The Nation Newspaper

Tag: Umahi

Onu emerges PDP candidate to contest Umahi’s seat

An Abuja-based lawyer, Mr. Silas Onu, has emerged as the candidate of the Peoples Democratic Party (PDP) for next month’s by-election for Ebonyi South Senatorial Zone.

The Chairman of the Electoral Committee, Lekan Rotimi, said Onu garnered 143 votes out of the 144 votes cast, while one vote was declared invalid.

The other candidate, Senator Ama Nnachi, scored zero votes.

Mr. Ama Nnachi represented the zone from 2019 to 2023.

He was the candidate of the party for the 2023 general election, but lost to former Governor David Umahi.

The primary election was held at the party’s Afikpo Local Government Secretariat yesterday.

It was monitored by the Independent National Electoral Commission (INEC) officials.

The seat became vacant following the appointment of Senator Umahi as a minister by President Bola Ahmed Tinubu.

Read Also: APC pegs Edo guber nomination fee at N50m, holds primary Feb. 17

Onu hailed the electoral committee for an unbiased officiating of the election.

He thanked the delegates for electing him to fly the party’s flag.

The candidate called on party members to support him to win the election, hoping that he would emerge victorious.

Onu will contest for the seat with All Progressives Congress (APC) candidate, Anthony Ani, who emerged at the weekend from the party’s primaries.

The other major opposition party, Labour Party, however, produced two parallel candidates from two parallel primaries on Sunday.

They are Linus Okorie, a former House of Representatives member and Mr. Nwabueze Nwachukwu.

The election comes up on February 3.

January 8, 2024
Nwifuru, Umahi, Anyim, Onu, DSS spokesperson get awards at Ebonyi carnival

Ebonyi State Governor Francis Nwifuru, Minister of Works David Umahi and former Senate President Anyim Pius were among the 17 dignitaries, sons and daughters of Ohaozara/Onicha/Ivo Federal Constituency, who were honoured for their services to the state and country.

Others include former Minister of Science and Technology, Dr. Ogbonnaya Onu, spokesperson for Department of State Security (DSS), Dr. Peter Afunanya, Peoples Democratic Party (PDP) governorship candidate, Ifeanyi Odii.

They were honoured yesterday during the maiden Ohanivo Cultural Carnival of the federal constituency, held at Egunkwor Central School.

The event was sponsored by the member representing the constituency, Dr. Nkemkanma Kama.

While Nwifuru received Youths Oriented Leadership Award, Umahi was given Iconic Leadership Award.

Anyim got Leadership Excellence Award, while Onu went home with Selfless Leadership Award.

Afunanya, who hails from the constituency, received an award for outstanding performance.

Read Also; Nollywood veteran Olofa Ina dies

Peoples Democratic Party (PDP) governorship candidate in the state in 2023 general election, Chukwuma Odii, received Outstanding Humanitarian Award.

A popular business mogul in the state, Dr. Gideon Osi, was given Illustrious Service Award.

A business woman and philanthropist, Rosemary Nwakego Emmanuel, was given Industrious Woman of the Year Award.

Addressing the constituents, Kama, who described culture as lifeblood of any society, said the aim of staging the event was to promote peace and unity in the community.

“Culture is said to be the lifeblood of any thriving society, and it’s best expressed in the way we tell our stories, celebrate and entertain ourselves. It helps us remember the past and cast imagination on the future. Our cultural expression helps define who we are, and helps the world see us through our own eyes.

“One of my primary focuses as your representative is to promote peace and unity among ourselves. Ohanivo Cultural Carnival, designed to showcase our rich and diverse cultural heritage, is one of the means of promoting unity and peaceful coexistence at Ohaozara/Onicha/lvo Federal Constituency and Ebonyi State.

“Undoubtedly, no meaningful and measurable growth and progress can be achieved in the midst of crisis, chaos, bickering and disunity.

“As a people, we’ve come a long way. From 1976 through 1996, we existed as one indivisible Ohaozara Local Government (now referred to as Old Ohaozara).The 1996 political expansion that split us into Ohaozara, Onicha and lvo local governments couldn’t divide us as it brought us into the same Ohaozara/Onicha/lvo Federal Constituency and we’ve continued to coexist peacefully.

“Therefore, there’s now the need to make a unique definition of who we are through our culture, our way of life and tell our stories in our own unique way. This is what this carnival stands for and promotes.

“This carnival is expected to serve as a unifying symbol for our people, a reminder that we’re one indivisible people,” he said.

January 5, 2024
Umahi: Fed Govt can’t afford N1.35tr for Abuja-Kaduna road

Minister of Works David Umahi yesterday said the Federal Government cannot afford the N1.35 trillion demanded by the contractor to fix the Abuja-Kaduna road.

He, however, said the government was committed to delivering the uncompleted section by the end of the year.

Umahi spoke in a meeting with the ministry’s directors in Abuja.

According to him, all obstacles hindering the delivery would be addressed to ensure the actualisation of the project for the benefit of Nigerians before the end of 2024.

According to the former Ebonyi State governor, the contractors have requested an upward review of the price to N1.35 trillion to finance the project.

“We have about 1.7 kilometres left of Abuja-Kaduna in two sections. The ministry has some supervision work to be done on that road and we will be advised on the real designs of the two sections.

“Funding is also an issue because it is under the presidential development fund initiative gotten from looted funds. I have had to discuss with Mr president about the importance of the road for all users

Read Also: Customs will meet N5.1tn 2024 revenue target, says CG

“But I won’t be able to go back to him until we re-scope it because the project was N165 billion before and a review brought the cost to N655 billion but today the contractor is asking for N1.35 trillion and the government cannot afford it.

“What they are asking for is very wrong. We are looking at the existing subgrade and see what we can do about it.

“We are also looking at the first 40km to be constructed by Dangote under the Tax credit scheme to do it on concrete pavement but I am very committed to completing that road this year. No matter what happens, that road will be done this year,” he said.

The News Agency of Nigeria (NAN) reports that the project was awarded in December 2018.

The reconstruction of the Abuja-Kaduna-Zaria-Kano Expressway, currently handled by Julius Berger, is funded under the Presidential Development fund initiatives and is divided into three sections.

Concerning non-performing contractors in the Highway Development Management Initiative with the private sector, Umahi said the government was poised to review all contracts that were not seriously being done.

He said the cost, scope and technicalities of the contracts would be reviewed by the end of January.

Umahi said he had asked for a five per cent equity contribution or guarantee from the contractors so that he would have the assurance of the commitment of those who are serious.

On key areas of focus of the ministry, he said if the ministry is given N892 billion to carry out its operations, no money would be left unutilised by December 2024.

“It means commitment and it will be properly utilised, it will be transparent for everybody to see…in the quality of the roads, the length and how much they cost.”

January 5, 2024
Umahi’s younger brother withdraws from Ebonyi South Senatorial race

Austin Umahi, the younger brother to the Minister of Works, Sen. David Umahi Friday withdrew from the Ebonyi South Senatorial bye election.

This followed the zoning of the position to Onicha local government area by the State Working Committee of the All Progressive Congress (APC) on the orders of Governor Francis Nwifuru.

His withdrawal followed a meeting by the Umahi family of Uburu, Ohaozara local government area where he was prevailed ipon to withdraw from the race.

The seat became vacant following the resignation of appointment Senator David Umahi upon his appointment as Minister of Works.

A statement by High Chief Nwaze Umahi the eldest son of Umahi’s family, x-rayed the contributions of Austin in building APC in Ebonyi state and noted that Austin would have had a clear winning if he should go on with his Ambition.

It however noted that the younger Umahi was prevailed upon to shelve his legitimate ambition in order to give peace a chance as no position is worth spilling the blood of anybody as no sincere person who wants to serve the people in any capacity ought to fight for it.

Read Also; Tinubu is determined to end reign of terror in Southeast – Shettima

The Statement reads in part, ” The general public is hereby intimated that on the 28th day of December, 2023 , the family of late Joseph Umahi Nwaeze of Umunaga Uburu, Ohaozara LGA, Ebonyi State held a meeting whereat we reviewed the developments and utterances with respect to the vacant Ebonyi South senatorial seat which Austin Umahi had indicated interest in contesting on the APC platform and notes as follows:

“That the Umahi family is not unaware of the resolution purportedly passed by the State Working Committee(SWC) of the Ebonyi State APC purportedly zoning the Ebonyi South senatorial seat to Onicha Local Government Area.

“That the family is not unaware that the purported Ebonyi APC SWC resolution has no place in law as it’s the exclusive preserve of the APC National Executive Committee (NEC) or the National Working Committee (NWC) to zone political offices, if need be, and to organize party primaries for all elective offices.

“That the family is fully convinced that it is the inalienable constitutional right of Austin Umahi, as a member of the APC and Nigerian citizen of Ebonyi South Senatorial District, to contest the APC primary for the rerun election to the vacant Ebonyi South Senatorial seat notwithstanding the purported Ebonyi APC SWC resolution.

“That the whole essence of the purportedly Ebonyi APC SWC resolution is to oust Austin Umahi from contesting the primary in view of the clear evidence on ground that Austin enjoys an overwhelming grassroot support capable of granting him outright victory in a free and fair APC primary and re-run elections in Ebonyi South.

“That contrary to the purported Ebonyi APC SWC resolution, the APC otherwise has a MORAL BURDEN to give Austin Umahi the right of first refusal in the Ebonyi South senatorial rerun election having earlier won the APC senatorial primary of 28th May 2022 which he relinquished on the intervention of the family to HE Engr David Umahi, the then Ebonyi state governor and current Minister of Works.

“That Austin Umahi is known to be a reliable APC member who has worked selflessly and relentlessly for victories of the party in Ebonyi State and was the Director General of Divine Mandate Campaign Council for HE Rt Hon Francis Ogbonna Nwifuru, his sole agent in the governorship primary and his State Returning Officer in the governorship election of March 2023.

” He did all these to the satisfaction and admiration of both the APC members and non-members in Ebonyi State.

“That Austin Umahi has never enjoyed any political appointment, notwithstanding that he was the same person who dropped his position as National Vice Chairman of the PDP to defect to the APC with the then Ebonyi state governor, HE David Umahi, and joined since then in building the APC in 2020.

“Not withstanding the facts above highlighted:”The family of late Joseph Umahi Nwaze has decided to passionately appeal to Austin Umahi and his teaming loyal and dogged supporters to kindly shelve his legitimate ambition of contesting for the vacant Senatorial seat for now in order to give peace a chance and disappoint all those people who want to engender crisis and anarchy in Ebonyi South Senatorial District.

“That the family immensely appreciates Austin Umahi for accepting to drop his just ambition and thank his teaming supporters for their sustained support even after the purported Ebonyi APC SWC resolution”, the statement read.

December 30, 2023
JUST IN: Umahi’s younger brother withdraws from Ebonyi South senatorial race

Austin Umahi, the younger brother to the Minister of Works, David Umahi on Friday, December 29, withdrew from the Ebonyi South senatorial bye election.

This followed the zoning of the position to Onicha local government area by the State Working Committee of the All Progressive Congress (APC) on the order of Governor Francis Nwifuru.

His withdrawal followed a meeting by the Umahi family of Uburu, Ohaozara local government area where he was prevailed upon to withdraw from the race.

The seat became vacant following the resignation of appointment Senator David Umahi upon his appointment as Minister of Works.

A statement by High Chief Nwaze Umahi, the eldest son of Umahi’s family, x-rayed the contributions of Austin in building APC in Ebonyi state and noted that Austin would have had a clear winning if he should go on with his ambition.

It however noted that the younger Umahi was prevailed upon to shelve his legitimate ambition in order to give peace a chance as no position is worth spilling the blood of anybody as no sincere person who wants to serve the people in any capacity ought to fight for it.

The statement reads in part: “The general public is hereby intimated that on the 28th day of December, 2023 , the family of late Joseph Umahi Nwaeze of Umunaga Uburu, Ohaozara LGA, Ebonyi State held a meeting whereat we reviewed the developments and utterances with respect to the vacant Ebonyi South senatorial seat which Austin Umahi had indicated interest in contesting on the APC platform and notes as follows:

“That the Umahi family is not unaware of the resolution purportedly passed by the State Working Committee(SWC) of the Ebonyi State APC purportedly zoning the Ebonyi South senatorial seat to Onicha Local Government Area.

“That the family is not unaware that the purported Ebonyi APC SWC resolution has no place in law as it’s the exclusive preserve of the APC National Executive Committee (NEC) or the National Working Committee (NWC) to zone political offices, if need be, and to organize party primaries for all elective offices.

“That the family is fully convinced that it is the inalienable constitutional right of Austin Umahi, as a member of the APC and Nigerian citizen of Ebonyi South Senatorial District, to contest the APC primary for the rerun election to the vacant Ebonyi South Senatorial seat notwithstanding the purported Ebonyi APC SWC resolution.

“That the whole essence of the purportedly Ebonyi APC SWC resolution is to oust Austin Umahi from contesting the primary in view of the clear evidence on ground that Austin enjoys an overwhelming grassroot support capable of granting him outright victory in a free and fair APC primary and re-run elections in Ebonyi South.

“That contrary to the purported Ebonyi APC SWC resolution, the APC otherwise has a MORAL BURDEN to give Austin Umahi the right of first refusal in the Ebonyi South senatorial rerun election having earlier won the APC senatorial primary of 28th May 2022 which he relinquished on the intervention of the family to HE Engr David Umahi, the then Ebonyi state governor and current Minister of Works.

“That Austin Umahi is known to be a reliable APC member who has worked selflessly and relentlessly for victories of the party in Ebonyi State and was the Director General of Divine Mandate Campaign Council for HE Rt Hon Francis Ogbonna Nwifuru, his sole agent in the governorship primary and his State Returning Officer in the governorship election of March 2023.

“He did all these to the satisfaction and admiration of both the APC members and non-members in Ebonyi State.

“That Austin Umahi has never enjoyed any political appointment, notwithstanding that he was the same person who dropped his position as National Vice Chairman of the PDP to defect to the APC with the then Ebonyi state governor, HE David Umahi, and joined since then in building the APC in 2020.

“Not withstanding the facts above highlighted:”The family of late Joseph Umahi Nwaze has decided to passionately appeal to Austin Umahi and his teaming loyal and dogged supporters to kindly shelve his legitimate ambition of contesting for the vacant Senatorial seat for now in order to give peace a chance and disappoint all those people who want to engender crisis and anarchy in Ebonyi South Senatorial District.

“That the family immensely appreciates Austin Umahi for accepting to drop his just ambition and thank his teaming supporters for their sustained support even after the purported Ebonyi APC SWC resolution”, the statement read.

December 29, 2023
Umahi’s brother joins Ebonyi South senatorial race

Ahead of the rerun for Ebonyi South senatorial election fixed for next February, Mr. Austin Umahi, the younger brother of former Governor David Umahi, has declared interest to contest for the seat.

The seat became vacant following the former governor’s appointment as Minister of Works by President Bola Ahmed Tinubu.

In a statement yesterday in Abakaliki, the state capital, Austin Umahi said a true democratic process is the only way to elect an acceptable senator for the district.

Umahi described himself as eminently qualified and suitable to give his people the best representation, having gained experiences from the business and political sectors, which position him as the best for the seat.

Read Also: Re-run: Umahi’s brother declares for Ebonyi South

The aspirant said the political arrangements and the structure favoured his bid.

He said: “I am a pencil in the hands of God, my Creator. He is not done with me. We are in a democratic dispensation. It is not in doubt whether or not I am in for Ebonyi senatorial seat.

“I want all my supporters and well-wishers to pray for the success of the primary and rerun elections. I am from Ohaozara and that is where Ebonyi State zoning committee zoned the senatorial seat. It has not changed, to the best of my knowledge.

“I am not going for it for myself but for the people because it is the time to make a positive mark and change the narrative. Ebonyi South should be given an opportunity to elect who represents them in a transparent manner, and whoever emerges democratically should go.

“I am ably qualified as well as others. I challenge other aspirants to present themselves and let our people make their choice.”

December 26, 2023
CSR: Emulate NLNG, Umahi admonishes contractors

Works Minister David Umahi has urged contractors handling projects for the Federal Government to show a high of responsibility to their host communities and elevate their social and economic wellbeing.

He said prioritising the country’s interests was crucial to its growth and development.

The minister spoke when the management of the Nigeria LNG (NLNG), led by its Managing Director/Chief Executive Officer Philip Mshelbilla, visited him in his office yesterday in Abuja.

Umahi urged one of the ministry’s contractors handling a road project in Rivers State, Julius Berger Plc, to return to the project site.

The minister praised the NLNG Limited for its dedication to funding the completion of the Bodo-Bonny Federal road in Rivers State.

He said this aligned with the agreement involving the Federal Government and Julius Berger Nigeria Plc.

Umahi expressed appreciation to NLNG for its interest in connecting the road to the East-West Road to maximise the economic potential of the area.

In a statement by his Chief Press Secretary, Uchenna Orji, the minister acknowledged NLNG’s prioritisation of Nigeria’s interests in contractual negotiations and for aligning with the principles and innovations of President Tinubu’s Renewed Hope Administration, particularly emphasising quality, innovation, cost-effectiveness, and timely completion of federal road projects.

Read Also: Kaduna bombing: Tinubu’s daughter visits victims, donates N5m to injured survivors

He said: “When I see Nigerians that are standing for the country, I feel very excited because Nigeria is our only country. We can’t mortgage the country; we can’t sell the country.

“I saw your letter with regard to requests by Julius Berger Nigeria Plc, the contractor, to increase the contract sum. And you and your board, together with your team, vehemently stood against that.

“That gave me some teeth to bite because I saw a commitment by all parties that this project will not increase beyond the augmented amount of N199,000,000,000. So, I want to commend you for that.”

Umahi urged Julius Berger Plc to adhere to the contractual agreement provisions and resume work on the site.

“I discovered by the letters of Julius Berger that they have abandoned the site. That’s against the contract they signed. Even if they needed to leave the site, the general conditions of the contract specify the procedures for notices in such a circumstance.”

NLNG’s CEO Mshelbilla said NLNG’s vision was to establish a globally competitive LNG company that would contribute to the development of a better Nigeria by delivering high-quality infrastructure, exemplified by projects, like the Bodo-Bonny road, funded by NLNG.

December 13, 2023
CSR: Emulate NLNG, Umahi admonishes contractors

The Minister of Works, Sen. David Umahi has urged contractors handling works for the government to be responsible to their host communities and the elevation of their social and economic wellbeing.

Umahi said that prioritizing the country’s interests is crucial for its growth and development.

The Minister gave the admonition on Tuesday in Abuja when the management of the Nigeria LNG (NLNG), led by its Managing Director (MD)/Chief Executive Officer (CEO), Philip Mshelbilla, paid him a courtesy visit where he urged Julius Berger Plc, one of the Ministry’s contractors handling a road project in Rivers State to uphold the terms of the contractual agreement by returning to the project site.

Umahi commended Nigeria NLNG Limited for its dedication to funding the completion of the Bodo-Bonny Federal road in Rivers State, aligning with the tripartite agreement involving the Federal Government and Julius Berger Nigeria Plc, while appreciating their interest in connecting the road to the East-West Road to maximize the economic potential of the area.

As stated by the Minister’s Chief Press Secretary, Uchenna Orji, in a statement on Tuesday, the Minister conveyed deep appreciation for NLNG, acknowledging their prioritization of Nigeria’s interests in contractual negotiations, and for aligning with the principles and innovations of President Tinubu’s Renewed Hope Administration, particularly emphasizing quality, innovation, cost-effectiveness, and timely completion of federal road projects.

The Minister was quoted as saying, “When I see Nigerians that are standing for the country, I feel very excited because Nigeria is our only country.

“We can’t mortgage the country; we can’t sell the country.

“I saw your letter with regard to requests by Julius Berger Nigeria Plc, the contractor, to increase the contract sum. And you and your board together with your team vehemently stood against that.

“That gave me some teeth to bite because I saw a commitment by all parties that this project will not increase beyond the augmented amount of 199,000,000,000.

“So, I want to commend you for that”.

The Minister however urged Julius Berger to adhere to the tripartite agreement provisions and resume work on the site, while assuring that the Federal Government would offer compassionate considerations on the 16% uncompleted job without necessarily expanding the contract envelope.

“I discovered by the letters of JB that they have abandoned the site, and that’s against the contract they signed, even if they needed to leave the site, the general conditions of the contract specify the procedures for notices in such a circumstance

“Well, we have discussed with them and I said, we are going to look at the remaining 16% on a compassionate ground and see whether there is any merit, and we can see if there is any money left in the contingency, but definitely will not expand the envelope.

“Expanding the envelope means you are going back to your Board. Expanding the envelope means my going back to Federal Inland Revenue, going back to BPP, going back to Mr. President, going back to Federal Executive Council. So it’s a long journey, and that will not allow that project to be completed as planned” the Minister added.

In his remarks, NLNG CEO, Mshelbilla, reaffirmed the company’s vision of not only establishing a globally competitive LNG company but also contributing to the development of a better Nigeria by delivering high-quality infrastructure, exemplified by projects like the Bodo-Bonny road funded by NLNG.

He guaranteed that every effort would be exerted to meet the stipulated timeline for completing the road, considering the concerns raised by the contractor overseeing the project.

He said: “With regards to coming back to the Bonny Bodo road, we see two parts to it, the main road itself. We are really looking forward to that being completed on time.

Read Also: Contractors plotting to frustrate use of concrete for roads – Umahi

“We have had commitments in the past from the contractor around its completion and we do understand that there are concerns around what is happening in the economy now”.

In acknowledging the Minister for his dedication to the road infrastructure revolution, the MD expressed optimism that the nation’s economy would rebound, given the evident determination of President Tinubu’s administration to address critical infrastructure for economic growth.

He assured the Minister of the readiness of the company to partner with the Federal Government always in her developmental efforts.

“We have indicated an interest to pursue the extension of that road from Bodo so that it connects to the East West Road. That way you then have a complete corridor of major roads connecting to East West Road, rather than ending in Bodo.

“Your commitment to projects like this across the country will indeed make a huge difference to the common man, to transportation of people, farmers who need to move their products”, he noted.

December 12, 2023
Contractors plotting to frustrate use of concrete for roads – Umahi

The federal government said in Monday, December 11, that road contractors are working to frustrate the new policy that allows the use concrete for the construction of roads in the country instead of asphalt.

The minister of works, David Umahi, revealed this when he appeared before the joint National Assembly Committee on Works, chaired by Senator Mpigi Barinada to defend his ministry’s 2024 budget estimates.

He therefore called for the cooperation of the National Assembly to eanure the full implementation of the policy from next year, saying there was no existing law that bars the government from using cement to construct roads.

He said apart from being too expensive to import asphalt with foreign currency, the use of asphalt had been counter productive because it doesn’t last on roads compared to those constructed with concrete.

Umahi insisted that while concrete roads could last up to 50 years, asphalted roads had a lifespan of about 10 to 15 years.

He also said embracing concrete roads would save the country a lot of foreign exchange because it would prevent frequent upward review of road projects.

Umahi said: “We have received a lot of attacks concerning our policy to make concrete roads construction mandatory for our contractors.

Read Also: N199b Bodo-Bonny road project: Umahi orders Julius Berger back to site

“Some people were saying that it is illegal for us to insist on concrete for road construction.

“However, Article 2 of all contracts and clause 51 of all conditions forming the contracts allow the ministry to change the scope, quality and quantity of every contract that is ongoing.

“We have right to change from asphalt to concrete without defiling the contract.

“All the contractors know this. The major reason we want to change from Asphalt to concrete is because we have many ongoing projects that needed to be reviewed.

“If the contract must be increased the President of Nigeria must know. After his approval, we would head to BPP (Bureau of Public Procurement) which would evaluate and give approval.

“It will then go to the Federal Executive Council. It is a lot of rigour and this brings out a lot of delays in projects execution. The more the projects delay, the more inflation sets in.

“That’s why we then said the use of concrete apart from the fact that it would last longer is better.

“While the rise in the prices of asphalt is on geometric progression that of the concrete is all about local contents and the rise of its price is on arithmetic progression.

“At the moment, we are being frustrated by contractors who are giving us a very high cost of N350,000 per metre square. I think it’s unreasonable. We have allowed it in a number of critical roads like Lokoja-Benin and the entire East-West roads.

“We have told the contractors handling those critical roads with asphalt that the new lanes would be built with concrete.

“The first 40 kilometres on the Abuja-Kaduna road is critical and we are doing it with concrete.

“Generally, we have moved back to concrete. Starting from 2024, roads projects apart from palliatives and emergency repairs, would be built on concrete so that we can maintain steady stability in the course of our projects.”

He added: “The basis of the 2024 projects is to look at critical ones and their funding and to keep all projects alive.

“We have bitumen deposit in Ondo State. It should be developed. From the research we made, we discovered that the importation of bitumen represents about 30 per cent of the cost.

“We are discussing with the Minister of Steel on how we can partner with him on how to get the steel content.

“He has assured us that before March next year, the production line that would produce the rods we needed would begin full operation.

“We have got those that would finance it and we had guaranteed it. That is the reinforcement. The cement is produced here. The chippings are produced here. The sand is produced here. The labour is here.

“Therefore the local content law as passed by the National Assembly is brought to the front burner.”

The Minister also told the lawmakers that without any presidential directive, some parastalas which were hitherto under the Ministry of Works had been provided for in the Budget proposal of the Ministry of Housing and Urban Development.

He listed them to include, Office of the Surveyor-General of the Federation (OSGoF); Federal School of Surveying, Oyo (FSS); Council for the Regulation of Engineering in Nigeria (COREN); and the Surveyors’ Council of Nigeria (SURCON)

He added: “It will be good that this joint Committee do get these Parastatals back to the Federal Ministry of Works.”

Umahi explained that the total sum of N657,228,251,596 was proposed for the Federal Ministry of Works and its parastatals for capital, personnel and overhead estimates in the 2024 Appropriation Bill.

He said the main ministry got allocation of N566,466,977,361; Federal Road Maintenance Agency (FERMA), got N 51, 282,456,911;

while the African Regional Institute for Geo-Spacial Information Science and Technology AFRIGIST (RECTAS) got N104,039,920 making a grand total of N617,853,474,192.

December 11, 2023
2024 Budget: Umahi seeks N1.5 trillion budget for works ministry

Senator David Umahi, the Minister of Works, is pushing for a budget increase to N1.5 trillion in 2024 to address the shortage of funds impacting road project delivery across the nation.

He said the increase is critical to the completion of at least 10 selected critical roads and bridges in each of the six geo-political zones of the country.

In the 2023 fiscal year, the Ministry of Works and Housing, including its Parastatals, received an appropriation of N534,455,695,989, out of which the Works and Housing Sectors within the Ministry were allocated a total capital of N453,255,980,966.

After the demerger of the Ministry, the Federal Ministry of Works received an allocation of N383,351,656,449 as capital, Overhead expenses amounted to N525,362,343.96, and personnel costs totaled N6,916,751,203

Umahi, while appearing before the joint National Assembly joint Committee on Works on Monday for the defense of the Ministry’s 2023 budget and the presentation of the 2024 budget, said the current Appropriation for the Ministry is significantly insufficient, while highlighting the inclusion of new projects in the 2024 Budget, amounting to a total cost of N102,956,624,538

He emphasized that without the requested increase, the Ministry might encounter challenges in completing crucial ongoing projects that have already reached significant stages of completion among the proposed 693 new projects for 2024.

He told the lawmakers that 693 new projects have been proposed in the 2024 budget, which is critical to improving road network connectivity and thus enhancing traffic circulation on the Federal Road network, necessary for boosting socio-economic activities in the country.

According to him, the Ministry has prioritized several projects for completion between 2022 and 2024 while noting that the primary goal of enabling the Ministry to fulfill its mandate of establishing a high-quality Federal Road network conducive to the socio-economic growth of the country, the Minister expressed concern about the main obstacle to highway development—insufficient funding.

He informed the lawmakers that the Ministry has prioritized various projects slated for completion between 2022 and 2024. Stressing the primary goal of enabling the Ministry to fulfill its mandate in establishing a high-quality Federal Road network conducive to the socio-economic growth of the country, the Minister expressed concern about the ongoing main challenge in highway development—insufficient funding.

He said: “In spite of all odds, 21 major road and bridge projects have been completed and some were commissioned, while others are ready for commissioning.

“The total cost of the completed major road and bridge projects is in the sum of N498,802,362,642.46 with a total length of 489. 97km.

“Also, to be completed in 2024 is the 260 emergency repair works in the 2023 Supplementary Appropriation at a total cost of about N260bn”.

“As at date, Government is committed to highway contractors to the tune of about N13.835 trillion with a total of about N1,507,873,365,516.02 unpaid certificates for executed works.

“Secondly, the dearth of younger Engineers/Technical Officers in the Ministry as a result of embargo on employment is affecting effective project supervision at the sites”.

He said the prevailing realities have made it imperative that more sources of funding for highway projects be explored.

While calling for the lifting of the embargo on employment of needed Engineers/Technical officers at the middle level to enhance supervision of projects, the Minister said, “From the foregoing, I would like to recommend as follows: The provision of an Emergency Fund of about 30% of the Budget Provision to cater for unforeseen emergencies that regularly occur on the road network, especially during the rainy seasons;

“An increase of the Ministry’s present budgetary allocation to about N1.5tr to complete at least 10 selected critical roads and bridges in each of the six geo-political zones of the country.

“An urgent review of all certified debts to contractors and if possible, convert same to Promissory Notes to contractors so that we can get properly focused on using any fund appropriated to us to pursue the Ministry’s set objectives.

“Inflation- Many contractors are presently out of sites because they have exhausted their contract VoPs and needed the project’s unit rates to be reviewed.

Read Also: N199b Bodo-Bonny road project: Umahi orders Julius Berger back to site

“It will be good that all VoPs and augmentations of all the projects are reviewed and those that are owed be converted to Promissory Notes, while the unit rates regime will take effect on contractors in line with the current realities of the construction industry.

“More eligible companies should be encouraged to key into the Road Tax Credit Scheme to increase the number of private sector interventions. This means front-loading their tax liabilities to solve our present challenges.

“Raising of Bonds from the Capital Market to finance road development in the country.

“Creation of an enabling environment by fixing the roads so that the deployment of the Highway Development and Management Initiative (HDMI) can be effective.

“And that appropriations for projects be such that no projects when started should last for more than four years”, he added.

December 11, 2023