Senate Hails Centenary City Project, States Economic Benefits

ABUJA – By Olusegun Lawrence               The Centenary City Project has immense economic, social and political benefits as Nigeria’s economy would have a quantum leap upon its completion.

This was the conclusion of the Senate Committee on the Federal Capital Territory (FCT) after its recently held public hearing on the project.

According to the Committee, the public hearing was in the exercise of its oversight and other functions, and especially in response to insinuations of illegality and lack of equity in the establishment of the Centenary City Project.

During the hearing, the Committee invited the Federal Capital Territory Administration (FCTA), the management of Centenary City Plc. (CCPLC) and others stakeholders.

The Committee in the report signed by its Chairman, Senator Dino Melaye and Clerk, Olufemi Folajin, noted “We are pleased to note that the opportunity of this public hearing has been an eye opener on the whole issues about the Centenary City Project.

“There had been a lot of misinformation, misunderstanding and misconception of the Project and many issues about it.

“We must acknowledge that if the economy of Nigeria must have a quantum leap, Nigerians should think and conceive projects like the Centenary City Project.

“There is no gain saying that the economic benefits are huge, the social benefits immeasurable, and the political benefits cannot be imagined.

“We make bold to say that agencies of government should endeavor to come to terms with the fact that Governments do not “supervise” private sector projects; Government only regulates them.

“To discourage a project of this nature for any reason is a great disservice to the nation.

It is worthy of note that during the hearing, the Committee received the following documents:

1. Written Brief by the FCTA
2. A comprehensive update on the Centenary City Project by CCPLC
3. Process of Declaration of Free Zone Status on Centenary City site
4. Development Agreement between FCTA and CCPLC
5. Right of Occupancy and Certificate of Occupancy of the Centenary City land
6. Free Zone Declaration License for Centenary Economic City and the Centenary Economic City Free Guidelines and Regulations, 2015
7. Letter from the FCTA requesting funds to settle Compensation Claims on Centenary City site and Proof of Payment
8. Letter from the FCTA requesting funds to settle Compensation Claims on the Centenary Resettlement site
9. Contract for the Relocation of the 330 KVA Line Crossing the Centenary City site
10. Letter from the FCTA requesting funds from CCPLC to embark on the Centenary Resettlement Scheme
11. Letter from FCTA requesting funds to settle Compensation Claims incurred on the relocation of the 330 KVA Transmission Line
12. Development Control Regulations (DCR) for Centenary City
13. Letter to FCTA requesting allocation of unencumbered land for the establishment of a Logistics Hub and for Independent Infrastructural facilities.

After the public hearing and having studied all the facts and documents presented before it, the Committee observes as follows:

1. That the Centenary City Project is a heritage programme of the Nigerian Centenary Celebration;
2. That the Centenary City Project is entirely a private sector project that will be completed at no cost to the Government of Nigeria;

III. That Centenary City Plc. (CCPLC or the Company) is a public limited liability company formed by interested Nigerian and foreign investors for the purpose of carrying on the Centenary City Project;

IIII. That the Company intends to undertake a public issue of her shares in the not-so-distance future to enable more Nigerians participate in the Project and thereby own it;

1. That the Company has signed a Memorandum of Understanding with Eagle Hills International Properties LLC (Eagle Hills), a United Arab Emirates (UAE)-government supported Investment Company as the Developer of the Project in line with international best practices;
2. That the Centenary City Project will stimulate both foreign and domestic investment to the tune of US$18 Billion(Eighteen Billion US Dollars), create up to 250,000 well-paying jobs, promote world-class urban infrastructure, leisure and entertainment and attract multinational retail chains to Nigeria among other things. It will also support the urban renewal of Abuja and earn outstanding revenue for the FCT;

VII. That the Centenary City if developed as planned will be an African pride; and

VIII. That the Developer is ready to move to site if the issue of who regulates the City is resolved;

The Committee further established that due processes were complied with in the following areas:

1. Issuance of the Certificate of Occupancy;
2. Granting of the Free Zone status;

III. Payment of all compensation;

IIII. Obtaining of the Resettlement land; and

1. In developing the Development Control Regulations (DCR)

The Centenary City which was conceived by the last administration to mark Nigeria’s 100 years of existence is a site measured in totality about 1,264.78 hectares out of which about 600 Hectares is developable and the rest comprised of hills, rocks and a river.

“After the Development Agreement was signed, the President on the recommendation of the Honourable Minister of Industry, Trade and Investment, proclaimed a “Free Zone Status” over the entire Centenary City land mass. This was done almost at the same time with the Eko Atlantic City Project in Lagos.

“It is also understood that with the Free Zone status over the entire Project site, that the Nigeria Export Processing Zones Authority (NEPZA) will be the only agency of government that should now exercise Regulatory powers over the Project.

“Accordingly, what is left of the Development Agreement with the FCTA will be issues of compensation, resettlement and the enjoyment by the FCTA of their 5% equity in CCPLC,” the Committee concluded.