s teaming unemployed youth. Now that tolling is once again being considered as a policy option, Nigeria has the advantage of drawing from its past experience and the good practices of other countries applying same to successfully build, manage and maintain its highways through the instruments of tolling and Public-Private- Partnership (PPP). The challenges and experiences from previous concessionaired projects should be well studied to avoid a repetition of past mistakes. The Federal Ministry of Works should draw from the experience of specialist consultants through the Nigeria Infrastructure Advisory Facility and other International Institutions. During their maiden press briefing, the Minister of Power, Works and Housing, Babatunde Fashola and the Minister of State, Hon. Mustapha Baba Shehuri disclosed that "if we ask everyone to pay a little as our commonwealth and hold those in charge accountable, and use technology…We don’t pay cash, we pay by token or by ticket and money is accountable and will go to the right place ". On this note, the adoption of technology as professed by the Minister in collecting monies from toll gating will make the system efficient and accountable. ...