$1.96 billion has been approved for the award of contract for the development of the proposed Kano-Jigawa-Katsina-Jibia to Maradi rail line in Niger Republic by the Federal Executive Council, FEC.
The council approved the amount during its virtual meeting on Wednesday presided over by President Muhammadu Buhari at the Council Chamber, Presidential Villa, Abuja
The rail line approval which has been described as a misplaced priority by many Nigerians due to infrastructure deficit within the country, was disclosed by the Minister of Transportation, Rotimi Amechi, Works and Housing while briefing State House correspondents at the end of the meeting.
- Read also; Nigeria’s leaked Bank memo, your US dollars and what happened in Argentina
- Foreign investors losing confidence in Nigeria’s oil industry — Kyari
Amaechi said that his ministry presented two memoranda that were approved by the council.
According to him, “Two memos for the Ministry of Transportation were approved by the council. The first one is the award of contract for the design, manufacture, supply, testing and commissioning of one railway crane of 150 ton capacity for emergency and recovery of rolling stocks.
“This is to sort out say situations of accident on the track. It is for a total cost of N3,049,544,000. That’s the first memo that was approved for the Ministry of Transportation.
“The second one is the award of contract for the development of the proposed Kano-Katsina-Jibia to Maradi rail line in Niger Republic and to Dutse, the capital of Jigawa, for a total cost of $1,959,744,723.71, inclusive of 7.5% VAT.”
About the proposed rail
The rail line which will link Nigeria to Niger Republic was initially budgeted in the 2018 appropriation and will start from Kano to Maradi in Niger Republic.
The rail line will pass through seven senatorial districts in the North and about three states – Kano, Katsina and Jigawa.
it will pass through Dambatta, Kazaure, Daura, Mashi, Katsina, Jibia and terminate in Maradi, Niger Republic.
The rail would assist in the supply of crude oil from Niger Republic to the refinery being built in the border town between both countries.
Other approvals by FEC
Also receiving the FEC approval was N12.088 billion Umuahia/Bende/Ohafia road with a distance of 45 kilometers according to the Minister of Works and Housing, Babatunde Fashola.
The Minister of Niger Delta Affairs, Godswill Akpabio said that FEC approved the sum of N745.2 for engaging additional eight Field Forensic Auditors, for the forensic audit of the Niger Delta Development Commission, (NDDC).
The council approved additional N3.773 billion for the construction of the Petroleum Technology Development Fund’s headquarters in Abuja, thus raising the initial approval for the contract to about N14bn according to the Minister of Information and Culture, Lai Mohammed.
Mohammed added that FEC also approved the procurement of 1,800 units of laptop computers for three Nigeria Customs Service’s training schools at the cost of N351,540,000.
Mohammed also said that the council approved N197 million for the expansion of the NCS’ cash management’s software in compliance with International Public Sector.
FEC approved the contract for the procurement of 52 Green Maria vehicles for the Nigeria Correctional Service to complement 451 already acquired between 2016 and 2019, according to the Minister of Interior, Rauf Aregbesola.
Written by;
Ifunanya Ikueze