News

August 9, 2015

Attacks on Amaechi: The facts behind the figures

Attacks on Amaechi: The facts behind the figures

Wike and Amaechi

BY CHARLES KUMOLU

FRESH facts have emerged suggesting that the new round of media attacks on former governor of Rivers State, Mr. Rotimi Amaechi may have been the brainchild of perceived political traducers.

Wike and Amaechi

Wike and Amaechi

The onslaught which borders on some policy actions believed to have been formulated and executed during the administration of Amaechi, seems to have assumed an apprehensive dimension lately.

Irked by the development which they termed pursuance of political vendetta, some concerned indigenes of the state, cautioned against turning history on its head to achieve political objectives.

In sounding this warning, the aborigines, who made known their stance under the auspices of Legacy Group declared that the campaign against Amaechi is to cast him in a bad light before President Muhammadu Buhari.

 

In fact, in the reckoning of Vivian Ngozika and Kenethy Friday of the group, the prime aim of those behind the media attack is to prevent Amaechi from being considered for a political appointment in this dispensation.

 

In separate chats with Sunday Vanguard, the duo gave a detailed narrative countering what had been presented to the public as ex-governor Ameachi’s alleged misdeeds in office.

 

Focusing on allegations of poor handling of the state power generation infrastructure and Specialist Hospital project leveled against Amaechi, Ngozika, who is the spokes person for Legacy Group, said: ”There are some basic facts the harbingers of hate and demonisation of Amaechi failed to realise or they intentionally did not want to disclose to the Rivers people. The Amaechi administration inherited power asset of 236MW from plants at Trans Amadi and Obrikom.

 

”On assumption of office in 2007, the construction of 100MW at Obrikom was ongoing while a 30MW station at Onne was undergoing rehabilitation. The completed plants were operating at 20 percent capacity due to maintenance and transmission challenges.

 

”In 2010, the Amaechi administration commenced the construction of 180MW power plant at Afam. This green field project that is based on Gas Turbine Technology is known as Afam 1 and contracted to Saipem, an internationally acclaimed power energy company of high repute. Note that the Afam Gas manifold owned by SPDC was already in existence and this project was designed to leverage on that.”

 

”In 2013, the administration commenced the construction of another 180MW at Afam to bring the total capacity there to 360MW.

 

”With an almost 750MW installed power generation capacity in the state, the Amaechi administration embarked, through a cabinet decision, on the divestiture of 70 percent of the assets across board to ensure sustainability, accountability and efficiency.

 

The government off loaded 70 percent of the assets to NG Power Consortium, which has consolidated itself as the largest power energy generation company in Nigeria. This company is the core owner and operator of Egbin Power Plant in Lagos.”

 

”The NG Power Consortium acquired 541MW, representing 70 percent of the assets at a unit rate of US$800,000.00/MW and this amounted to US$302,400,000.00. The company remitted US$75,600,000.00 representing 25% of the proceeds to the state government in 2013. The balance was remitted in installments over the next one year.”

 

Still setting the records straight, she added thus: ” All payments in the transaction passed through the Zenith Bank and the records are there for verification purposes.

 

”The entire transaction complied with standard Due Process provisions from the Cabinet to the Ministry of Power to other agencies of government.”

 

Commenting on part of the proceeds, Ngozika said: ”Part of the proceeds was used to pay Saipem for the construction of Afam (11) plant. It was also used to clear out contractual obligations in other ministries and agencies of government. The government also settled obligations to Shell and AGIP for gas supplies to the power plants.

 

”Part of the proceeds was injected into the 2014/2015 budget appropriation.”

 

To clear doubts regarding the authenticity of her assertion,’ Ngozika said: ”The records are in all agencies and parastatals and schedule of the withdrawals are available for the present regime in Port Harcourt to access and be well informed. It is pertinent for the Rivers State government to appreciate that in public financial administration, sources and application of funds is a continuum.

 

” Every revenue goes into the state coffers and used in appropriation depending on the developmental orientation and agenda of the administration.”

 

On his part, Friday, Legacy Group’s secretary, told Sunday Vanguard that: ”The most laughable allegation by the confused propagandists of the Wike regime is the fruitless attempt at using the CLINORIV Specialist Hospital to smear the image of Amaechi.

 

Nothing projects the lack of understanding of these agents of falsehood than their inability to understand how government projects are valued to determine money for work done.”

 

The reason for embarking on the project, he said was: ”To save the government and people the huge amount of money spent in overseas treatment. It was a Public Private Partnership ,PPP, arrangement between the state government and Clinotech Diagnostics and ”Pharmaceuticals Inc, Canada, for the building of a 1,000 room, 12 story specialist hospital in Port Harcourt.”

 

Continuing, he explained that: ”The government’s equity in the Specialist Hospital is 40 percent. The state government contributed its equity share of N4.6bn to demonstrate commitment to the project.

”Clinotech reneged on its commitment of 60 percent equity contribution siting global recession. However, the government carried on with the project because of its significance to the health needs of the state.”

Claims that not even a single stone had been laid at the proposed site of the hospital till date, were dismissed by Friday.

He said:”This is false, completely malicious and misleading. One wonders if the present administration in Rivers State has bothered to read the project file and visit the project site.

”One can only draw the conclusion that the present administration is unable to carry out due diligence. There is documentation evidencing the actual level and cost of work done on site. There is also evidence of cost of materials, plant and machinery as at March 2010 when Clinotech vacated the site.

 

”Governor Amaechi personally instigated an investigation into the financial activities of Clinotech in the project.

On March 5, 2010, the governor reported a case of alleged breach of contract and fraudulent diversion of funds to the Commissioner of Police, CP Suleiman Abba.”

In summary, he described the ongoing jabs being thrown at Amaechi as:” Completely malicious and typical of the present Governor of Rivers State who has no vision to develop the Rivers People, but whose sole agenda is to tarnish the reputation of Chibuike Amaechi.”