Home NewsNational News We’ll award contracts, borrow till May 28 midnight – FG

We’ll award contracts, borrow till May 28 midnight – FG

by Alice Babalola

The critics’ concerns regarding the continuous awarding of contracts and external borrowing by the Federal government, just days before President Muhammadu Buhari’s term concludes, have been addressed by the government.

During the inauguration of the N90 billion dualisation project for the dilapidated Akure/Ado-Ekiti highway in Akure, Ondo state, Minister of Works and Housing, Babatunde Fashola, announced that the Muhammadu Buhari administration will continue awarding contracts until midnight on May 28.

Fashola dismissed the criticism, stating that it is a frivolous discussion to question why contracts are being awarded so close to the end of the administration.

He emphasized that the administration’s term officially ends at midnight on May 28, and it would be impractical to halt ongoing projects and wait for the next government to resume them.

Regarding the road project, Fashola acknowledged that the process may appear straightforward from an outsider’s perspective, but each decision has consequences.

He assured the public that competent contractors have been chosen to work on the project and addressed the false rumors circulating about his alleged bias against Ekiti and Ondo States, clarifying that they are baseless claims.

Fashola emphasized that infrastructure development can only be achieved through borrowing or taxation. In this particular case, the project’s funding, amounting to N90 billion, will be managed by NNPCL through the federal government’s tax credit policy.

The contract was awarded to Samchase Nigeria Ltd. and Kopeck Construction Company, with a target completion time of 24 months.

The Minister also highlighted the need to amend the Procurement Act enacted by the 10th National Assembly. He expressed concerns that the current law and its associated processes hinder the country’s development and urged for adjustments to be made to expedite projects.

Fashola emphasized that the government operates within the framework of a budget approved by the people’s representatives, and borrowing becomes necessary to fund infrastructure projects and development.

Fashola called for a mature and substantive conversation in the upcoming administration, focusing on real issues rather than imaginary concerns. He emphasized that infrastructure development comes with a cost, and governments worldwide rely on borrowing and taxation to finance such projects.

Concluding the ceremony, Minister of State for Transport, Ademola Adegoroye, commended Fashola for his dedication in initiating the dualization project.

Adegoroye stressed the significance of the Akure-Ado Road for the people of Ekiti and Ondo States, enhancing commerce and connectivity between the two regions.

Governor Rotimi Akeredolu, represented by Raimi Aminu, the Commissioner for Infrastructure, Lands, and Housing, urged residents to support the contractors in completing the project promptly.

The Ekiti State governor, Biodun Oyebanji, conveyed his excitement about the project’s commencement, describing it as a historic moment for both states.

According to Vanguard, the project’s first section on the Ondo side was awarded to two construction companies for N46.6 billion.

The remaining N49.2 billion will be allocated to the second section of the project, extending from the Ekiti State border. Kopek Construction Limited was awarded the contract for this section, with a completion period of 30 months. One contractor will initiate work from the Ekiti State border, while the other will commence from the Ondo Stateside.

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