The Nation Newspaper

Tag: Works and Housing

  • FG to partner India on infrastructure development

    The Federal Government is to partner with India to boost infrastructure development in the country,  Mustpha Shehuri, the Minister of State for Power, Works and Housing has said.

    Shehuri who made this known on Tuesday in Abuja when the India’s High Commissioner to Nigeria, Mr Abhay Thakur, paid him a courtesy visit, said that the federal government has recorded remarkable achievements in road, power and housing sectors of the country since its inception in 2015.

    The minister recalled that in 2015, power generation in the country was about 3,000 mega watts but the policies of the administration had improved generation and transmission to about 7,000 megawatts.

    “We are now battling with the distribution chain, and as you know, the chain has been privatized although government still has 40 per cent of the shares.

    “Distribution is the weak link in the chain and the Federal Government is doing all it could in terms of policy to ensure that the distribution is strengthened,” he said.

    He said that the Federal Government inherited a decayed road sector with budgetary provision of about N15 billion in 2015.

    Read Also: SERAP to minister: name contractors absconding with power projects’ funds

    According to him, the first budget of President Muhammadu Buhari’s administration in 2016 allocated over N270 billion to the road sector.

    “Apart from the budgetary allocation, there are other areas that government has been exploiting to fund road projects.

    “Truly speaking, government alone through its budgetary provision cannot fund road projects.

    “The government is looking at ways to partner with the private sector to build roads and provide affordable houses to Nigerians.

    “These are areas the government of India and Nigeria will work together for the benefit of Nigerian citizens,” he said.

    Thakur said the visit was to congratulate Nigerians for the successful and peaceful conduct of the Feb. 23 Presidential and National Assembly elections.

    He said India has projects worth over 100 million dollars in Nigeria in the power sector under the Developmental Cooperation Programme.

    The high commissioner commended the Federal Government for the opportunities given to the government and people of India in the development of Nigeria’s infrastructure.

    NAN

  • Osinbajo, Ambode, Fashola, Sanwo-Olu meet in Lagos

    Vice-President, Prof. Yemi Osinbajo, Gov. Akinwunmi Ambode of Lagos State and Minister of Power, Works and Housing, Babatunde Fashola on Saturday met in Lagos.

    The gathering was made known by the Lagos State All Progressives Congress Governorship candidate, Babajide Sanwo-Olu, in a photo tweeted on his official twitter handle.

    It was also attended by Chairman of Asset Management Corporation of Nigeria, (AMCON) Muiz Banire and President Muhammadu Buhari Deputy Chief of Staff, Adeola Rahman Ipaye.

  • FG begins audit of construction sites to enforce Executive Order 5 – Fashola

    The Minister of Power, Works and Housing, Mr Babatunde Fashola, on Thursday, said the Federal Government has begun auditing of construction sites to ensure enforcement of the Executive Order 5.

    Fashola made the disclosure at the second edition of the annual BRF GABFEST organised by some youths to honour him in Lagos.

    The News Agency of Nigeria (NAN) recalls that in February 2018, President Muhammadu Buhari had approved Executive Order 5, mandating Ministries, Departments and Agencies (MDAs) to give preference to local engineering companies in the award of contracts in the country.

    The order is to grant priority to local companies on projects to the tune of 7.5 per cent, except in the absence of local engineers that could not execute the projects before international expertise could be engaged.

    According to him, a council for the enforcement of the order which seeks the prosperity of Nigerians has been set up.

    “The president has issued an executive order called Executive Order number 5.

    “”What the order seeks to achieve essentially is that anytime our economy produces opportunities, we must ensure that if Nigerians are able to do that job, we give them preference.

    “And it does not matter whether the loan is coming from China or India or from Kaura Namoda .

    ” The truth is that loan is a contract to borrow money which we will pay back;it is not a contract to sign away our sovereignty,’’ he said.

    He said the council for the enforcement of the Executive Order 5 had him, (Fashola) as a member and Ogbonaya Onu, the Minister for Science and Technology as the Chairman.

    “Some of the quick things we decided to do first is that, in my own department, we are going to audit all our construction sites.

    “On all our construction sites, we started audit and we want to find out how many ECOWAS citizens are working here.

    “If you are an ECOWAS citizen, you do not need a visa but you need a work permit.

    “We heard that Ghana supposedly deported some of our people, it is a right that every country has, if you violate their immigration laws.

    “It is a right we have never exercised and we are going to exercise it now,’’ he said.

    The minister urged foreigners with legitimate papers who want to work in Nigeria to follow the regulation in line with global practices.

    He explained that his ministry had also begun enforcement and sanctions on erring contractors who defy the Executive Order 5.

    “These are the policies about jobs and employment that are in place by the President Buhari led government,’’ he said.

    Fashola also emphasised the importance of maintenance in infrastructure and projects.

    “Maintenance is a critical income generation and major employer of labour.

    “Over 70 per cent goes into maintenance and operation in the building industry while designs employ about six per cent of capacity, with construction and governance accounting for only 15 and two per cent respectively.”

    Fashola said a facility management system had been proposed to the Federal Executive Council (FEC) to ensure maintenance of the nation’s assets.

    He said that it included assessment of prisons, federal hospitals, courts, secondary schools and other public buildings.

    According to him, the maintenance framework will create mass employment opportunities in roads, rail, housings and other sectors

    “We once thought that maintenance was a culture but it is not a culture but an economy,’’ he said. (NAN)

  • SERAP: ministry held no records of failed power project contractors

    THE Ministry of Power, Works and Housing has allegedly said it does not have records of names of contractors and companies that collected money for electricity projects and failed to executive them.

    The ministry, according to Socio Economic Rights and Accountability Projects (SERAP), stated this in its response to a suit seeking “an order for leave to apply for judicial review and an order of mandamus directing and/or compelling the minister, Mr. Babatunde Fashola (SAN), “to provide specific details on the names and whereabouts of the contractors, who collected public funds meant for electricity projects, but disappeared with the money without executing any projects.”

    However, in its letter dated January 27, 2019, the ministry said: “We have searched the ministry’s record and the information you applied for is not held by the Federal Ministry of Power, Works and Housing (Power Sector).”

    The letter signed by Director (Legal Services), Mrs. A.A. Shoetan, on behalf of the minister, read in part: “I am directed to acknowledge the receipt of your letter dated January 4, 2019, in which you applied for request to disclose details of alleged corrupt contractors and companies that collected money for electricity projects but failed to execute any projects. The request has been handled under the FOI Act.”

    Responding to the development, SERAP, in a letter dated February 8, 2019 and signed by its Deputy Director, Kolawole Oluwadare, said public expectation was that government information, when in the hands of any public institutions and agencies, would be available to the public, as prescribed by the FOI Act.

    “The FOI Act should always be used as an authority for disclosing information rather than withholding it.”

    “Indiscriminate attempts to limit disclosure of information of public interest such as the details of the names of alleged corrupt contractors and companies that SERAP is seeking, will undermine the government’s expressed commitment to transparency and accountability.

    “We believe that the predisposition by all public institutions and agencies, including the Ministry of Power, Works and Housing, should be to grant access to public information and not to implicitly deny it. Indeed, disclosure, not secrecy, is the dominant objective of the FOI Act.

    “This objective would be defeated if there is public perception that public institutions and agencies attempt to shield information of public interest from disclosure or abdicate statutory responsibilities”.

    SERAP reminded the minister of the suit it had filed in “court for remedial action and seeking an order to compel you and your ministry to release the information requested”.

    “We urge you to take proactive steps to obtain the information from any other public institution or agency that may be holding the requested information, and to send to us the information without further delay.

    It advised the minister not to wait until the court makes it decision to compel you to disclose the requested information.

  • 2019 budget: Special FEC session to hold Friday 

    Another Federal Executive Council (FEC) meeting was on Wednesday fixed for Friday to deliberate on the 2019 Budget proposal.

    This was disclosed by the Special Adviser on Media and publicity, Femi Adesina at the end of FEC meeting chaired by Vice President Yemi Osinbajo at the Presidential Villa, Abuja.

    Read Also:NASS joint committee meets again over INEC 2019 budget

    He was with the Minister of Power, Works and Housing, Babatunde Fashola, Minister of Transportation, Rotimi Amaechi and the Minister of Sports, Solomon Dalung.

    According to him, the meeting was necessary to quickly look at the proposal before forwarding it to the National Assembly for consideration.

     

    Details Later…

     

  • FEC sets up panel to investigate tremor in Abuja 

    The Federal Executive Council meeting chaired by President Muhammadu Buhari on Wednesday set up a ministerial committee to investigate the tremor witnessed in some parts of Abuja last week.

    The Minister of FCT, Mohammed Bello briefed State House correspondents at the end of the meeting.

    Read Also:Residents panic as fresh tremor rocks Abuja

    According to him, the committee has four ministries including Science and Technology, Power, Works and Housing, Mines and Steel, and FCT.

    Stressing that there is no cause for alarm in the FCT, he said the Council is awaiting comprehensive report from the committee on the issue.

    He said that the order stopping blasting and other related works in the city stands until a decision is taken after the committee’s report.

    Details Later…

  • Stakeholders again oppose signing ACFTA

    …It’s time to act now – Osinbajo

     

    Some business stakeholders on Monday insisted that it was still too early for Nigeria to sign the Africa Continental Free Trade Agreement (ACFTA).

    They bared their minds during the 8th Presidential Quarterly Business Forum held at the old Banquet Hall of the State House, Abuja.

    President Muhammadu Buhari had last week disclosed that he will soon sign the agreement on behalf of Nigeria.

    While accepting that the agreement will be good for Nigeria in the long run, the stakeholders maintained that many things still need to be put in place in the country before Nigeria can sign the agreement.

    Read Also:Nigeria to sign ACFTA agreement in Rwanda

    Among the infrastructures they want in place, include good interstate roads, power, access to ports, efficient rail transportation in the country.

    If care is not taken, they warned that Nigeria will eventually become a dumping ground.

    Speaking at the interactive session, the Chairman of NEPAD Business Group and former President of the Lagos Chamber of Commerce and Industry, Chief Mrs. Nike Akande said Nigeria is not ready for the agreement until Nigeria’s goods and services are competitive enough.

    She pointed out that the government cannot do it alone, otherwise the country will become a dumping ground.

    According to her, good infrastructure is key to promoting trade and investment.

    Also speaking, the Vice President of the North-West Zone of the Manufacturers Association of Nigeria (MAN), Engineer Ibrahim Usman, said “We are not against signing the agreement, but if we don’t get this right, we will be in trouble.

    “We agree that the agreement is for services and not goods. If things are still work in progress, why the hurry?” he queried

    He also urged the government to urgently conduct three studies including export market survey, study on national economic industrial product survey and study of liberalization on manufacturing in the country as a whole.

    The Director-General of the National Office of Trade Negotiations, Chiedu Osakwe also noted that there are longstanding issues in the Nigerian economy that must be addressed first.

    Vice President, Yemi Osinbajo, pointed out that this is the time for Nigeria to act on the agreement.

    According to him, Nigeria cannot afford to take the back seat on the issue.

    Stressing that some of the fears expressed are not out of place, he said “While the engine is running, we are not going to wait. I think this is the time to go ahead and do something about it.”

    The Vice President said that the current administration has invested massively on infrastructures in the country.

    The Minister of Trade and Investment, Okechukwu Enelamah, said that the agreement is a ticket to play.

    He also disclosed that there would be more engagements on the agreement with the Manufacturers Association of Nigeria (MAN) and other stakeholders.

    The Minister of Power, Works and Housing, Babatunde Fashola, who noted that the government started at the point of recession, said that the government is focused and has momentum.

    The government, he said, is supporting business in Nigeria to do what it does best.

    Whether the agreement is signed or not, he pointed out that Nigeria is already doing international trade with so much goods and services already leaving the shores of Nigeria on a daily basis.

    Stressing that if other smaller countries with less infrastructures and resources are ready and have signed the agreement, he raised a poser if Nigeria wants to play in the Olympics or Paralympics.

    According to him, the present administration is making headway in critical infrastructural developments in the country.

    Stressing that power in the country has been improved, he said that the conversation has changed from lack of power to how to distribute the excess generation.

    According to him, only 14 private sectors in Nigeria have indicated interest to take advantage of getting their power directly from the Gencos.

    On road projects, he said “There is no state in Nigeria where the government is not building at least one major road or the other.”

    The roads, he said are leading to international borders around the country.

     

  • End estimated billing now, Fashola tells DISCOs

    …as Minister commissions transformers in Kaduna, Zaria

     

     

    The Minister of Power, Works and Housing, Mr. Babatunde Raji Fashola on Monday told Power Distribution Companies (DISCOs) to work towards ending the estimated billing system, which he said is subjective and prone to abuse.

    To this end, the Minister urged the electricity distribution companies to access the Federal Government N37 billion fund under the Meter Asset Provider (MAP) to achieve an end to the estimated billing regime.

    Fashola made the call at the 28th edition of the Monthly Power Sector Operators meeting hosted by the Kaduna Electricity Distribution Company (KAEDCO) in Kaduna.

    According to him, the Executive arm of Government, had responded by taking advantage of the Meter Asset Provider (MAP) Regulations to deploy a fund of N37bn towards supplying meters through private sector.

    “Let me be clear that every DISCO is affected, and every DISCO needs to respond by providing meters quickly and seeking to end estimated billing, which is subjective, discretionary, and prone to abuse.

    “I therefore urge all DISCOs who have not taken benefit of this opportunity to quickly do so, or make their own funding arrangements to contract their own meter providers to supply and install meters.

    “On the Legislative side of Government, there is a clear intention to intervene by Legislation. The Executive and Legislative response show that Government is committed to addressing this issue of meters,” he said.

    Fashola said, meter supply had become the big issue of the moment that consumers want the stakeholders to resolve, adding that, “as a government, we hear them loudly and clearly, and as service providers, we hope that you can hear them too.

    “As power supply continues to increase in Generation, Transmission and Distribution, the demand for meters will increase because more power supply and consumption will likely result in increased bills.

    “Estimated billings in this circumstance will become a major cause of distrust and conflict between consumers and DISCOs and meters are the easiest way to build the bridge of trust,” he said.

    Read Also:Fashola: Estimated billings fueling conflict consumer, DisCos conflict

    He also urged the Operators, GENCOs, Transmission Company and DISCOs, who are the points of public interface on the need to pay more attention to service delivery, repairs, and maintenance of equipment.

    “My focus in this meeting will not be different. We are beginning a different weather season that will see more rainfall, thunderstorms, lightening and windstorms. All of these will affect regular supply one way or another. Trees will fall and disrupt lines, poles and lines may be damaged, and service will be disrupted.

    “In all these situations, we must prepare our staff to anticipate, plan, and respond. Most importantly, we must inform the public about the problems and what we are doing to restore service whenever there are disruptions.

    “As a consumer myself, nothing gives me more comfort than when my service provider shares information about service disruptions. It tells me quickly that at least somebody knows that there is a problem, and gives me hope that something is being done about it,” said the Minister.

    The Minister who had earlier commissioned three power substations with 60MVA Transformer that added to the Zaria 132 KV substation to increase the transformer capacity from 140 MVA to 200 MVA however expressed the Federal Government’s commitment for better service delivery by improving infrastructure.

    He said the transformers will improve service to customers of Kaduna DISCO in places like Zaria City, Sabon Gari, Samaru, Giwa, Yakawada, Tudun Wada and Markafi among others.

    The Minister also inaugurated the Power House 132/33KV Transmission Sub-station in Kakuri, Kaduna city, where the 2 X 60 MVA Transformers that had been upgraded from 190 MVA to 240 MVA as well as commissioned the 150MVA, 330/132KV transformer at the Mando Station.

    He said the upgraded sub-stations would improve service of Kaduna DISCO to customers in places like Kaduna Township, Rigasa, Kakuri, Rigachukwu, Chikun, Sabon Tasha, among other communities.

    He said upgrade projects were going on in more than 280 injection stations and sub-stations as being carried by the TCN and the Niger Delta Power Holding Company (NDPHC) across the country.

  • FEC okays $995 million, N15.45 billion for roads projects 

    …Approves 21 million Euros for tug boats

     

    The Federal Executive Council (FEC) meeting chaired by President Muhammadu Buhari on Wednesday approved $995 million and N15.45 billion for two roads projects in the country.

    Briefing State House correspondents at the end of the meeting, the Minister of Power, Works and Housing, Babatunde Fashola said that N15.45 billion was approved for 58.9 kilometer Magami – Kwajani – Ningi road connecting Bauchi and Kano states.

    He also said that $995 million was approved by FEC for the phase 2 of Abuja – Keffi – Akwanga – Lafia – Makurdi road

    Read Also:FEC approves N61bn for road projects, others

    The Minister of Transportation, Rotimi Amaechi disclosed that 21 million Euros was approved for the purchase of two tug boats for towage purposes in the Nigerian waters.

    He said that approval was also given for dredging of water in Barrow, where vessels are meant to turn, at the cost of N703 million.

    Water Resources Minister, Suleiman Adamu disclosed that the Council approved N719 million for constituency project on the Lower Benue River Basin Development.

    According to him, it involves construction of 80 meter five span bridge in Karo, Nasarawa State, with completion period of two years.

    He said that FEC also approved another constituency project, which is the construction of half dam and irrigation scheme in Kwarangwa in Bauchi State at a cost of N1.36 billion.

    Details Later…

     

  • New NERC chairman vows to review tariff

    …FG to evacuate stranded 2000mw this year

     

    The tariff issue that has held the Nigeria Electricity Supply Industry (NESI) down since 2015 would soon be resolved as the Nigeria Electricity Regulatory Commission (NERC) chairman, Prof. James Momoh Thursday vowed to review it.

    Speaking with reporters after the Minister of Power, Works and Housing, Babatunde Fashola inaugurated him in Abuja, he said the commission has no choice other than looking into the computation of the tariff.

    As the reporters put it to him that the tariff has remained a major issue in the electricity market asking what would he do about it, he swiftly said that “the tariff is not a challenge you cannot solve. It happened; you learnt something about it last week. You don’t have to relearn the same lesson today.

    “You should be able to ask question what are we going to do tomorrow to avoid the problem. There is what you call Data Science in the new thinking of the world, where we collect data, you learn from the information and you predict the future. So if we don’t do that we are wasting our time. Because you know it is going to rain tomorrow so you get your umbrella. You don’t wait until it rains before you go by umbrella.

    Asked whether his response suggests if there is going to be some progress in the clearance of the tariff issue that has lingered over the years, the new NERC boss said that “We have no choice we have to look at what computes a tariff. Tariff is not a guesswork. There is a calculation you do to get there.”

    Momoh promised to bring the experience that he has garnered over the years to bear in the commission, stressing that he believes in team work and addressing quick wins.

    He pointed out that some of the quick wins should be what the commission could do in terms of estimated metering and how to ensure that it gets enough data to convince customers to pay for the power they use.

    He also pledged to bring the best practices to the industry in the bid to ensure that NESI is a quality and reliable power supplier.

    There is also the need to ensure that there is innovation in the industry, he said, stressing that “if we remain the same, and we remain static, and we are not solving real problem, we will just be doing fire brigade promise. The GenCos will always tell you there is a blackout without knowing why.

    “You are going to ask question why. I know why, because I know the Mathematics behind it, I know the Physics behind it. I know also the Economics behind it. If we are able to teach people to know why things go wrong, perhaps, we learn from our mistakes.”

    Momoh, who said the industry should anticipate problems, insisted that “we look back, we use lessons of yesterday to solve tomorrow’s problem.”

    Earlier Fashola said that observers would admit that power supply has increased since 2015, submitting that “without a doubt, we have increased generation to 7000mw, increasing the transmission to over 7,000mw, and increasing the distribution from 2,690 to average of 4,900 or 5,000.”

    He announced that the electricity market has a capacity of 2,000mw that has been stranded, which the ministry is working to distribute before this year is over.

    According to him, the NESI has a new stock of 459MW underway from Azura that has notified him on the completion of its plant and its readiness to commence operation.

    Momoh said that the sector is expecting another 240Mw from Afam and another 215MW from Kaduna. Besides, he noted that the market is also expecting power from Kashimbilla, “but the distribution end is where our challenge lies.”

    The minister revealed that the mini grid regulation has started yielding results, and the ministry is already seeing the impacts in the market.

    He said that this year, markets like Suru in Lagos, Sabon Gari market in in Kano, Ariria market in Aba, and some other markets are going to be energized.

    Fashola noted that since the completion of the privatization of the sector, the size of the ministry has shrunk from the previous staff strength of the 50,000 to less than 1,000.