The Minister of Works, David Umahi, has said that if Nigeria should close its widening infrastructure gap, projects cannot be funded by the government alone, but with a combination of bonds and loans.
A statement in Abuja yesterday by the minister’s spokesman, Uchenna Orji, noted that Umahi was speaking during an investigative hearing of the Senate Committee on Works on contractors’ slow pace of work on some road projects.
Umahi stated that President Bola Tinubu remains one of the few leaders who have taken the decision to give priority to inherited projects.
While lauding the lawmakers for closely watching the contractors to ensure value for money as well as speedy delivery of all the ongoing road projects, the minister highlighted current impediments, but assured that the President was tackling the situation.
He said: “It’s very rare for a president to come on board and he decided to ignore new projects and decided to take on all the inherited projects and do them at the same time. It’s very rare.
“And we have a country where we want to make an omelette, but we don’t want to strike an egg. Road projects cannot and will never be executed to the satisfaction of the public by using budgetary allocations.
“There must be different kinds of funding. These different kinds of funding must have to come from either bond or loan to do the job. But the public is saying, no, the president is taking a loan.
“But the president is taking a loan to invest in infrastructure development. And that’s what every developed country follows.”
Speaking on the efforts made by the ministry on the Odukpani-Aba-Odukpani-Ikot Ekpene road, he disclosed that the thickness of the asphalt pavement has been increased to ensure longevity.
Chairman of the Senate Committee on Works, Senator Barinada Mpigi, in his remarks, stated that the Senate was prepared to fully back actions that hold contractors accountable and put an end to practices that delay project delivery timelines.
He warned that it was no longer business as usual for contractors to collect tax payers’ money and delay in completing the projects.
“His (Umahi’s) actions in revoking underperforming agreements and ensuring that public funds are redirected to more capable contractors reflect a deep commitment to the Renewed Hope Agenda of this administration.
“This agenda prioritises infrastructure as the backbone of economic revitalisation, and we in the senate will support every step taken to ensure its success,” he noted.
He also decried the hardship contractors’ behaviour has caused road users, stressing that the deplorable condition had resulted in devastating consequences with precious lives lost on the highways.
Mpigi added: “Contractors, including RCC, have received substantial funds, including the N15 billion that was injected into this project, yet delivery remains elusive.
“The other stretch of the East-West Road has contractors like RCC, Setraco, and Gitto who have been paid billions, yet the pace of work is far from acceptable,” the senator added.
Meanwhile, the Senate Committee on Works has given Julius Berger Plc an ultimatum to appear before it.
In a motion moved and adopted during the investigative hearing, the Senate resolved that it would have no option than to issue a warrant of arrest on Julius Berger Plc should it fail to appear before it as scheduled.
Moving the motion, a member of the Committee, Senator Asuquo Ekpenyong said: “Messrs. Julius Berger Nigeria Limited is not here. Now, my understanding is that Messrs. Julius Berger Nigeria Plc bid, was selected, and awarded this job.
“Funds from taxpayers across this country were disbursed to them. Our understanding is that they showed up on site for a brief period and have since abandoned the site.
“It is our collective resolve as a committee that under the new minister’s rule, Julius Berger should be produced to this committee in 24 hours, failure of which will lead to our invoking our constitutional powers and issuing a warrant of arrest on messrs. Julius Berger Nigeria Plc.”
[Thisday]