President Goodluck Ebele Jonathan, GCFR
at the inauguration of the Board of NBET
Nigerian’s deficient power sector supply has been a challenge that the past three presidential administrations have steadfastly sought to address. In 2001, the Federal Government, in a bid to address the deficiency in power sector supply, adopted the National Electric Power Policy for the reform of the sector. Following suit, the Electric Power Sector Reform Act (EPSRA), was passed into law in March 2005. A key thrust of the sector reform is the transfer of the control and operations of the industry from public sector to private sector.
In furtherance of this goal, the Act saw the creation of the Power Holding Company Nigeria (PHCN) which assumed the assets, liabilities and employees of the erstwhile Nigeria Electricity Power Authority (NEPA); the subsequent unbundling of PHCN into 18 successor companies, the establishment of the Nigerian Electricity Regulatory Commission (NERC); the establishment of the Rural Electrification Agency (REA) and the provision for the establishment of two special purpose vehicles (SPVs) to undertake electric power trading and management of extant liabilities respectively.
In line with President Goodluck Jonathan’s “Road-map to Power Sector Reform” of August 2010, and, in fulfillment of the requirements of EPSRA, the Nigerian Bulk Electricity Trading Plc, (NBET) aka the Bulk Trader, was incorporated on July 29 2010 as the SPV for carrying out, under license from NERC, the bulk purchase and resale function contemplated by the EPSRA. As such NBET has been set up to “engage in the purchase and resale of electric power and ancillary services from independent power producers and from the successor generation companies”.
Who We Are
Nigerian Bulk Electricity Trading Plc (NBET) aka the Bulk Trader, is a wholly Federal Government of Nigeria (FGN) owned company incorporated on July 29 2010 as part of President Goodluck Jonathan’s roadmap for Power sector reform towards the full implementation of the Electric Power Sector Reform Act (EPSRA).
NBET enters into power purchase agreements with generation companies and resells power to distribution companies through the vesting contracts. To fulfill its mandate and drive investment into Nigeria’s power sector, NBET is positioned as a credit-worthy counterparts for current and future generation projects.
NBET’s as of October 2014 capitalization by the Federal Government of Nigeria in excess of $800 Million.
On August 23, 2011, President, Dr. Goodluck Ebele Jonathan, GCFR, inaugurated a nine-person Board of Directors with Coordinating Minister of the Economy and Honourable Minister of Finance, Dr. Ngozi Okonjo-Iweala as the statutory Board Chair and Mr. Rumundaka Wonodi as the Managing Director and Chief Executive Officer.
The other Board members are: the Honourable Minister of Power, Prof. Chinedu Nebo; Mr. Saka Abimbola Isau SAN, (Vice Chairman); Director-General, Bureau of Public Enterprises, Mr. Benjamin Ezra Dikki; Mr Haruna Sambo Mohammed; Hon. Mohammed Kumalia and, Mr. Paul Usoro, SAN.