TheCable

Some participants at the Nigerian Economic Summit holding in Abuja have called for the restructuring of power.

Tony Elumelu, chairman of Heirs Holding, said the power sector needs to be recapitalised, citing access to electricity as a game-changer in the development of the nation’s economy.

Elumelu advised the government to increase their investment in the sector, scaling up ownership from 51% to 60% and divest to capable investors (Discos) who have the financial muscle and expertise to run these businesses.

Noting that some investments in DisCos have been highly leveraged, Elumelu said that the selection process should be very strict, allowing for new ownership structures.

“We need to do more in the electricity sector. Ownership structure should change without affecting the property rights of investors,” he said.

“If the power sector is fixed, the economy will take off.”

Speaking about the hierarchy of needs in terms of Infrastructural development in the country, John Rice, vice chairman, General Electric (GE), said electricity takes the first spot.

“Without electricity, you can’t have basic healthcare because most of the things that could come with basic health care have a plug,” he said.

“The notion of sustainable inclusive growth is almost impossible without electricity.

“Organising that priority, making sure that real progress is being made to put more kilowatts on the grid and then process it so that it gets to people who pay for it is essential to this idea of sustainable inclusive growth.”