BPE: FG will sell refineries, Yola DisCo to fund 2021 budget

The federal government is planning to sell or concession about 36 national assets to fund the N13.59 trillion 2021 budget.

A Bureau of Public Enterprises (BPE) document which was submitted to the national assembly showed that the properties, categorised under energy assets, industries and communication department, development institutions and natural resources are up for sale or concession.

The remaining properties were classified under infrastructure and public private partnership and post transaction management department.

Some of the properties include refineries, International Conference Centre (ICC) in Abuja, Yola Electricity Distribution Company, Zungeru Hydro Power, Tafawa Balewa Square, Abuja Environmental Protection Board (AEPB), the Transmission Company of Nigeria (TCN), Nigerian Film Corporation, and others.

In November 2020, Theodore Orji, chairman of the senate committee on privatisation, had said the committee was not part of the federal government’s plan to sell or concession some national assets to fund the 2021 budget. 

Orji had also said Alex Okoh, BPE director-general, would be summoned to explain the details of the sale and concession.

“We would ascertain whether due process was followed. We would also look at the amount that the BPE put up the assets for either outright sale or concession,” he had said.

“We would scrutinise the papers to see whether they are fair or ridiculous amounts because what Nigeria as a nation needs now, is money.”

The document further showed that the government would earn the highest sum of N484.4 billion from the energy department. While projected earnings from industries and communication department, development institutions and natural resources are N9.2 billion and N51.1 million respectively.

Zainab Ahmed, minister of finance, budget and national planning, during the 2021 budget presentation said the budget deficit of N5.6 trillion will be financed mainly by borrowings  from domestic sources, foreign sources, multilateral and bi lateral loan drawdowns while N205.15 billion is expected from privatisation proceeds.