President Bola Tinubu on Friday constituted an 11-member committee to ensure the smooth sailing incorporation of the Grid Asset Management Company Limited (GAMCO).
The constitution of the committee followed the Federal Executive Council’s approval for the establishment of the company at its Wednesday meeting.
In proposing GAMCO, President Tinubu hopes to fast-track a quick-fix solution to the endemic problems of stranded power, grid management and transmission in the country’s electricity sector.
The Chief of Staff to the President, Femi Gbajabiamila, who performed the inauguration on behalf of the President, said the committee was critical to the realisation of President Tinubu’s aspirations in Nigeria’s power sector.
“The proposed establishment of GAMCO is one of the revolutionary steps taken by Mr President and this administration in the all – important power sector.
“We are here for the inauguration of the Committee on Grid Asset Management Company (GAMCO), which is basically to optimise and revolutionise power generation, and in particular, the grid and transmission sector,” the Chief of Staff said.
He called on members to align with the President’s vision in proposing the formation of GAMCO and to stick to the committee’s mandate.
The Chief of Staff said the committee will conduct a comprehensive review of existing laws, regulations, policies, and institutional frameworks governing the electricity value chain, including generation, transmission, distribution, and market operations.
It will examine the implications of the Electricity Reform Laws (2025) and related unbundling arrangements on asset ownership, management, and regulatory oversight.
It will identify areas of conflict, overlap, or inconsistency between the proposed GAMCO framework and extant legal and regulatory instruments.
The committee will also assess the legal status, ownership structure, and contractual obligations of the Niger Delta Power Holding Company (NDPHC) and National Integrated Power Project (NIPP) assets, including the Omotosho, Olorunshogo, and Ihovbor plants, which GAMCO plans to use for its pilot phase.
It will evaluate the interface between GAMCO’s proposed mandate and the statutory functions of the Nigeria Electricity Regulatory Commission, and determine the fiscal, financial, and market implications of the proposal, including subsidy exposure, market liquidity, and revenue frameworks.
In addition, the committee will determine whether the establishment and operationalisation of GAMCO require amendments to primary legislation, subsidy regulations, and executive directives.
The Chief of Staff to the President is the Chairman of the Committee, with the Attorney–General of the Federation and Minister of Justice, and the Ministers of Power, Works, and Finance as members.
Others include the Ministers of Communication and Digital Economy, Science, Technology and Innovation, Aviation and Aerospace Development, the Minister of State (Petroleum), the Chairman of the Nigeria Revenue Service, and energy expert Professor Yemi Oke.
The Permanent Secretary of the Cabinet Affairs Office, Dr John Chidiebere Ezeamama, is the committee’s secretary.
The Grid Asset Management Company Limited (GAMCO) aims to recover and optimise stranded power generation using the Benin-Lagos transmission corridor as a pilot phase.
The initiative will address Nigeria’s power sector challenges through optimisation, private capital mobilisation, and disciplined asset management, ultimately improving electricity reliability and national competitiveness.
The Federal Government will fully own GAMCO as a commercial venture, with the shares held by the Ministry of Finance Incorporated.
The company will modernise transmission evacuation, starting from the most critical axis within Nigeria’s power system.
The Benin-Lagos transmission corridor evacuates bulk power supply to Ogun and Lagos states, Nigeria’s largest industrial and commercial centres.
The pilot phase will focus on optimising power output from the Omotosho, Olorunsogo and Ihovbor National Integrated Power Plants (NIPP plants).
Omotoso’s installed capacity is 513MW, Olorunsogo’s 754 MW, and Ihovbor’s 508 MW.
GAMCO projects to recover at least 1,600 MW within 18-24 months, alongside the development of a new high-capacity 330V+ double-circuit transmission line along the same corridor.
The success of the new company during the pilot phase will lead to the establishment of a scalable model that can be extended across additional plants and corridors, forming the backbone of long-term grid stabilisation and expansion.
At present, substantial Federal Government investment in NIPP generation assets remains under-optimised due to operational inefficiencies and transmission evacuation bottlenecks, resulting in stranded capacity and suboptimal return on public capital.
GAMCO plans to unlock the stranded power of the three selected NIPP and develop a parallel high-capacity transmission corridor along the Benin-Lagos axis, thus translating underperforming national assets into reliably delivered megawatts.
As proposed, the Niger Delta Power Holding Company will grant GAMCO the concession and lease arrangements for the three plants.
TCN will grant GAMCO the right to develop, finance, and operate a greenfield 330KV+ double-circuit independent power transmission line along the identified corridor.
The ultimate aim of the initiative is to enhance industrial productivity, safeguard jobs, improve investor confidence, and boost welfare outcomes for Nigerian households, aligning with the Renewed Hope Agenda of the Tinubu administration. (vitalnewsngr.com)
