By Abdulwahab Abdulah

Dr Sam Amadi

Dr Sam Amadi, a lawyer,is the Executive Chairman of the Nigeria Electricity Regulatory Commission, NERC. In this interview, he promised Nigerians that his commission will achieve its mandate of giving equitable and good electricity pricing and services to the people. He added, however, that, bombings in some parts of the country could scare away investors.

Excerpts:

In view of generally poor performance by other regulatory agencies such as the Department of Petroleum Resources, DPR in the oil industry, Nigerian Communication Commission, NCC, in the telecommunication industry, Nigerian Broadcasting Commission, NBC, in the broadcasting industry, what is the assurance that yours commission will be any better?

There is no assurance that anything will be better. We have to work hard to reverse the failures of the past. We can’t take it for granted that we will be better. My attitude is that we can make a difference if we have a good diagnostic of why things are not working and be pragmatic to seek solutions. I am confident that the quality of commissioners and the staff we are working with will help us achieve our mandate.

Could you give detail of the mandate of your commission ?

NERC is an agency empowered by law to regulate the electricity sector. The Electric Power Sector Reform Act, 2005 mandates the NERC primarily to license firms that want to engage in electricity business in Nigeria, whether in the generation, transmission or distribution subsector. NERC has the responsibility of monitoring these firms, and creating the environment that allows them to cover cost and make profit so that they are able to invest in the sector. Above all, NERC protects engineering, safety and environmental standards and promotes quality service delivery for the Nigerian public

As a lawyer, do you think that the National Assembly has enacted adequate laws to support the government’s reform agenda and provide stable electricity supply for the country?

I think the National Assembly has done a great job in enacting the Electric Power Sector Reform Act. This law is effective in creating an independent regulator and endowed with the necessary organisational and functional independence to regulate the sector. The National Assembly has also confirmed the former and present commissioners, so they have exercised their constitutional responsibility. If government and the NERC effectively operate the provisions of the Act, there will be less problem. In a sense, the National Assembly has done its job of providing an enabling legislation. What remains is the routine oversight over policy and budget implementation.

Nigerians have faulted the rationale behind increase in electricity tariff because the service is not available. How do you justify the in increase in tarrif?

Right now, NERC is still working on the new tariff based on the Multi Year Tariff Order, MYTO. The methodology is cost-reflective. But there is still provision for lifeline tariff to enable poor households access to electricity. The key point is not to provide investors massive profit but to ensure adequate supply. Electricity should be seen as a basic service that facilitates the enjoyment of fundamental rights to dignified livelihood. Without steady supply of electricity, it is doubtful if a modern citizen cannot be said to be living a life of dignity. So, the new tariff should be seen from the point of view of facilitating effective and broad enjoyment of the right to adequate supply of power.

When are Nigerians expecting the participation of the private investors in the generation and distribution of electricity?

Already, the private sector is participating in the electricity industry. There are many Independent Power Producers, IPPs, in the system helping to boost electricity supply in Nigeria. A few International Oil Companies (IOCs) are also in the generation segment of the electricity industry. One of the functions of NERC is to stimulate and sustain private sector participation in the electricity sector through regulatory actions. We have been doing that well and the number of foreign and local businesses interested in electricity business in Nigeria is growing by leaps and bounds.

With the idea that the administration of President Goodluck Jonathan is putting in place for adequate supply of electricity in the country, you will recall the labour union fear of what become the fate of their members after the deregulations exercise. Can you shed light on the plan of the government to ensure effective transition for the workers?

It is not the duty of NERC to deal with the workers in the successor companies after privatization. Our mandate is to protect consumers of electricity with or without privatization. We have a strong consumer affairs unit and we are presently reviewing regulations that will maximize protection for consumers in the wake of privatization.

The 2011 elections is around the corner, don’t you think that the frequent political and sectarian crises could threaten the smooth conduct of the elections?

Sectarian conflicts whether political or otherwise always threaten political stability. I think the government recognizes this, hence it has reacted sharply to the recent threats to peace. We can’t overstate the importance of peace to economic development and democratic transformation. In the run-up to the 2011 elections, it is important to rein in the tendency to sectarian violence if we don’t want to end up in a big mess.

As one of the supporters of President Jonathan for president, how will you rate his chance of winning the 2011 presidential election ?

I think he will win the general elections. He looks good to be President for another four years.

How will you rate the nation’s judiciary in the performance of its statutory duties over the years, especially in the area of responding to socio-political and economic problems?

The performance of the judiciary is a mixed bag. In some areas, it had done well. In others it had done badly. I think, on the whole, the image of the judiciary is bad because many judges are incompetent and corrupt. But there are many intelligent, honesty and decorous judges in Nigeria.

What will you want to be remembered for in your new assignment?

I want Nigerians to say that I wasn’t just a critic but a leader. I want to leave the job with the satisfaction that I was competent and did not betray my principles and values. For me, the ultimate life is the life of competent and honest service to my country and mankind. I want to end with a testimony from heaven that I was true to my profession and vocation.

What is your reaction to the incessant bomb rocking some parts of the country in recent times, especially as we approach the general elections?

This is terrible and must be stopped. Terrorism is fast gaining ground in Nigeria. Government should declare a state of emergency and a war against any form of terrorism, including kidnapping. Anyone caught, should face the stiffest possible punishment.

What does the trend portend for the country’s image locally and internationally?

It increases the cost of doing business in Nigeria and could affect the advocacy for foreign investment in the electricity sector as we are planning to do. 0