FEC Makes Massive Projects Approvals

As part of the Federal Government’s efforts at expanding maritime infrastructure and relieve the facilities in Lagos of congestion, the Federal Executive Council (FEC) has approved three port development projects for Ondo, Lagos and Delta states.

These were part of the 32 memoranda treated by the FEC, presided over by President Muhammadu Buhari, yesterday at the Presidential Villa, Abuja.

Minister of State for Transportation, Prince Ademola Adegoroye, who spoke excitedly about the three memoranda approved for his ministry by Council, said the approvals were for the expansion and development of Snake Island Seaport in Lagos, Ondo Multipurpose Port in Ilaje, Ondo State and the Burutu Seaport project in Burutu, Delta State.

According to Adegoroye, the projects would be executed through concessions to private investors, at no cost to the Federal Government, over 45, 50 and 40 years.

He further said while the investors would be investing $974,185,203.66 on the Snake Island Port project, those for Ondo Multipurpose Port project would be spending $1,480,465,253 and $1,285,005,818.40 on the Burutu Port.

“Let me start with the Snake Island Port. For Snake Island Port, the total investment by the private investors will be $974,185,203.66 and we expect that the investors will get $18 billion over the period of 45 years’ concession period. The Federal Government will have $5.23 billion and the ICRC will get $94.9 million.

“For Burutu, the concession period is 40 years unlike the Snake Island, which is 45 years. The total projected and revenue to the concessionaire, Federal Government and the ICRC; the concessionaire is expected to have a revenue of $125 billion. The Federal Government is expected to get a revenue of $9 billion, for spending nothing, and the ICRC is expected to rake in a revenue of $627 million as well. The total investment (capital) by the investors is $1,285,005,818.40.

“For Ondo Port, the total investment capital of $1,480,465,253, to be fully financed by the private investors. Concession period is 50 years and the expected revenue; $59 billion will go to the private investors, $2.63 billion will go to the Federal Government and the ICRC will, expectedly, rake in $295 million,” he said.

Meanwhile, the Council also approved the concessioning of the Nnamdi Azikiwe International Airport, Abuja and the Mallam Aminu Kano International Airport in Kano.

Minister of Aviation, Hadi Sirika, who also briefed reporters after the meeting, said the Abuja airport would be concessioned for 20 years while that of Kano would be concessioned for 30 years.

The aviation minister further said the council also approved the ministry’s change of name from Federal Ministry of Aviation to Ministry of Aviation and Aerospace of Nigeria.

Sirika said Council also approved the draft National Civil Aviation policy, which he said, is geared towards the strengthening of the civil aviation.

READ ALSO:Seun Kuti: Police Now Understand How It Feels To Be Brutalized, Humiliated – Macaroni

Minister of State Power, Jerry Agba, on his part, said Council approved two memoranda for his ministry, the first one being an approval for the award of contract for the procurement of 25 33 KV circuit breakers and 120 surge arrestors for systems used for Transmission Company of Nigeria (TCN).

The contract value is about N140 million as augmentation for that project.

Council also approved the variation due to price escalation on the construction of the Dukanbo Shonga 132 KV double circuit transmission line.

“Shonga is in Kwara State and that line has been down for several years. So, with this procurement, we should be able to revamp the station and, you know, it’s an agro-based area that’s the area which services the Bacita farm.

“The Shonga Farms Limited and the whole of that area has been in darkness for a long time. With this procurement, we hope that in two months, we should have full power supply to those areas and restore farming and processing activities in that area. The cost is N1.5 billion,” he said.

On the administration’s investment and achievements with the Rural Electrification Agency (REA), the Minister described it as a priority agency, which has stamped its footprints in virtually all communities across the country.

“I want to assure you that in all the six geopolitical zones of this country, we have had two projects each in any of the states, there’s no community in any of the geopolitical zones that we don’t have rural solar light intervention. We’ve had solar panels, we’ve had mini-grids and all of that in all the zones and for me, that agency is a star agency; it is a high performing agency. I’m not talking about individuals, I’m talking about the agency itself”, he said.

Minister of Information and Culture, Alhaji Lai Mohammed, who briefed on behalf of his counterpart in Works and Housing and Police Affairs, said the contractor handling the Second Niger Bridge will be handed over on May 20.

Mohammed, who stood in for the Minister of Works and Housing, Babatunde Fashola, said the Second Niger Bridge will be commissioned soon.

“The Second Niger Bridge is ready for commissioning. The contractor will hand it over on 20th of this month, it will be commissioned soon after,” he said.

He further said Council also approved N36.2 billion for the construction of Federal Secretariats in five states.

Breaking it down, he said N7.564 billion was approved for Abia, N7.418 billion for Ebonyi; N7.707 billion for Kebbi; N6.204 billion for Kogi and N7.3 billion for Taraba states.

The minister also told reporters that the Council approved the memorandum presented by the Minister of Police Affairs and the sum of N15 billion was approved for the renovation of Police Barracks located in Ikeja, Lagos.