This followed a motion by Senator Mohammed Hassan (Yobbe South) and five others over alleged “unwholesome practices by Manitoba Hydro International Nigeria Limited under the direction and control of the BPE.”
In his lead debate, Hassan criticised the activities of Hydro International ((Manitoba), a Canadian company contracted to manage the Transmission Company of Nigeria (TCN).
The lawmaker said though the firm was incorporated under the laws of Nigeria, it has insisted to be paid in dollars instead of naira.
He said: “It is a criminal offence stipulated in Section20(5) of the Central Bank of Nigeria (CBN) Act, 2007 for any person or body corporate to refuse the acceptance of naira as legal tender.
“We are worried that the TCN is imposed with this burden, under the management Services Contract, of paying all taxes for the management contractors while Manitoba does not pay taxes on monies paid under the contract.
“Section 9(2) of the Companies Income Tax Act(CITA) Cap 21, 2004 provides that tax shall be assessed and payable upon the profit of any company accruing in Nigeria.
“The Management Service Contract prepared by BPE for the management of TCN is fraught with apparent illegalities and total violation of the laws of Nigeria.”
Chairman, Senate Committee on Appropriation, Senator Mohammed Danjuma Goje in his contribution lamented that the entire privatisation exercise seemed to be a failure.
He noted that the idea of the exercise was to empower the private sector to make power more stable in the country.
