The federal government is intensifying efforts to explore private-sector funding options for the deteriorating road network in the country, involving state governors and private-sector leaders in the initiative.
The Minister of Works, David Umahi, on Wednesday, January 24, in Abuja, held a meeting with Taraba state’s governor, Agbu Kefas, Aliko Dangote, the founder of the Dangote Group Conglomerate, and Tony Elumelu, the founder of Heirs Holdings.
The purpose was to enhance relationships and explore alternative funding methods for the construction, reconstruction, and rehabilitation of numerous federal roads across the country through Public Private Partnership (PPP).
This was contained in a statement by the minister’s special adviser on media, Uchenna Orji.
It reads: “In keeping with the road infrastructure initiatives of the Renewed Hope administration of the President of the Federal Republic of Nigeria, His Excellency President Asiwaju Bola Ahmed Tinubu GCFR, the Hon. Minister of Works, His Excellency, Sen. Engr. Nweze David Umahi CON has been engaging with concessionaires and other private sector organizations on the need for private sector investment in our road infrastructure as done in advanced economies of the world.
“This informed the closed-door meeting the Hon. Minister of Works had with the Governor of Taraba State, His Excellency, Dr. Agbu Kefas, the founder and CEO of Dangote Group Conglomerate, Alhaji Aliko Dangote GCON, the founder and chairman of Heirs Holdings, Chief Tony Elumelu this 24 day of January 2024 at the Federal Ministry of Works.
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“It would be recalled that the Hon. Minister of Works in his zeal to change the ugly narrative of road infrastructure in Nigeria had set up three committees to work on the contracts executed by some concessionaires with the Federal Ministry of Works to review the scope and cost implications of the projects they undertook to execute under the Highway Development and Management Initiative (HDMI).
“This private sector initiative will fast-track road infrastructure revolution and bring order, accountability, and profitable entrepreneurship to the operations, management, and maintenance of Federal Highways.
“The Governor of Taraba who retired as a military professional was a one-time chairman of the governing Board of Directors Nigerian Maritime Administration and Safety Agency (NIMASA) before he became Governor.
It further stated: “The founder and CEO of Dangote Group is one of Africa’s foremost captains of industry who has made ambitious investments in the development of infrastructure in Nigeria, just like his counterpart and Chairman of Heirs Holdings who is also one of Africa’s leading investors who have shown manifest commitment in the transformation of Nigeria’s infrastructure through long- term investment in strategic sectors of Nigeria’s economy, including financial services, and infrastructure development.
“It is hoped that investors, local and international would take advantage of the willpower of President Asiwaju Bola Ahmed Tinubu’s Renewed Hope administration and the private sector experience and professional capacities of the Hon. Minister of Works to invest in the over 35,000 Km of the national road network being managed by the Federal Government of Nigeria as this network carries more than 70% of the vehicular traffic making it a critical infrastructure for the movement of goods and services across the nation.
“This initiative will trigger economic development, job creation, local content development, and wealth creation for the Nigerian population. Mr President means business with his efforts to prosper our country and make it the pride of the African continent. Your support is critical.”