PRIVATISATION AND COMMERCIALIZATION IN NIGERIA: A STUDY OF POWER HOLDING COMPANY (PHCN) OF PUBLIC ENTERPRISES

Authors: Olobo Omachi & Usman Mohammed Ph.D

ABSTRACT

The study examines impact of privatization and commercialization of PHCN on Nigeria people. The paper utilized both primary and secondary sources of data and data collected were descriptively analyzed with a view to seeking answers to the broad question of the effect of privatization and commercialization of government-owned enterprises in Nigeria with reference to Power Holdings Company of Nigeria (PHCN), Benin Zone. The study engaged one hundred and fifty-four (154) respondents randomly selected from the five departments of PHCN, Benin. The findings revealed that PHCN has to contend with internal and external environmental hostilities and constraints such as poor funding of the enterprise, corruption, excessive control by the Federal Government, vandalization of its equipment by hoodlums, fraud, shady dealings, poor maintenance, erosion, and debts owed it and irregular rainfall. Government should examine and select the competent people who will handle private enterprises and not people of questionable character. Capturing the confidence of labour, building more power plants, staff training and motivation, monitoring of the privatization processes, transparency and accountability will check corruption, Government interference and recruitment by patronage. The paper concluded that electricity is the bedrock of socio-economic development of any nation hence priority must be set for its full privatization and commercialization as it did to the national telecommunication carrier, NITEL, so than Nigerians can grow and develop like other nations such as Malaysia, Indonesia and India, which have almost same characteristics like Nigeria. Private-sector driven economy is key to this development and government must create this sector in Nigeria if it must grow and develop industrially, socially and politically.

Keywords: Privatisation, Commersialisation, Public enterprise,& PHCN

REFERENCES

  • Adegbemi O.O & Babatunde O. O. (2013) Electricity consumption and Nigerian economic growth: an empirical analysis. European Scientific Journal. Vol. 9, 25-40.
  • Adeniran, O., & Ojo, A. (2018). “Governance and Policy Implementation in Nigeria”. Journal of Policy Studies. Retrieved from (https://www.researchgate.net/publication/329292396_Governance_and_Policy_Implementation_in_Nigeria)
  • Aliyu S. B., Lawal, A. D & Beki O. D (2018). An examination of Electricity consumption and Economic Growth in Nigeria. International Journal of Economics and Business Management 4(6), 47-64.
  • Babatunde O.O. (2016). Relationship between electricity consumption and economic growth in Nigeria. Sustainable development and energy security level after shutdown. Technological and Economic Development of Economy, 17 (1):5–21.
  • Babatunde, M. (2010). Institutional Framework for Privatization in Nigeria: Lessons from the Past. African Journal of Business Management. (https://academicjournals.org/journal/AJBM/article-abstract/8D66611451)
  • Babatunde, M.A., Shuaibu, M.I. (2010) The demand for Residential Electricity in Nigeria: A Bound Testing Approach.http://www.africametrics.org/.
  • Behara A. (2015). Electricity consumption and economic growth in India. Pakistan Journal of Social Sciences (PJSS), 32 (2), 371-382.
  • Etukudo          A.        (2000)  “Issues in         Privatization    and      Restructuring  inSub-Saharan Africa” http://www.iol.org/
  • Federal Republic of Nigeria (1993). The Presidency Technical Committee on Privatization and Commercialization, Final Report vol. 1 (main Report)
  • Idornigie, Paul Obo (2012) Privatization and Commercialization of Public Enterprises in Nigeria. A paper presented at the National Conference on law and economic transformation.
  • Igbuzor O. (2007) “Privatization in    Nigeria: Critical Issues of Concern to Civil Society” Hhp://www.dawodu.com
  • Maduka, C K. (2011) Privatization of public enterprises in Nigeria: A critical assessment of its politicisation. Unpublished Project
  • Mahmood S. & Kanwal Y. (2017). Relationship between energy efficiency and economic growth in Pakistan. The Lahore Journal of Economics 7(2), 45-58.