8 November 2012

Nigeria: FG Approves U.S.$78 Million French Loan for Water Projects in Lagos, Cross River

The Federal Government Wednesday approved a credit facility of about $77.73 million from the French Development Agency to support urban water project in Lagos and Cross River States.

It also awarded a contract for the rehabilitation of the Economic Community of West African States (ECOWAS) Parliament Building in Abuja to Julius Berger Nigeria Plc.

This was disclosed after the Federal Executive Council (FEC) meeting presided over by President Goodluck Jonathan yesterday in Abuja.

Briefing journalists after the meeting, the Minister of Information, Mr Labaran Maku, told journalists that the council also approved over N7.444 billion for various projects across the country.

Maku said the programme, under the second national urban water sector project in the country has been in the pipeline since 2005.

He explained that out of the total sum of the loan, Cross River will get $43.92 million while Lagos will get $33.83 million.

The loan, given on concessionary ground to these two states, is intended to facilitate the rehabilitation of urban water works in Lagos and Cross River States.

The minister stated that a breakdown of the money approved for the projects showed that the ECOWAS building, billed to be bankrolled from the Federal Capital Territory (FCT) statutory allocation, will gulp N3.432 billion while the construction of a 23 kilometre road in Ondo State by the Ministry of Niger Delta will gulp N3.564.991 billion as the completion of the Ibadan-Oyo expressway got augmentation of N444 million.

He noted that the variation in the contract sum on the Ibadan-Oyo Road was based on the desire of the government to upgrade the quality of roads in the country.

Meanwhile, the council also approved the construction of the Sagbemi-Kirigbo-Gada-Igbekibo road in Ondo State, which is slated for completion within two years.

According to Ishaku, the project is part of the post amnesty programme to the region by the Federal Government.

Expressing hope that the project will be completed on schedule, the minister said it is also intended to improve the socio-economic standard of the area, facilitate movement of goods and persons as well as create wealth for the people of the area.

where he received a memo from the Ministry of Power on the signing of a Memorandum of Understanding (MoU) on two hydro-electric power projects- Mambila and Zungeru.

Following the signing of a Memorandum of Understanding (MoU) on two hydro-electric power projects- Mambila and Zungeru, the council received a memo from the Minister of Power (State), Zainab Kuchi, which stated that both Mambila and Zungeru Hydro-Electric Power Projects will soon come on stream and provide the nation with an additional 3750 megawatts of electricity.

Kuchi explained that the signing of the MoU on Mambila is historic considering that it has been on the shelve for over five decades. "We didn't only sign an MoU for Mambila but jerk up its capacity. By this the nation's supply of electricity will be subsequently enhanced," she said, adding that she believed that the consortium and consultants on the project will deliver on the deadline of 2014.

The Mambila project, the minister emphasised is a concession that will be built, operated for nine years by the concessionaire before it is transferred to the apex government; while the Zungeru project will be partly, 25 per cent, financed by the Federal Ministry of Finance and the remaining will be provided by a Chinese consortium.

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