By Tony Akowe, Abuja

The House of Representatives is considering the approval of five per cent of operating revenue of power generating companies (GenCos) for the development of communities where they operate under the Host Community Development Fund (HCDF).

The House, on Wednesday, passed for second reading a Bill for an Act to amend the Electric Power Sector Reforms Act 2005 to make it mandatory for the GenCos to reserve five per cent of all the revenue that accrues from the power generated for the development of the host communities.

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The sponsor of the Bill, Babajimi Benson (APC, Lagos), said the Bill became imperative due to the degrading impact host communities suffer where the GenCos across the country operate.

The lawmaker said the Bill would be an important piece of legislation to all parts of the country as the 23 GenCos in the country are located in the six geo-political zones of the country.

He named some of them as the power stations in Sapele (Delta State), Jebba (Niger), Egbin (Lagos), Ughelli (Delta), Shiroro (Niger), Afam (Rivers) and Kainji (Niger).

Others are in Katsina (windmill), Olorunsogo (Ogun), Omoku (Rivers), Benin (Edo), Alaoji (Abia), Geregu (Kogi), Egbema (Imo) and several other parts of the country.

Benson said: “The adverse effects on the environment, human and aquatic lives on the communities hosting the power generating stations all over the country, particularly thermal pollution from the power generating stations are, hereby, recognised under this Act.”