Power: Economist urges sale of oil, gas assets to develop sector

AN economist, Mr Bode Augusto on Friday urged the Federal Government to sell some assets in the oil and gas sector to finance power infrastructure.

Augusto, also the Managing Director, Augusto and Co Ltd., gave the advice in his Keynote address at the 2018 Vanguard Economic Discourse on Friday in Lagos.

The Vanguard has as its theme “Economy in Rebound: Pitfalls, Trajectories and Resetting.’’

According to him, money realised from the assets should be invested in the sector to improve the National Grid.

“More money should be invested in the National Grid to ensure evacuation and effective delivery to Distribution Companies (DISCOs) in order to provide regular electricity supply.

“It is unfortunate that our power sector reform privatisation is not complete with the control National Grid by the government.

“The National Grid should be private-sector owned for effective management.

“Part of the proceeds of the sale of assets should also be used to expand our rail sector by building the tracks.

“Government should also encourage the private investor to participate in the rail sector.

“Government should also negotiate the tariff with investors so that the masses will not suffer,’’ he said.

Augusto said the country was not investing enough on infrastructure development.

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He also said the biggest problem facing the country was its growing population.

The managing director said that in 1960, the country had a population of 45 million but in 2015, the population grew to 160 million.

Augusto said this increase would mean that more primary schools would be built and the number of children to receive vaccines would increase.

He said if the population was not controlled, it was likely to increase to 550 million by 2070.

The accountant advised couples to have two children to reduce the population growth.
He assured that with purpose and sincerity, the country’s economic challenges could be solved.