… stakeholders challenge Adelabu to present proof of procurement process
…CEO of De Haryor Global Services defends actions, challenges critics, stands firm on independent business approach
Oredola Adeola
Chief Adebayo Adelabu, the Minister of Power, is under scrutiny for allegedly awarding a N40 billion metering project to De Haryor Global Services, a company lacking the necessary qualifications and track record for procurement or manufacturing of prepaid meters in Nigeria under market rules.
Notably, Chief Adelabu, over the weekend, unveiled a groundbreaking N40 billion mass metering initiative awarded to De Haryor Global Services, with the aim of eradicating estimated billings across Nigerian Army installations nationwide.
Meanwhile, concerned stakeholders, who are in the know of the deal, have alleged that De Haryor Global Services, owned by Ashade Olatunbosun, lacks a known meter assembling plant, is not a Meter Services Provider (MAP) licensee, and does not have a proven track record in that specific field.
They alleged that De Haryor Global Services is not included in the Nigerian Electricity Regulatory Commission (NERC) MSP/MAP list and does not possess the criteria which can afford it the right to win any bid for procurement or manufacturing of prepaid meters in Nigeria.
The concerned individuals have issued a challenge to the Minister of Power to present proof of the procurement process that led to De Haryor Global Services being selected as the preferred bidder for the project. Furthermore, they have requested Chief Adelabu to publish details regarding this particular project.
Meanwhile, Bolaji Tunji, media aide, to the Poer Minister in response to inquiry by Advisors Reports said, “The contract was awarded by the previous administration, but it was not funded at the time. There were three bidders for it, and the best of the bids was from De Haryor Global.
“Also, De Haryor was not an SPV, it is a company that has been in existence since 2009. So due process was followed concerning this project. Also, the project value is N12.7b.
The spokesperson of the Minister of Power informed Advisors Reports that the Minister has about N40billion for mass metering but not all is going for the army formations metering.
ADELABU’S PLAN TO METER ALL MILITARY FORMATIONS ACROSS NIGERIA
The project kickstarted at the 9th Brigade headquarters in Ikeja military cantonment, as the Power Minister outlined a meticulous six-week plan for the initial phase at Ikeja cantonment, emphasizing the project’s pivotal role in ushering in a new era of precise consumption monitoring and billing transparency.
In his statement Adelabu noted that N12.7 billion had already been allocated for the current phase, the mass metering endeavor promises to bring an end to arbitrary estimations and streamline billing processes.
According to him, the deployment of state-of-the-art smart meters, impervious to tampering, signifies a monumental step towards combating energy theft and ensuring equitable billing practices.
Chief Adelabu said the metering project would be extended to all military formations, promising that Jos, Abuja, Ibadan, Enugu, Kaduna, Ikeja and Eko and other electricity distribution companies (DisCos) will benefit from the exercise, to provide 24-hour power supply to the barracks.
STAKEHOLDERS’ AGITATIONS
Engr. (Dr.) Atinuke Owolabi, a Fellow at the Nigerian Institute of Electrical Electronic Engineers (FNIEEE) and President of the Coalition of Professional Women in Politics, in a document addressed to the Minister of Power asked for explanation over the allocation of the N40 billion metering project to an unfamiliar company within the country.
She said, ” As someone who actively participated in advocating for good governance during the last election. I am deeply disheartened by this decision.
“It is embarrassing that the Minister can disregard the potential economic and employment benefits that these local manufacturers could bring, especially in terms of creating opportunities for the teeming Electrical Engineering graduates across Nigeria.
“As a matter of fact, De Haryor Global Services, is not a meter assembling plants and not a known Meter Services Provider (MAP) neither is it a MAP Licensee with proven pedigree.
“The firm lacks the capacity to provide employment opportunities for our engineering graduates. It is imperative that we support our indigenous meters assembling companies and prioritise the empowerment of our own people over individual gains.
“We cannot afford to hinder the progress of our nation by neglecting our local businesses as represented by the call for inclusive growth and upscaling of the local content in the entire gamut of metering deployment to strategic military formations/barracks nationwide.
“There is a vast pool of electrical engineering graduates waiting to be employed, and it is disheartening to see them overlooked due to lack of support from Federal Ministry of Power.
“I implore you as Honourable Minister of Power to reconsider your decision and give due consideration to our indigenous meter manufacturers. Failing to do so will not only perpetuate unemployment among our youth but also hinder the growth of our nation,” she stated in the letter.
Engr. Owolabi noted that De Haryor Global Services is just a business name or one of the newly incorporated entity registered specifically as an SPV for the mass metering of military formations/ barracks nationwide.
She said, “It has no factory/ meter assembling plant in Nigeria. By implications, De Haryor Global Services will import N40 Billion Naira worth of meters from Asian countries and in the process exporting jobs meant for Nigerians to other climes and further increase the demand for forex.
“It is equally worthy of note to state that the award of the sum of N40 Billion Naira worth of importation of Pre-Paid Meters (as finished product from China) was unilaterally done without Advertisement/ Call for Public Bidding, No Public Tender and in gross violation of
Public Procurement Act.
President of the Coalition of Professional Women in Politics has therefore urged the Minister to prioritize national interests over personal agendas. She questioned the lack of public bidding or tender processes in awarding such a significant contract for prepaid meters without proper scrutiny.
Adetayo Adegbemle, Executive Director of PowerUp Nigeria, in a statement obtained by Advisors Reports also revealed that the Minister awarded the N12bn Metering Contract for Military Installations across the country to a little-known entity.
According to him, the Meter Manufacturers are not aware of the transaction between the Ministry and De Haryor Global Services.
He therefore challenged the Minister to provide evidence of procurement process that his media aide said was done under last administration.
Adegbemle further noted that De Haryor Global Services Limited is not a registered Meter Manufacturing/Assemblers Company, neither is it on the list of Manufacturers/Assemblers at the Ministry of Finance, and Ministry of Trades
He said, “There’s no budgetary allocation for this project, neither in the Ministry of Power, nor Ministry of Finance.
He emphasised that a procurement of that magnitude requires FEC approval, no evidence this was sort, or granted.
The Executive Director of PowerUp Nigeria therefore urged the Federal Exevutive Council to review and reverse the process and that culprits should be investigated.
According to him, the Minister of Power should be immediately redeployed or replaced.
DE HARYOR GLOBAL SERVICES RESPONSE TO ALLEGATION
Ashade Olatunbosun, the Chief Executive Officer of De Haryor Global Services, responded to the allegations regarding the contract to install prepaid meters in military formations across Nigeria, dismissing the claims as baseless and lacking in understanding of the transaction details.
Olatunbosun expressed disappointment in the stakeholders who raised the allegations, questioning their failure to seek clarification directly from him or the involved parties before making public statements.
He emphasized his confidence in the legitimacy of his actions, stating that he sees no need to justify himself to those he believes are misinformed.
Regarding the registration status of his company with the Nigerian Electricity Regulatory Commission (NERC) as a meter service provider or meter asset provider, Olatunbosun challenged critics to approach NERC directly if they have concerns, rather than making unfounded accusations.
He highlighted the longstanding electricity challenges faced by military barracks and questioned the efforts of his detractors in addressing these issues.
When asked about his company’s membership in meter assets provider trade organizations, Olatunbosun explained that De Haryor Global Services has chosen not to join any association to avoid unnecessary bureaucracy.
He criticized certain associations for hindering potential financing from the World Bank for prepaid metering projects in Nigeria and for failing to deliver on commitments under the National Mass Metering Programme (NMMP).
Olatunbosun defended his decision not to engage with such associations, asserting his right to conduct business independently without interference.
Advisors Reports’ search on DE-HARYOR GLOBAL SERVICES LIMITED’s website revealed that the company is a comprehensive Electrical and Construction Company offering a wide range of services to commercial and industrial clients in Nigeria.
The document claimed that the firm established in 2009 and operating as a Limited Corporation registered with the Corporate Affairs Commission in Nigeria, is licensed, bonded, insured, and affiliated with the Nigerian Electricity Regulatory Commission (NERC).