Geregu Power and bandit capitalism?, By Chidi Anselm Odinkalu

Questions surrounding fiscal governance in Nigeria are highlighted, particularly concerning a senator and former governor reportedly settling a ₦6 billion debt to a company in which he holds investments. The tax implications of this payoff, whether it will be treated as philanthropy, investment, or a write-off, remain unclear. This senator, Abdulaziz Yari, is also slated to lead the campaign to re-elect the president, with fundraising efforts to be overseen by the head of Nigeria's revenue service.

The article juxtaposes these events with the Electric Power Sector Reform Act enacted in 2005, designed to create a competitive electricity market. At the time of the act's passage, Yari, who graduated with a diploma in secretarial studies, was the state chairman of the All-Nigeria Peoples’ Party (ANPP) in Zamfara State. Over the subsequent two decades, both Nigeria's power sector reform and Yari's political career have followed distinct, yet intertwined, paths.

Geregu Power PLC, a publicly traded company involved in the newly unbundled power sector, was established in November 2006 and began operations in 2007. In the same year, Yari was first elected to the House of Representatives. His political ascent continued when he successfully ran for governor of Zamfara State in 2011, defeating his father-in-law, then-Governor Mahmud Aliyu Shinkafi. A significant development in the power sector occurred in 2013 when Amperion Power Distribution Company Limited, a subsidiary of Forte Oil Plc, acquired controlling interests in Geregu Power.