The Moment (London)

Nigeria: FG to Refund N350 Billion to States for Fixing Federal Roads

Abuja — THE Federal Government has said it is set to refund a total of N350 billion to states that repaired federal roads in their states, after the verification and harmonisation of claims by the federal ministry of works.

The National Economic Council (NEC) reached this decision yesterday at the end of its meeting which was presided over by Vice President Namadi Sambo at the Council Chambers of the Presidential Villa.

Briefing journalists at the State House after the meeting, the governors of Adamawa State, Mutalla Nyako, Abia State, Theodore Orji, Katsina State, Ibrahim Shema and Ondo State, Olusegun Mimiko, said that in an effort towards ensuring better maintenance of roads across the country, the Federal Government has mandated the federal ministry of works to speed up work on the verification and harmonisation of claims on states spending on federal roads to ensure that the state are reimbursed their spending.

According to Theodore Orji during the briefing, 'A special provision is being made by the Federal Government to raise the money for the payment which stands at over N350 billion.

To ensure proper maintenance of federal roads, states are encouraged to continue with routine maintenance of such roads provided they comply with new procedures for such intervention,' he said.

The council also agreed on a joint funding of Agricultural Transformation Initiative. Mimiko who briefed on this matter said the council adopted strategies for a deeper cooperation between the federal and state governments towards improving agriculture, boosting production, ensuring food sufficiency and providing employment opportunities.

'Following a comprehensive presentation on Agric Productivity Enhancement Practices jointly made by Adamawa, Ondo and Plateau States, each state has been asked to submit proposals on its comprehensive agric plans to be able to access funding from Commercial Agriculture Credit Scheme (CACS) administered by the Central Bank of Nigeria (CBN).

'The ministries of agriculture, water resources and CBN are collaborating towards funding the necessary agricultural developments in the states with available funds,' he said.

Governor Nyoko of Adamawa, who spoke on the decentralisation of agriculture ministry, said the Federal Government was in the process of decentralising the ministry of agriculture by creating regional state offices in line with the on going reforms for effective monitoring of agricultural processes in the state.

'Those offices will be on ground to work directly with farmers in implementing agricultural value chains. Other areas of reforms being implemented include public, private sector collaboration in fertiliser procurement and distribution, setting up of marketing corporations, the establishment of agricultural investment framework and transmission of a bill on 40 per cent cassava flour content to ensure compliance.'

On his part, Governor Shema of Katsina briefed on deliberations of the Council, saying that the Council resolved for Federal Government's partnership with states to ensure completion of the on going dam and other agricultural projects and full utilisation of existing ones to boost agricultural production.

Speaking on the power sector reform, Sherma said Council also agreed that states should partner with distribution companies that are recognised by government.


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