Viewpoint

January 15, 2012

Contractors as roadblocks

By Uche Akunne
Every year, Nigeria budgets billions of Naira to finance all round national development, especially in the economic, political and social spheres. In this year’s budget, the Federal Government has proposed to spend N4.749 trillion. Whether this will translate to significant development, at the end of the day, is another kettle of fish, as implementation has always been a big problem.

Usually, the annual budget sets the parameters economic activities that would hopefully drive the engine of growth and development. Unfortunately, the road to success is paved with corruption in high and low places. And that is just the right milieu for dubious contractors to ply their trade and throw spanners in the wheels of progress.

The Nigerian environment seems to be a fertile ground for briefcase contractors who see government contracts as their own share of the national cake. For them, the contractual obligation to deliver the jobs on schedule and according to specifications is hogwash. What these contractors, who are unfortunately many, do is tantamount to arresting the development of the country.

This is one challenge all development agencies in the country should tackle frontally. Indeed, in some cases, it calls for emergency measures. It is, therefore, not surprising that the Niger Delta Development Commission, NDDC, is already taking steps to check the excesses of contractors who would like to eat their cake without contributing to its baking.

The NDDC Managing Director, Dr. Christian Oboh, has fired a warning shot to erring contractors engaged by the commission. He charged them to either perform or be prosecuted. To those that have achieved 70 per cent in project execution, he ordered: “deliver by the end of March 2012 or face the wrath of the law.”

“Those who work, we shall pay. I want you to deliver between now and March. I’m ready to pay you if only you will deliver, you must also be prepared to sign undertaking because if you don’t deliver, the law will come after you”, he declared.

The marching order from the NDDC boss only amplifies an earlier presidential directive. President Goodluck Jonathan had warned that his administration would order law enforcement agencies to apprehend contractors identified as having defaulted after receiving funds to execute NDDC projects. The president’s warning came after he received the report of the NDDC Presidential Monitoring Committee late last year.

No doubt, the problem of non-performing contractors is a national malaise. However, its effect on the development of the Niger Delta region is more disturbing because, if developmental projects in the region are sabotaged, it would have a direct consequence on the wealth of the nation, oil being the live-wire of the economy. Of course, we have to keep in mind that the Federal Government’s 2012 budget is based on 2.48 million barrel per day (MBPD) and this can only be realistic if the peace brought by the amnesty programme is sustained.

To maintain and sustain the peace, the gains of the amnesty must be complemented with visible and concrete development of the region. This is where the NDDC comes in. As the most visible executing arm of the central government, it must be seen by all to be making the difference in the Niger Delta.

The president of the Senate, Chief David Mark, admitted that the National Assembly had not done enough in its oversight function with respect to the NDDC. He said after the Senate confirmation of a 13-member board for NDDC that the Senate Committee on Niger Delta should share the blame for the failure of the last board of the commission, noting that the committee failed in its oversight responsibilities.

In many instances, there is a problem when politicians and government functionaries look the other way while contractors undermine the system. As it is the practice world-wide, governments and their agencies are expected to determine whether those they are giving jobs possess the requisite qualifications, manpower, equipment and monetary resources to successfully execute projects.

What happened in the past with respect to power and road contracts must serve as enduring lessons for those in government. Never again should we allow a situation where the country, according to the former Speaker of the House of Representatives, Mr. Dimeji Bankole, spent 16 billion dollars on the National Integrated Power Project, and  there was hardly anything to show for it. Never again should we be content with sulking and counting our losses after spending billions of naira for repairs and maintenance of the nation’s highways and bridges without tangible results.

Nigerians would not want a repeat of the disgusting stories told by the House of Representatives committee which looked into the activities of the Ministry of  Transport under the Olusegun Obasanjo administration.

The committee reported that between 1999 and 2009, the ministry gave contracts for the construction and rehabilitation of 11, 591km roads at a cost of N1.7 trillion – about N87 million per km – with only 24 per cent of the target met, while 64 per cent of the contract value had already been paid.

Today, we are reeling in the pains of high fuel prices in spite of the fact that contracts were awarded for the repair and maintenance of the nation’s refineries in 1998.

Like many other Nigerians, who believe that there should be a stop to this rot, Comrade Adams Oshiomhole, the governor of Edo State, told President Jonathan to jail all those who got the Turn Around Maintenance (TAM) contracts for the refineries.

The consequences  of  the rot are far-reaching.  The new board of the NDDC led by its chairman, Dr Tarilah Tebepah, should, therefore, remain resolute in its efforts to whip contractors into line.

The commission should strengthen its monitoring machinery to ensure that projects executed by its contractors meet international standards. Since this board has a short life-span, it can only leave a worthwhile legacy in the Niger Delta if it completes monumental projects that people will talk about so many years to come.

*Akunne lives in Port-Harcourt, Rivers State.