Hargeysa, 28 April 2006 – A local electricity power supply company in Hargeysa has accused UNHCR and Havoyoco, a vocational training institute based at Bada-As, Hargeysa of diverting funds and resources intended for youth training projects for private enterprise and commercial trade activities.

National Fuel Stations and Electricity Supply Company, based in Hargeysa provides electric power supply to homes and businesses in Jijiga-Yar area in Koodbuur district of Hargeysa informed S/land Times that Havoyoco aided with funds and equipment from UNHCR have established under the pretence of a vocational training project for unemployed youth in Hargeysa cheap source of electricity power supply for homes and businesses in Jijiga-Yar. National Fuel company said ‘Havoyoco have erected a power grid covering all of Jijiga-Yar and have distributed leaflets to homes and business in Jijiga-Yar stating that they (Havoyoco) have embarked on providing cheap electricity to homes and businesses in Jijiga-Yar for the price $0.40 per kwh unit.

National Fuel said, Havoyoco received power generators and equipment from UNHCR and have gone into partnership with a local electricity power supply company in Jijiga-Yar and have installed the power generators donated by UNHCR at this local power supply company’s compound in Jijiga-Yar and today Havoyoco produces and provides electricity to many homes and businesses in the area. National Fuel said ‘We as a legitimate private commercial company cannot compete with a non-governmental organization funded by a UN agency because we have to extract our running costs and the procurement of capital assets from the little profit we make from our business operations.’

National Fuel said ‘ We wrote on 6th April 2006 to UNHCR (carbon copies sent Office of the Presidency, Attorney General, ministry of Planning and Havoyoco), and asked UNHCR the purpose and intention for the vocational training program initiated by Havoyoco, whether this program was initially intended for commercial enterprise or for training the youth to gain vocational skills because we see it as unfair to fund and equip a non-governmental organization to trade and take part in the private sector with funds and resources donated by your agency, UNHCR.

National Fuel said that they received a letter dated 12 April 2006 from the head of UNHCR Office in Hargeysa, Mr. Bucumi Martin and said ‘Mr. Martin in his letter approved of Havoyoco operation and said (quote) ‘As UNHCR support to the running costs of the Institute may cease any date, Havoyoco established Income Generation section to ensure autonomy/sustainability and create jobs for some of the graduates from the institute; in line of this, UNHCR provided them all necessary machines and tools to produce marketable goods. Therefore all training sections (craft making, dress making, etc.) produce and sell goods in the market regularly, except very few of them including Electrical section that has no items to produce and sell.

To enhance the electrical section in Havoyoco, UNHCR has procured and donated to Havoyoco a big generator which is not in use yet. However, in case there is a need for Havoyoco to use the generators donated by UNHCR for supply of power to some homes, for job creation for the section graduates and generate income to cover the running costs of the Havoyoco electrical training project section, it will be done upon UNHCR agreement and authorization from the relevant government authorities agreement. The electricity currently produced and provided to the population from a private generator owned by Havoyoco and located in Jijiga-Yar has nothing to do with the current UNHCR assistance to the training institute’. (End of quote).

National Fuel Jijiga-Yar branch manager, Mr. Ahmed Hussein Ahmed told S/land Times that ‘When they received this reply from UNHCR they were taken back and surprised and did not expect UNHCR to advocate for Havoyoco and approve of their commercial venture into the private sector. Mr. Ahmed said ‘Havoyoco will eventually squeeze us out of the market if something is not done, also, the likely hood in there being confrontation with Havoyoco is very possible when customers who owe us money are disconnected from our power supply due to arrears then go to Havoyoco to get their homes reconnected.’ The national Fuel manager of Jijiga-Yar said ‘ We estimate a cost of $80,000 has gone into wiring Jijiga-Yar by Havoyoco, if UNHCR claims that they have nothing to do with this project and that it being a private initiative of Havoyoco I would like to know where Havoyoco got this funding from.

Ahmed Hussein Ahmed, manager of National Fuel Jijijga-Yar branch expressed concern regarding Havoyoco operating in the private sector as power supply provider and said ‘To my knowledge, I thought NGO’s were excluded from earning profit for profit sake and who will regulate such an NGO in not pocketing profits made from such business ventures, I believe we are about to see a Pandora box with local NGO’s taking part in commercial activities instead of activities in the voluntary sector to which they were original incorperated for.’

Source: Somaliland Times

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