A former Executive Director of the Transmission Company of Nigeria (TCN) has called for the gradual unbundling of the company to address the problems and challenges facing the power sector in the country.
Within the electricity sector, unbundling is a type of structural reform that involves the separation of core functions performed by power utilities or power companies.
Sonny Iroche who is currently chairman Strategic Alliance Promotion Company admitted in an interview with ARISE News that although there was a delay in adhering to plans to unbundle TCN, the Buhari administration “is now finally going towards it.”
“The proper way to go is to unbundle the TCN which has been done but hasn’t been finalised,” Iroche said.
“There are market rules, meter rules that haven’t been strictly adhered to.
“The unbundling of TCN happens to be one of the post-privatisation challenges that we face. Hopefully with time and all the players and stakeholders working together, the total unbundlement of TCN will be achieved,” he said.
Transmission Company of Nigeria manages the electricity transmission network in the country and is fully owned and operated by the government.
It is one of the 18 companies that was unbundled from the defunct Power Holding Company of Nigeria (PHCN) in April 2004 and is a product of a merger of the transmission and system operations parts of PHCN.
TCN is responsible for evacuating electric power generated by the electricity generating companies (GenCos) and wheeling it to distribution companies (DisCos).
It provides the vital transmission infrastructure between the GenCos and the DisCos’ Feeder Sub-stations.