This section contains a catalogue of enterprises to be privatized or commercialized. Since Privatization and Commercialization means different things, I shall split the section into two “A” for Privatization and “B” for Commercialization.

S.1 (1) of the Act provides that the enterprises listed in Part 1 of the first schedule of the Act shall be partially privatized in accordance with the provisions of the Act. Enterprises under this schedule cover those in the telecommunications sectors, Petroleum sectors, Fertilizer manufacturing companies, Machine tools, Gas, Steel and Aluminum sector, Mining and Solid mineral sector, Media companies, Insurance companies, Transport(Aviation) companies.
The schedule provides that in any Enterprise under the sector above, the maximum strategic investor participation as percentage after Privatization shall be 40%.
The maximum Federal Government participation as percentage after Privatization shall be 40%. And the Nigerian individual participation shall be 20% after Privatization.
The Act therefore lists the following enterprises,
(1)      Nigerian Tele Communication PLC,
(2)      Nigerian Mobile Tele Communication LTD
(3)      National Electric Power Authority
(4)      Port-Harcourt Refineries 1&2
(5)      Kaduna Refinery and Petrol-Chemicals
(6)      Warri Refinery & Petrol-Chemicals
(7)      Eleme Petrol Chemicals Co. Ltd
(8)      Pipeline Product and Marketing Co. Ltd
(9)      Nigerian Petroleum Development Co. Ltd
(10)    Federal Super phosphate Fertilizer Co. Ltd
(11)    National Fertilizer Co. Ltd
(12)    Nigerian Machine Tools Co. Ltd
(13)    Nigerian Gas Co. Ltd
(14)    Jos Steel Rolling Mill Co. Ltd
(15)    Kaduna Steel Rolling Co. Ltd
(16)    Oshogbo Steel Rolling Co. Ltd
(17)    Ajaokita Steel Co. Ltd
(18)    Delta Steel Co. Ltd
(19)    Aluminum Smelter Co. Ltd
(20)    Nigerian Coal Corporation and Subsidiaries
(21)    Nigerian Mining Corporation and Subsidiaries
(22)    Nigerian Uranium Co. Ltd
(23)    Nigerian Iron Ore Mining Co. Ltd
(24)    Daily Times of Nigerian PLC & Subsidiaries
(25)    New Nigerian News Paper Ltd
(26)    Nicon Insurance Co. PLC
(27)    Nigerian Reinsurance PLC
(28)    Federal Air Port Authority of Nigeria
(29)    Nigerian Dock Ltd
(30)    Nigerian Airways Authority
(31)    Nigerian New Print Manufacturing Co. Ltd Oku Ibokun
(32)    Nigerian National Paper Manufacturing Co. Ltd
(33)    Nigerian Paper Mills
(34)    Sunti Sugar Co. Ltd
(35)    Lafia Sugar Company Bacita
            On the other hand, S. (2) of the Act provides that all the enterprises listed in part 11 of the first schedule of the Act shall be fully privatized. Enterprises covered in the list are those of infrastructure and utility companies such as cement companies, commercial and merchant banks, Agro-allied sector, Motor Vehicles and Truck Assembly Companies and Hotels. Before the Privatization Program, Government participation in these companies ranges from 10% it held in Nigerian Cement company Limited Nkalagu to the 100% Government ownership in FESTAC 77 Plc.
The Schedule one provides that after Privatization, Government ownership of and participation in these enterprises shall come to nil. Only strategic investors and Nigerian individuals shall own and participate in them. The following is a list of Commercialized Enterprises.
(1)      Unipetrol PLC
(2)      Nigerian Oil and Chemical Company Ltd
(3)      African Petroleum Plc
(4)      Ashaka Cement Co. Plc
(5)      Benue Cement Co. Plc
(6)      Northern Nigerian Cement Co. Plc
(7)      Nigerian Cement Co. Ltd Nkalagu
(8)      Calabar Cement Co. Ltd
(9)      West African Portland Cement Plc
(10)    Afri Bank Nigerian Plc
(11)    Assurance Bank Plc
(12)    FSB International Bank Plc
(13)    International Merchant Bank Plc
(14)    NAL Merchant Bank Plc
(15)    AYI-Eko Oil Palm Co. Plc
(16)    Opobo Boat Yard
(17)    Nigerian Romania Wood Industries Ltd
(18)    Anambra Motor Manufacturing Co. Ltd
(19)    Peugeot Auto Mobile of Nigeria Ltd
(20)    Volkswagen Nigerian Ltd
(21)    Leyland Nigerian Ltd
(22)    Nigerian Truck Manufacturing Co. Ltd
(23)    Steyr Nigerian Ltd
(24)    Nigerian Hotels Ltd and
(25)    Festac 77 Plc.
The Council established by the Act is employed to alter, add, delete or amend these lists from time to time by order published in Gazette[1].

Subject to the Provisions of S. 1(1) (F) (which empowers the council to determine whether the shares of a listed Public Enterprise should be by public or private issue…) an offer for the sale of the shares of a Public Enterprise shall be by public issue or private placement as the case may be[2]. S.4 provides that a private enterprise is required to be managed by the strategic investors as from the effective date of the Privatization on such terms and conditions as may be agreed upon.

S. 6 (1) of the Act provides that the enterprises listed in part 1 of the second schedule to the Act shall be partially commercialized in accordance with the provision of the Act.
The enterprises covered in this schedule are:
1.            Nigerian Railway Corporation
2.            Cross River Basin Development Authority
3.            Hadejia-Jamaare River Basin Development Authority
4.            Niger River Basin Development Authority
5.            Lower Benue River Development Authority
6.            Ogun-Osun River Development Authority
7.            Upper Benue River Development Authority
8.            Sokoto-Rima River Basin Development Authority
9.            Anambra –Imo River Basin Development Authority
10.       Benin-Owena River Basin Development Authority
11.       Chad River Basin Development Authority
12.       Kainji Lake National Park
13.       Federal Radio Corporation of Nigeria
14.       Nigerian Television Authority
15.       News Agency of Nigeria
16.       Nigerian Film Corporation
17.       Nigerian Postal Service
18.       Old Oyo National Park
19.       Gashaka Gumi National Park
20.       Chad Basin National Park.
21.       Yankari National Park.
22.       Cross River National Park.
23.       Niger Delta Basin Authority.
24.       Niger Delta Development Authority.
S. 6 [2] of the Act on the other hand, says that all the Enterprises listed in part 11 of the 2nd schedule to the Act shall be fully commercialized. The following are in the list:
1.      Nigerian National Petroleum Corporation
2.      Tafawa Balewa Square Management committee.
3.      Nigeria Ports Authority
4.      Federal Mortgage Bank of Nigeria
5.      Nigerian Industrial Development Bank LTD [NIDB]
6.      Nigerian Bank for Commerce and Industry LTD
7.      Federal Mortgage Finance Co. LTD.
8.      Federal Housing Authority
9.      Nigerian Social Insurance Trust Fund
The council may from time to time by order published in the Gazette amend the second schedule to this Act[3] so as to alter the category to which any Enterprise listed in that schedule shall be classified. It is worthy of note that a Commercialized Enterprise shall operate as a purely Commercial Enterprise and may subject to the general regulatory power of the Government of the federation.
a.      Fix the rates, prices and charges for its goods and services
b.      Capitalize its assets
c.      Borrow money and issue debenture stocks
d.      Sue and be sued in its corporate name.
The Public Enterprise (Privatization and Commercialization) Act Cap p. 38 LFN 2004 does not only make a catalogue enterprises to be commercialized, it goes further to map out strategies meant to enhance the achievement of its objectives under the scheme. This section is an exposition of these strategies and other mechanism of enforcement.
Basic among those strategies is the establishment of the National Council on Privatization and Commercialization of the Bureau for Public Enterprises. The Establishment, tenure of office, functions and power of the council and the bureau are what I shall discuss in the next section.

[1] S.1(3) Public Enterprises (Privatization and Commercialization) Act Cap 38 LFN 2004
[2] S. 2 (1) Public Enterprises (Privatization & Commercialization) Act Cap P. 38 L.G.N 2004
[3] S.6[3] Public Enterprises [Privatization and Commercialization] Act Cap P. 38 LFN 2004
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