Nigeria: N921.4 Billion is Needed For Road Projects.
24 April, 2013
Citing
a lean purse, and the pressure of time, the Federal Ministry of Works
in Abuja, Wednesday, said they are shopping for N921.4 billion of the
N1.39 trillion they need to complete 195 ongoing road projects across
the country.
The Minister of Works, Mike
Onolememen, who briefed journalists after the weekly Federal Executive
Council (FEC) meeting, said, if government were to depend solely on its
annual budget, “it will take another eight years before the projects can
be completed.”
Mr. Onolememen, spoke alongside the Minister of Information, Labaran Maku, hinting at a plan of a loan to cover the shortfall.
“To
ensure timely completion of all the projects, a multilateral approach
was under way as well as a Public Private Partnership (PPP) scheme that
will add about 6,000 kilometers of road nationwide is being explored,”
he said.
The minister said in the past twelve years, the
federal works authorities spent N1.397 trillion on road works in the six
zones of the country. Breaking it down to details, he said: the federal
ministry works had completed 31 road projects in the north central
zones, covering 1,054 kilometers at the total sum of N262.3 billion.
The
north east has a total of 30 ongoing projects covering a total of about
1,461 kilometer at the contract sum of N332.9 billion. The northwest
has a total of 23 ongoing projects covering a total of about 1,028
kilometer at the contract sum of N255.5 billion.
The
south east has a total of 40 ongoing projects covering a total of about
978 kilometer at the contract sum of N149.6 billion. The south south
has a total of 34 ongoing projects covering a total of about 876
kilometer at the contract sum of N159.4 billion. The south west has a
total of 37 ongoing projects covering a total of about 1,230 kilometer
at the contract sum of N236.9 billion.
“Out of
this total portfolio size of ongoing project that has been put at N1.397
trillion, a total of about N523.6 billion has been certified and only
about N475.5 billion has been paid, leaving a balance of about N921.4
billion of that portfolio.
“Which means that cumulatively unto
the time that portfolio is completed we will be requiring about N921.4
billion to complete all the over 195 ongoing projects in the country”
the minister said.
For the last year alone, Mr.
Onolememen said his ministry received a total capital budgetary
provision of about N143.5 billion, and paid out N101 billion. He added
that the ministry received a marginal N85.5 billion allocation from the
Subsidy Reinvestment and Empowerment Programme, SURE-P, through which
six projects were currently being funded including the Lokoja-
Abaji-Abuja Road.
He commended President Goodluck
Jonathan, saying “in the last two years, the road sector has received
direct attention from Mr. President,”
The Minister
was complemented by his junior minister, Bashiru Yuguda, who disclosed
that the ministry no longer paid contractors on presentation of
certificate but on completion of a section of the road project.
“This is what we have done to make sure we get value for our money” Mr. Yuguda said.
The
Information Minister, Labaran Maku, described the 2012 performance
report of the ministry as “heartwarming” hinting that the presidency was
happy with it, and that “this nation can be sure that the federal
ministry of works is moving ahead to deliver major roads in the
country.”
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