The Senate on Thursday suspended the Transmission Company of Nigeria (TCN) from obtaining a loan facility of $155 million from World Bank for mass production of local meters.
The upper legislative chamber resolved to suspend application of the loan because its agreement promotes foreign manufacturers against competent and qualified local meter manufacturers in the country.
The suspension of the loan application was a sequel to a motion moved by Victor Umeh (LP, Anambra Central) at the plenary presided over by the Senate President, Godswill Akpabio.
Mr Umeh, while presenting the motion, said if the loan is obtained, local manufacturers in the country will lose their jobs, and the Nigerian government will also lose revenue that ought to be contributing to the development of the country’s economy.
When the motion was thrown open for debate, many of the senators supported the suspension of the loan.
The senate president subsequently approved that the loan processing should be suspended, and the transmission company should negotiate with African Export-Import Bank (AFREXIM) and the African Development Bank (AFDB) for an alternative loan to achieve mass metering production.
Mr Akpabio also approved additional prayer to the motion by Ifeanyi Ubah (YPP, Anambra South) to urge the transmission company to access intervention funds from Central Bank Nigeria for the execution of the mass metering production.
Background
Mr Umeh, while giving a background of the meter production project, explained that the project was first funded by CBN in 2020, but the fund was withdrawn after eight months which affected the success of the production.
He claimed that the proposed plan of the TCN was to produce four million meters in 2022 that will be distributed across the country to electricity consumers.
The senator explained further that after CBN withdrew the fund, the TCN approached the World Bank for a $155 million loan facility to continue the metering production project.
He noted that the World Bank has already approved the loan for the national mass metering production.
Argument
Mr Umeh, in his argument, noted that 70 per cent of the content of the meter could be sourced locally by meter manufacturers in the country.
“Seventy per cent content of the meter can be sourced locally. The electronic parts are also available. We cannot allow them to continue sabotaging the economy.
“We are not against the loan. We are talking about the application of the loan, it is to make our local manufacturers lose out, and the opportunity will go to foreign manufacturers. If we can produce 70 per cent of what we use in Nigeria, we will be a giant among countries of the world,” he said.
Mr Umeh said the meters, if manufactured by local manufacturers, will be more effective than handling by foreign manufacturers.
“I took time to review the loan. If we don’t take time, this country will break finally. The bidding criteria do not accommodate the local manufacturers but includes the foreign manufacturers.
READ ALSO: 10 events that shaped Nigeria in 2022
“I have discovered that the meters Nigerians are producing are stronger than what they produce in foreign countries. The Nigeria meter manufacturing association can do better. We don’t produce anything in this country, we depend on importation, and if we continue, we will never balance,” he added.
“The TCN cannot go on with procurement of the loan. The money will be used to develop the country. We are ready for the trouble. Corruption has eaten this country because of personal interest. They are sabotaging the efforts of local manufacturers.”
Support PREMIUM TIMES' journalism of integrity and credibility
Good journalism costs a lot of money. Yet only good journalism can ensure the possibility of a good society, an accountable democracy, and a transparent government.
For continued free access to the best investigative journalism in the country we ask you to consider making a modest support to this noble endeavour.
By contributing to PREMIUM TIMES, you are helping to sustain a journalism of relevance and ensuring it remains free and available to all.
DonateTEXT AD: Call Willie - +2348098788999
Bagikan Berita Ini
Related Posts :
The Pandemic Made Manufacturing Stronger - IndustryWeek- South Africa Railway Transport and Manufacture of Locomotives and Rolling Stock Report 2021 - ResearchAndMarkets.com - Yahoo Finance
- Smart Manufacturing Names IACMI's John Hopkins Trailblazer in Manufacturing Transformation - Hendersonville Standard
- Montblanc Heritage Manufacture Perpetual Calendar Limited-Edition 100 Watch - aBlogtoWatch
- Endera Acquires Electric School, Shuttle Bus Manufacturing Company - NGT News
0 Response to "Senate stops TCN from obtaining $155 million loan from World Bank to manufacture meters - Premium Times"
Post a Comment