Federal Ministry Of Power, Works And Housing Not Frustrating Ambode Or His Government * Lists several requests it has approved for LASG * Says Governor failed to acknowledge he spoke with Minister who explained on going processes to him * Reveals that LASG has refused to provide land for National Housing Programme The attention of the Federal Ministry of Power, Works and Housing has been drawn to certain statements credited to the Governor of Lagos State, Mr Akinwunmi Ambode claiming  that the “Federal Ministry of Works“ has been frustrating the efforts of his administration to carry out a “total reconstruction of the International Airport Road from Oshodi.” The Governor also reportedly accused the “Federal Ministry of Works and Housing” and Security Services of denying the State Government access to the Presidential Lodge in Lagos six months after President Muhammadu Buhari approved it off for the State. This response is to ensure that members of the public are not misled by deliberate or inadvertent mis-statements. The allegations of lack of cooperation from the Ministry and frustration of Lagos State Government development initiatives are simply not true and the facts do not bear them out. In 2016, the Hon Minister for Power Works and Housing, Mr. Babatunde Raji  Fashola, SAN, approved the use of the Federal Ministry of works yard at Oworonsoki for Lagos State Government to create a lay-by to ease traffic. The Hon Minister also approved that Lagos State be granted the Rights to manage the Street Lighting on the 3rd Mainland Bridge to support the security initiatives of the State, a request which the previous Federal Government administration had denied Lagos State for years. During the same year the Hon Minister also supported the approval of the World Bank Loan of $200m to Lagos State, again a request the previous administration had denied Lagos State. As far as International Airport Road which is currently the ground for alleged “frustration” is concerned, the correct position is that the Lagos State Government presented a  request for FOUR roads that it would wish to take over. This is consistent with the position being canvassed by the Hon Minisiter for States who are interested to apply to take over Roads that are within their States. The Ministry has presented the Memorandum conveying the request of the Lagos State Government to the Federal Executive Council as was done with a similar request by the Kaduna State Government in 2016. Due to the fact that TWO of the roads also connect Ogun State, the Federal Executive Council could not reach an immediate decision on them because it requested the input of the other State Government affected. The Kaduna State Government requested the Federal Government to transfer two roads within Kaduna Metropolis to the State in November 2015. Due process was followed and the request of the State Government was approved in August 2016, a period of ten months. Federal Executive Councill Memorandum are debated and commented upon by all members and in cases of roads, surveys, maps and other material have to be provided to assist members understand the location and connectivity of the roads, (in this case Four roads), in order to assist how they vote on the Memorandum. As far as the Presidential Lodge is concerned, it is under the management of the Presidency and not the Ministry. After the approval by Mr President that the Presidential Lodge be handed over to the State Government, there was a directive to the Ministry to work out the modalities for handing over. The Ministry has prepared a vesting instrument to convey the transfer and all that is needed is a survey plan. The Presidential Lodge is a high security location and officials of the Ministry also require security clearance to enter in order to do any works. Access to the lodge is not under the control of the Ministry. The motive behind this public accusations must therefore be scrutinized coming barely a week after the Governor spoke with the Honorable Minister, Mr Babatunde Fashola SAN on the outstanding requests of the State for several minutes and the Minister took time to explain the situation of things to the Governor. (The first telephone conversation the Governor has had with the Minister since May 29, 2015). If there is any lack of co-operation it is on the part of the State Government that has refused to acknowledge not to talk of approving the Ministry's request for Land of the National Housing Programme in Lagos. The Ministry is not frustrated by this lack of response and remains optimistic that a response will come from Lagos State. The Ministry remains committed to serving the Government and Good People of Lagos and will treat all their requests on Merit and in accordance with necessary due process as will be done to other States. As far as the refund of N51Billion is concerned this is not a new item. Almost all if not all states have these claims and the Federal Ministry of Power Works and Housing has verified these claims. What is left is the process of raising the finance to pay the Debt owed to the States. Those who are familiar with the workings of Government will attest to the fact that it is an intricate sequence of processses, consultation and collaboration. Equating processes to a lack of co-operation is therefore akin to creating a storm in a tea cup. ...

Power Sector Liquidity Receives Fresh Boost As FG Sets To Pay All Verified MDAs’ Bills To Discos For Electricity Delivered * NDPHC announces progress on ongoing projects to connect communities that host NIPP * TCN reports resolution of way leave issues in Uzalla, Edo State, and on-going work in Ondo, Rivers State and other locations around the country * As Fashola chairs 13th Monthly Meeting with Power Sector Operators, Stakeholders in Ughelli, Delta State On the heels of the N701 billion guarantee for the Nigerian Bulk Electricity Trading Plc, a fresh boost in liquidity in the nation’s Power Sector is in the offing as the Federal Government has indicated its readiness to commence payment of all verified bills owed Electricity Distribution Companies in the country for electricity supplied to its Ministries, Departments and Agencies (MDAs) based on the on-going audit of the bills submitted by the DisCos. A report presented at the 13th Monthly Meeting of Power Sector Operators chaired by the Minister of Power, Works and Housing, Mr. Babatunde Fashola SAN, in Ughelli, Delta State, on the on-going audit of debts owed the DisCos by MDAs, stated that all such verified bills would be recommended for payment as further demonstration of Government’s determination to lead by example with regards to payment for electricity delivered adding, that such payments would be on first-come-first-served basis. The report contained in a Communiqué after the Meeting further stated that the verification team working on the audit received claims currently estimated at N59.3 billion, subject to further review, noting that 86 per cent of the debts, amounting to N51billion, were owed by the top 100 customers, mainly composed of military and defence installations around the country. Also, the Niger Delta Power Holding Company (NDPHC) presented ongoing projects to connect communities that host National Integrated Power Projects (NIPP) just as it announced progress on projects in Ikot Nyong, Egbema, Ihovbor, Gbarain, Olorunsogo, and Omotosho saying the expected completion date for Magboro community would be April while the Olorunsogo connection would be completed in June this year. Other progress reports include the resolution of way leave issues in Uzalla in Edo State, and ongoing work in Ondo, Rivers State and other locations around the country as reported by the Transmission Company of Nigeria (TCN); the improved compliance with submission of audit accounts as reported by the Nigerian Electricity Regulatory Commission (NERC) and the completion of maintenance works in Awka and Maiduguri to improve service delivery as reported by the Enugu and Yola DisCos. Acknowledging that the economic progress of the country largely depends on the success of the Power Sector, the Meeting commended the Federal Government for the recent approval by the Federal Executive Council of financing to assure payment to GenCos for electricity generated and supplied on the grid noting that it would enhance investor confidence in the industry. It noted with delight that the newly reconstituted NERC would more rigorously perform regulatory duties tasking the regulatory body to standardize reporting on financial performance, safety and customer service as a fair basis for ranking distribution companies and other industry operators. Receiving with delight the reports by the Enugu and the Yola DisCos on the completion of maintenance works in Awka and Maiduguri to improve service delivery to targeted customers, the Meeting commended them for the completion of the projects and, however, reemphasized the need to react to customer complaints more speedily. Acknowledging the Federal Government’s decision to support NBET with N701 billion over two years for NBET to pay generation companies for electricity produced under the Power Purchase Agreements, the Meeting, however, said the initiative did not discharge the obligation of the DisCos to pay their invoices to the Market Operator for services provided by Transmission Service Provider (TSP), ISO (Independent System Operator), and to NBET for the electricity generated, transmitted and delivered to customers. The Meeting, hosted by Transcorp Power Limited, and chaired by the Minister, focused on identifying, discussing, and finding practical solutions to critical issues facing the Nigerian Electricity Supply Industry even as the operators were fully represented at the highest executive management levels. Those in attendance included a NERC Commissioner, Managing Directors and CEOs of GenCos, DisCos, TCN as well as various government agencies such as the NDPHC, NBET, Nigerian Electricity Liability Management Company (NELMCO) and Nigerian Electricity Management Services Agency (NEMSA) responsible for the regulation and development of the electricity industry. Prior to the commencement of the Meeting, the Minister of Power, Works and Housing and the Governor of Delta State commissioned a 115MW turbine installed by Transorp Ughelli Limited, bringing installed capacity to 620MW from the 160MW they inherited on privatization in 2013. Speaking at the occasion, Fashola, who described the decision of Transcorp to invest in the nation’s Power Sector as a demonstration of its confidence in the economy of the country, said the Buhari Administration reposed more confidence on local investors as they would not run away even if the ship hit stormy waters. Assuring that the administration would continue to create enabling environment for more local investors to come into the sector, the Minister appealed to youths of the Niger Delta to see the investment as belonging to one of their own saying any time they disrupted operations at the plant they would be hurting their own person. He declared, “The Governors of the Niger Delta have been and must continue to be the champions of peace. The youths of the Niger Delta must recognise that nobody can be more Niger Delta than Tony Elumelu. He chooses to invest here. So every time you take away gas from this plant you are hurting one of us, you are hurting one of your own and we are losing opportunities”. In his remarks, Transcorps Power Limited Chairman, Mr Tony Elumelu, stated that the plant currently generates only 300MW due to shortage of gas supply, and assured the preparedness of the company to invest facilities to increase gas supply to the power station if government created an enabling regulatory framework. ...

FG Waives Payment Of 10% Equity On Mortgages Below 5 Million Naira 1.         As a demonstration of its resolute commitment to the provision of affordable housing to Nigerians, especially the low income earners, the Federal Government has graciously approved that henceforth mortgages below N5m (five million naira) will not attract the initial payment of 10% equity from offtakers. 2.        This was made known by the Minister of State for Power, Works and Housing, Hon. Mustapha Baba Shehuri while commissioning a 125- unit Housing Estate being financed by the Federal Mortgage Bank of Nigeria (FMBN) and  developed by a private developer, Messrs LCK Projects (Nigeria) Limited, in Enugu, Enugu State, recently. 3.        Hon. Baba Shehuri stated that in view of the challenge of housing deficit in Nigeria, which has been put at 16 – 17 million, the Ministry plans to build mass houses in every state of the Federation for public workers and other interested parties, over the next three years, using the instructmentality of Public-Private Partnerships. 4.        He added that National Housing Models have been designed and approved for each geo-political zone, which takes care of our cultural and climatic diversities in our choice of house type and standardization in the use of local building materials. This will translate to affordability of housing for Nigerians and will also create employment opportunities for our teaming youths that are currently roaming the streets. 5.        While commending the effort of the apex mortgage bank, the Minister noted that it has a pivotal role to play in the actualization of the aspirations of many Nigerians to own a home through mortgage, adding that the Muhammadu Buhari’s led administration will lend its full support to the Federal Mortgage Bank of Nigeria  towards ensuring that it is adequately recapitalized and repositioned  to cater for the mortgage finance needs of Nigerian workers, who would be the major beneficiaries of houses built under the National Housing Programme. 6.        Earlier in his address at the Commissioning Ceremony, the Executive Governor of Enugu State, RT Hon. Ifeanyi Ugwuanyi assured the Minister of the readiness of the State to continue providing enabling environment for housing development to thrive. 7.        The Minister was also at Abakaliki, Ebonyi State, where he commissioned the 1st set of  72 units of  houses out of 240  being financed by FMBN and undertaking by the Ebonyi State Housing Development Corporation (ESHDC). He was also at Owerri, Imo State for the commissioning of a 100-unit FMBN-Minfa Housing Estate. 8.        The Ebonyi State Executive Governor, His Excellency Dave Umahi reiterated the willingness of the government to partner with the Bank in the provision of affordable housing for its workers, especially, and the citizenry, in general. He added that the completed buildings have already been allocated to Civil/Public servants through the Office of the State Head of Service on Owner-Occupier basic. 9.        His Excellency, the Executive Governor of Imo State, Owelle Rochas Okorocha, CFR, represented by the Deputy Governor, His Excellency, Prince Eze Madumere, MFR, urged the management of FMBN to replicate the gesture in the 27 Local Government Areas of the State, while informing the Minister that a Committee, to be chaired by his humble self is to be constituted immediately to drive the process. 10.      The Acting Managing Director of Federal Mortgage Bank Nigeria, Mr. Richard Esin, while calling on other Nigerians, in private employment or self employed, who are currently not contributing to the National Housing Fund (NHF), to key in. He further disclosed that the commissioned Housing Estates and others to be commissioned soon across the length and breadth of Nigeria were funded from the lean resources of the NHF, an SPV for driving the aspirations of Nigerians to transit from being tenants to home owners. ...