FEC Approves Grid Asset Company to Enhance Power Transmission

On Wednesday, during a Federal Executive Council (FEC) meeting at the State House in Abuja, Minister Mohammed Idris announced the approval for the establishment of a grid asset management company (GAMCO) to tackle Nigeria's ongoing power transmission issues. This initiative is deemed crucial for resolving the country's power sector challenges, particularly in the transmission segment.

President Bola Tinubu is considering a bill related to this initiative. A committee will be formed to ensure the seamless establishment of GAMCO, comprising the Minister of Power, the Minister of Finance, the Minister of Science and Technology, and the Chairman of the Federal Inland Revenue Service, among others.

The committee will examine regulatory issues and recommend necessary legislation to the National Assembly. The power sector in Nigeria has faced significant challenges since its unbundling and privatization in 2013, with the transmission infrastructure identified as the weakest link.

Additionally, the FEC approved an exit benefit scheme for civil servants, providing 100% of total emoluments upon retirement, aimed at improving efficiency and reducing the wage bill.