Nigeria’s contribution to the 2020 Budget of the West African Power Pool (WAPP) was approved yesterday by the Federal Executive Council (FEC).
Also approved were the reconstruction of the Apapa-Oworonsoki-Ojota Expressway (N22.28 billion); the Kano-Wudil-Maiduguri section of the Kano-Maiduguri Expressway (N8 billion) and the installation of security gadgets for seven railway sections (N1.21 billion).
The project on the e-Government procurement system was also approved for N1.6 billion, Council members told reporters at the State House.
The news conference was addressed by Lai Mohammed (Information, Culture & Tourism); Rotimi Amaechi (Transportation); Dr. Isa Ali Pantami (Communications & Digital Economy); Mamman Saleh (Power) and Bureau of Public Procurement (BPP) Director-General Mamman Ahmadu.
Speaking on the WAPP budget, Saleh said the specialised pool covers 14 of the 15-member Economic Community of West African States (ECOWAS).
The minister listed them as Benin, Côte d’Ivoire, Burkina Faso, Ghana, Gambia, Guinea, Guinea Bissau, Liberia, Mali, Niger, Nigeria, Senegal and Sierra Leone.
The WAPP was created by a decision at the 22nd Summit of the ECOWAS Authority of Heads of State and Government last year.
At the 29th Summit in Niamey, in 2006, ECOWAS Authority of Heads of State and Government adopted the Articles of Agreement for WAPP organisation and functions.
According to Saleh, participation in the regional market will generate immediate foreign exchange for Nigeria as oil revenue is dwindling.
“The pool is about having synergy within the West African region. The decision has been taken by ECOWAS, it’s for the generation of electricity of the region so as to have more constant and steady power supply.
“It’s like the national grid in Nigeria, so we are going to have regional grid. It means in case there is a failure in one country, another can supplement. The $2 million is a contribution.”
Mohammed, who briefed on behalf of Works and Housing Minister Batunde Fashola, said the FEC approved two road projects located in Lagos State and an inter-state, stretching from Kano to Maiduguri.
“I want to report that he presented a memo which was approved in council today for the award of a contract for the reconstruction of the Apapa-Oworonsoki-Ojota Phase Section II, which is bit land Interchange, 8.1 kilometer stretch. You will recall that in 2018, the Federal Government approved an award of contract to Dangote Industry for the sum of N72 billion.
“By the time the award was made, there was this Section of the road that was in fairly good condition. But with the construction of the Oworonsoki project coming to an end, it now makes better sense to include that section which was fairly good.
“This contract was awarded today for the sum of N22, 247,332,000. But you must know that this is one of the projects being awarded under Infrastructural Tax Credit Scheme. In other words, it is awarded to Dangote and Dangote will construct it and over the years, it will be deducted from the tax payable by the group. It is one of various means of PPP that this administration has embraced.
“It is not only restricted to Oworonsoki-Apapa road, it is the same system that is being used in Obajana-Kaba road. Nigeria Liquefied Natural Gas (NLNG) is also using the same formula for the bridge to link Bonny and Boro in Rivers State.
“Another memo, which he presented, was for the award of contract for the dualisation of Kano-Maiduguri road. That is Section One. That is Kano-Wudil-Shuarin section. This is about 560 kilometers contract between Kano and Maiduguri.
“The section awarded today is actually more of approval for an estimated total cost. They found out that at the time of the award of the contract, certain conditions have to be known. He sought for a revision and an increment in the sum of N8 billion which will bring the total cost of the contract to N63 billion. It was approved by council today.”
Amaechi said the FEC granted approval for a contract the installation of security gadgets for seven railway stations at the cost of N1.21 billion.
He said: “We presented a memo for the supply, deployment, installation, testing and commissioning of security equipment for seven railway stationsa, mainly Idu, Rigasa, Jere, Kubwa, Kaduna and Kano in favour of Messrs Avonics Services Nigeria Limited, in the sum of N1, 208,335,464.60, inclusive of 7.5% tax with a completion period of 12 months.”
The BPP Director-General spoke on the N1.6 billion contract for initiating e-government procurement system in the country.
According to him, the reason for opting for the system is to eliminate the rigours, corruption and time consumption disadvantages associated with the manual procurement process.
He said: “Today (yesterday), BPP presented a memo on e-government procurement. The e-government procurement has the potential of improving procurement process, eliminate corruption and reduce the leak time in the procurement process itself.
“There have been a lot of complaints about the long time it takes to go through the due process. With the establishment of this, we will reduce that time.
“It will reduce corruption to the barest minimum because it will reduce the human interface within the process. The overall cost is about N1.6 billion.”
Dr. Pantami said the national policy on virtual engagements in federal public institutions was approved by the FEC.