By Harry Awurumibe, Editor, Abuja Bureau
In line with the Federal Government’s policy of provision of critical infrastructure across Nigeria, Minister of Water Resources, Engr. Suleiman Adamu has disclosed that the Federal Executive Council (FEC) meeting presided over by Vice President Professor Yemi Osinbajo on Wednesday approved two memoranda including the requesting for augmentation for existing and ongoing projects; for irrigation and o water supply in some states of the federation.
Briefing State House Correspondents after the Council rose from the meeting, Adamu said: today, I presented two memos to the Federal Executive Council, both of these memos are requesting for augmentation for existing and ongoing projects; one for irrigation and one for water supply. The first one was for expansion and completion of Bagwai Irrigation Project on Watari Dam in Bagwai Local Government Area of Kano State. We have sought for an augmentation of N3.76 billion, which was approved.
“The contract has been ongoing and at some point suspended because of lack of funding. It was awarded to Messrs Dantata and Sawoe Construction Company Limited. Mobilised in 2006 for an initial period of two years. The scope of work was a special irrigation scheme, total of 872 hectares.
“We have done an audit in line with our policy since the inception of this administration and since I came into office in 2015, whereby we are laying more emphasis on completion of ongoing and abandoned projects. Therefore, Council was gracious to approve this augmentation with sum of N3.762 billion, bringing the new contract sum from N5.4 billion to N9.2 billion, inclusive of 7.5% VAT, with an additional completion period of 24 months plus another 12 months liability period.
“The second memo was for requesting for augmentation for Biu Water Supply Project. Again, this is a project that was started in 2001, but is still yet to be completed. It ran into a lot of problems, mainly associated with funding and the Boko Haram insurgency. So, we sought for an augmentation. There were two contracts; lots one and two, which have now been merged into one contract in favour of Nalado Nigeria Limited, who are the contractors for one of the lots, I think lot two, but because the contractor for lot one has decided to opt out of the contract, we sought approval of the Bureau of Public Procurement and the other company that was doing the lot; Nalado Nigeria Limited, agreed to take over the lot which was being executed by Mothercat.
“So, the total augmentation, like I said, is N5.063 billion, bringing the contracts sum now to N9.36 billion from N4.29 billion, inclusive 7.5% VAT, with a new completion period of 24 months. We hope that these projects will be implemented in earnest and hopefully, we’ll be able to get them completed by 2023 for the overall benefit of the people.
“It always makes more sense to complete these projects rather than embark on new ones because a lot of investment has already been made and if we just leave them, it means all the investment has been lost, if we’re not able to complete them to a logical conclusion to ensure that the people they are meant for directly benefit from them, then it would have been in lost investment. That’s why we’re laying a lot of emphasis on completion of ongoing and abandoned projects. We have made a lot of progress in that regard since 2015 or 2016.”
