News

May 18, 2011

FG approves N23bn for 10 projects in N-Delta

BY DANIEL       IDONOR

ABUJA — THE weekly Federal Executive Council, FEC, meeting Wednesday approved N23 billion for 10 various infrastructural projects in the nine states of the Niger Delta.

Minister of Information and Communication, Mr Labaran Maku and the Minister of National Planning, Samshudeen Usman, while briefing State House correspondents said the FEC, presided over by President Goodluck Jonathan, after deliberations ratified the President’s anticipatory approval for the award of the 10 contracts.

Minister of Niger Delta Affairs, according to Maku, brought a memo to seek council’s ratification of the President’s anticipatory approval for the award of contracts in respect of three Land Reclamation and Erosion Control/Shoreline projects in the Niger Delta region.

According to him, “the Nigerian coastline has deteriorated over the years, the cumulative effect of which has undermined the quality of life in the region, threatened livelihood of the people, which has contributed to the restiveness experienced in the region in the recent past.

“The deterioration is attributable mainly to the fragile ecosystem of the region and the series of uncontrolled human activities including depletion of mangrove forests, oil exploration/exploitation, dredging/reclamation for estates developments, unplanned discharge of run-off and effluents into the water bodies.

“In order to achieve the current administration’s goal of transforming the region, council ratified the President’s anticipatory approval for the award of contracts in respect of three Land Reclamation and Erosion Control/Shoreline Projects in the Niger Delta region, in the total sum of N5.8 billion.

“Land Reclamation and Erosion Control Project at Essien Town, Ekorinin Community, Calabar, Cross Rive State, in the contract sum of N1.9 billion with a completion period of 12 months; Land Reclamation and Erosion Protection at Amadi Ama, Port Harcourt, Rivers State, in the sum of N1.4 billion with a completion period of 12 months; Land Reclamation and Erosion Protection at Ogbobagbene, Burutu Local Government Area, Delta State, in favour of Messrs Snecou Group of Companies Ltd in the total contract sum of N2.4 billion with a completion period of 12 months.

“The Minister of Niger Delta presented another memo to seek Council’s approval for the augmentation of the contract sum in respect of the Dualisation of the 99km East-West Road, Section III (Port Harcourt Eleme Junction – Eket) in Rivers/Akwa Ibom states.

Council approved an augmentation of the contract sum for the ddualisation of 99kmEast_West Road, Section III (Port Harcourt (Eleme Junction?) – Eket) in Rivers/Akwa Ibom states, in favour of Messrs Reynolds Construction Company (Nig.) Ltd., in the sum of N30 billion to a revised contract sum of N66.8 billion with a new completion date of 31st December 2012.

The dualisation of 99km East_West Road, Section III (Port Harcourt (Eleme Junction?) – Eket) is a major federal government intervention infrastructural development programme in the Niger Delta Region awarded at the original contract sum of N35 billion.

The need to revise the contract sum by the contractor arose from the passage of time, high rate of inflation, compensation costs, re_design to accommodate topography in marshy terrain, community relation challenges and advance payment delay.

The contract for the dualisation East_West Road, Section IV: Eket_Oron Road in Akwa Ibom State was originally awarded on 13th September 2006 in the sum of N26 billion.

The need for the augmentation of contract sum was presented to council by the Minister of Niger Delta Affairs following the increases in construction materials and labour.

In order to uphold the federal government’s commitment to the development of infrastructure in the Niger Delta Region, council approved an augmentation of the contract sum for the 50km dualisation East_West Road, Section IV (Eket_Oron) in Akwa Ibom State, in the sum of N11.5 billion only to a revised contract sum of N37. 5 billion with a new completion date of 11th June 2012.

Through yet another memo, the Minister of Niger Delta Affairs South Council’s ratification of the President’s anticipatory approval for the award of contracts for the construction of Emakalakala_Akipelai Road and Bridges in Bayelsa State and for the Design of Seaport Development at Gelegele in Edo State.

These contracts are part of Post_Amnesty Intervention Programmes of the Federal Government designed to facilitate the rapid economic development of the Niger Delta region.

After deliberations, council ratified the President’s anticipatory approval for the award of: Contract for the construction of Emakalakala_Akipelai Roads and Bridges in Bayelsa State, in the sum of N3.3 billion with a completion period of 15 months; and(b) Contract for the consultancy services for the design Seaport Development at Gelegele in Edo State, in the sum of N224.9 million with a completion period of six months.