Nuhu Way, former Minister of State for Power
Determined to reduce the cost of the on-going reforms in the power sector, the Presidential Task Force on Power (PTFP) has suspended the award of new contracts, staff promotions, transfers and all actions that could increase the cost of business in the sector, THISDAY has learnt.
It was however learnt that the task force has approved the regularisation of the casual staff of the Power Holding Company of Nigeria (PHCN) to fill up what it called “critical vacancies” in the industry.
But such regularisation, according to the task force, should be communicated to the Bureau of Public Enterprises (BPE) so that the associated costs could be captured in BPE’s calculations for the valuation of the assets of the ailing power utility giant.
In a letter with reference number PTFP/PHCN/005/ Vol. 1/59 addressed to the Managing Director of PHCN, Mr Hussein Labo, and obtained by THISDAY, the Chairman of PTPF, Professor Bart Nnaji, said the measure was part of the mandate of the task force to ensure financial discipline and efficient management principles in the implementation of the reform process.
“Some of the actions to be guarded against during the period include award of new salaries; promotions; staff transfers; award of postponable contracts and commencement of new projects that may not add visible value to the business of electric power supply in the country. Generally, any action that may unduly increase the cost of business and by extension, the cost of the reform programme should be avoided,” he said.
Nnaji however directed that based on the decision agreed on at the meeting of the stakeholders at the PTPF Conference Room on April 27, 2011, the management of PHCN should regularise the employment of casual staff to fill up critical positions in the sector.
The issue of non-regularisation of about 5,000 work force had pitted electricity workers under the aegis of the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC) against the Federal Government.
On the current status of the task force, Nnaji told THISDAY on telephone Thursday that PTPF was still working and had not been dissolved by President Goodluck Jonathan.
“The president didn’t say that the task force has been dissolved; he didn’t make such pronouncement,” he said.
Defending the position of the task force, one of its members told THISDAY that there was no point awarding new contracts on assets that had been slated for sale, as this could affect the market value of the assets.
“When you ask investors to submit bids for an asset, you don’t award new contracts on the asset as this could increase its cost. This is the standard practice in the bid process,” he said.
A top official of PHCN also told the newspaper that casualization of the workforce was not a PHCN policy but a temporary arrangement necessitated by the embargo placed by the past military administrations on recruitment in the public sector for 15 years.
“What we have had over those years had been ad hoc, unsynchronised and uncoordinated efforts at getting our jobs done. You know the nature of our industry; it is not an industry that can wait for one day or for a period of time for you to energise. For instance, if you build a sub-station today and you energise it, you must put an operator there immediately. So, for such reasons, an industry like ours – the power sector, cannot wait,” he said.
He disclosed that the defunct National Electric Power Authority (NEPA) first embarked on the recruitment of casual staff in 1992/1993, when it wanted to carry out a nationwide enumeration of its customers.
“It was supposed to be effective within a period of time and those recruited specifically for that purpose discharged. A lot of youth corps members were brought in at that time to do the job, but somehow, they were kept on; they were recycled and sent from one location to the other. Today, much more to our discomfort, many of them are still in the system as casual workers,” he said.
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