The Minister of Power, Adebayo Adelabu, has revealed that a private company allegedly withheld N32 billion meant for the supply of three million prepaid meters to distribution companies in Nigeria.
In a statement issued on Wednesday, Adelabu’s Special Adviser, Strategic Communications and Media Relations, Bolaji Tunji, shed light on the controversial N40 billion meter contract awarded to a foreign firm, De Haryor Global Services.
According to the statement, the Federal Government had entered into a tripartite agreement with Messrs Ziklagsis Network Limited and Unistar International in 2003 to supply three million meters within three years.
The government kick-started the project by releasing a revolving metering loan of N32 billion to Messrs Ziklagsis.
However, the project did not commence, and the funds remained untouched in the bank account of Ziklagsis, which was initially at the then Prudent Bank and later moved to Skye Bank, Polaris, and Providus Bank.
Adelabu sought and received approval from President Bola Ahmed Tinubu to retrieve the fund from Ziklagsis and release it to De Haryor Global Services to begin the project.
The project is aimed at providing meters for Army formations nationwide.
The statement explained that the Minister was concerned about the over eight million meter gap in the country and the liquidity squeeze in the Nigeria Electricity Supply Industry.
He questioned how funds meant for a national project could be held up untouched for over 20 years by an individual.
As a result, N12.7 billion was to be released in tranches to De Haryor Global Services to commence the installation of smart meters.
The Minister’s efforts in recovering the revolving meter fund, which had been untouched for two decades, should be commended, as it has enabled the eventual take-off of the project.
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