The House of Representatives Friday queried the payment of a whopping $33 million monthly as power purchase agreement with the Azura Power Company by the Nigeria Bulk Electricity Trading for ‘take and pay power’.
Chairman of the House Committee on Finance, Rep. James Faleke issued the query at an investigative hearing on plans to sell the Independent Power Projects across the country.
He said it was not in the national interest to commit the country to such a huge investment without the knowledge of the President and the Federal Executive council.
The House also frowned at the claims by the Managing Director of the agency, Nnemeka Eweluka that the agency did not get the approval of the Federal Executive Council before signing the power purchase agreement with Azura.
The committee equally queried why arbitration process for the Azura power agreement was domiciled in France and not in Nigeria, while accusing the MD of expunging portions of the agreement that required the opinion of the Minister of Justice before any agreement is signed.
Defending the company, Eweluka said the power purchase agreement with Azura became operational from 2018, even though the initial agreement was signed in 2013 with an addendum in 2014 and 2015.