• …Explains $155m deal..As FG confirms Mohammed as Atiku’s
• ..As FG confirms Mohammed as Atiku’s replacement

By Chris Ochayi

THE African Development Bank, AFDB, yesterday, said it acted in line with a request from the Nigerian Government to release its staff, Mr. Usman Gur Mohammed to head the Transmission Company of Nigeria, TCN, for a period of one year.

The AFDB in a statement issued by its Senior Communications Officer, Nigeria Country Office, Fatimah Abubakar Alkali, in Abuja, explained the bank approved the request to support the government in its power sector reforms.

According to the statement, “the African Development Bank, AfDB, approved a $155 million loan for the Economic and Power Sector Reform Programme, EPSERP, which became effective on 19th October 2012.

“The support was aimed at improving power systems and the business environment and also sustaining growth through sound macroeconomic policies and budget priorities. The amount was fully disbursed in 2 tranches on 1st March 2013 and 21st December 2015 respectively.

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“The programme will benefit the entire population of Nigeria in terms of extended access to a more reliable supply of electricity at improved quality and reduced cost.”

The bank further remarked that, “The EPSERP will have a major positive impact on the private sector through the substantial reduction in the cost of doing business for all economic sectors, particularly in the formal and informal manufacturing and service activities which are seriously constrained by the power supply gaps.

“On 19th September 2016, the AfDB received a request from the Federal Government of Nigeria for the release of one of its staffers  to serve as interim Chief Executive for 12 months.” The bank approved this request to support the government in its power sector reforms.

“The staff member has been granted a special leave without pay for 12 months. The African Development Bank is committed to assisting Nigeria achieve the objectives of its reforms in the power sector in accordance with the priorities already approved by the authorities. It is to be noted here, that the appointment of the TCN management is a prerogative of the national authorities.”

Meanwhile, Federal Government has confirmed its approval of the secondment of Usman Gur Mohammed as the interim Managing Director/Chief Executive Officer of Transmission Company of Nigeria, TCN.

The Permanent Secretary in the Ministry of Power, Mr. Louis Edozien said in a statement yesterday that  Mr. Mohammed has resumed duty with a 12- month non-extendable deadline to complete his transformational mandate.

According to him, “Nigeria’s power sector is in transition from a vertically integrated government owned statutory monopoly to an industry in which private and publicly owned companies interact through contracts under the regulation of the Nigerian Electricity Regulatory Commission (NERC).

“Since 2013 the generation companies who produce the electricity we all consume and the distribution companies who deliver it to our homes, industries and businesses, are now been mainly privately owned companies.  TCN, which transmits the electricity from the generation companies to the distribution companies for onward delivery and sale to customers, is currently owned by Federal Government of Nigeria (FGN).

“In this role TCN operates two important licenses issued by NERC.  As the Transmission Services Provider (TSP), TCN owns and operates the 132KV and 330KV high tension transmission lines and the 330/132/33KV substations that make up Nigeria’s national grid.

“As the Independent Systems Operator (ISO), TCN monitors and controls the national grid and when and how the power stations, which are owned by different companies, can supply electricity for delivery to distribution companies in the safe and orderly way.  TCN charges the distribution companies for these services.

From 2012 to 2016 Manitoba Hydro International of Canada ran TCN as a management contractor.  With the exit of Manitoba, Mr. Mohammed comes with a clear mandate to review, validate and implement of the best management structure, strategy, business plan and processes to take TCN, both TSP and ISO, to the next level of operational effectiveness.

“Mr. Mohammed has resumed duty with a 12 month non-extendable deadline to complete his transformational mandate and set TSP and ISO on a path of greater operational efficiency and effectiveness, and enhanced responsiveness to the needs of the generation companies and distribution companies, who are TCN’s customers.

Mr. Mohammed was until his secondment the Principal Power Utility Transformation Specialist in the AfDB’s Nigeria Country Department.  He joined the service of the AfDB in 2009.  He has in various senior level management roles been in charge of financial control, power utility policy and transformation.

Before joining AfDB, Mr. Mohammed worked for the then National Electric Power Authority (NEPA).  He served as the Secretary of Revenue Cycle Management project which was NEPA’s first Public Private Partnership initiative.

“He also served as head of financial management for TCN’s Project Management Unit (PMU), the agency that supervises transmission projects financed by the World Bank with a mandate to implement best procurement practices for the World Bank financed projects.

“He also served as a lead member of the institutional reform team that completed the various studies that prepared TCN for the current reforms being implemented in Nigeria’s power sector.

“Mr. Mohammed is a Chartered Accountant and a member of the various professional bodies related to his profession.  He holds a BSc Degree Degree Hons. Accountancy, Ahmadu Bello University Zaria, and a Master of Business Administration (Management), Bayero University Kano.”