Boost For Nation’s Road Transport Infrastructure As NNPC Presents N621.24 Billion Symbolic Cheque For 21 Roads   · A total of 1804.6 kilometres of roads spread over the six geopolitical zones of the country · Fashola explains that Executive Order 007 signed by the President in 2019 is to stimulate private sector participation in the road sector · NNPC is not taking over, but funding the 21 roads to enhance timely completion, says Minister · Calls on Nigerians, other road users, to maintain 100-kilometre speed limit as the nation’s road network gets better · NNPC pledges to ensure completion of road projects before the end of the Buhari Administration The Nigerian National Petroleum Corporation (NNPC), Tuesday handed over a symbolic cheque of N621.24 Billion for the rehabilitation of 21 critical roads across the country through the Tax Credit Scheme under the Executive Order 7 signed by President Muhammadu Buhari in 2019. In his remarks before the brief presentation ceremony at the Conference Room of the Ministry of Works and House Headquarters, Mabushi, the Minister, Mr. Babatunde Fashola, SAN, explained that the Tax Credit Scheme, which, according to him, was inherited from the previous administration, was meant as a strategic partnership with the Private Sector. The Minister, who said the present administration was currently using it for the construction and rehabilitation of Kabba-Obajana Road in Kogi State and the Apapa-Oworonsoki Road in Lagos, pointed out that contrary to the belief in some quarters that the Scheme was meant for only big companies like the Dangote Group, the scheme was open to all the members of the Private Sector.   Giving the presentation of the cheque as sign of the participation of the NNPC in the Scheme, Fashola pointed out that in order to ensure the inclusion of all segments of the Sector; the Federal Government has further opened a window of participation for smaller companies by asking them to form conglomerates to enable them mobilize enough funding capacity.   “The Tax Credit Scheme is a policy that we inherited from the previous administration. It was there but it was never used”, Fashola said adding that it was in the life of the present administration that the scheme was given life and because it had an expiration date the Executive Order 7 had to be put in place to enable government use it to address the Kabba-Obajana, and “the difficult Apapa-Oworonsoki Roads which is serving the Apapa Port”.   The Minister explained further, “Of course, the Tax Credit Scheme that we inherited had an expiry date and when we started using it, it was being said that it was made for one company alone. So we had to come out to explain that it was meant for all the companies that have tax credit”.   “And when it expired, we looked at some of the limitations of the scheme and we made some recommendations to the President”, the Minister said adding that one of the recommendations was that, perhaps, the roads should be made more diverse and to be spread out to include all the six geopolitical zones. According to him, another recommendation was that other companies that have smaller turnover could come together to form conglomerates. He added, “All of these were then factored into the recommendations that were passed to the President which was signed as the Executive Order 7”.   Describing the signing of the cheque as “a big show of confidence by the NNPC”, Fashola expressed delight that contrary to the earlier impression created in some quarters, the scheme was now attracting other sectors of the economy including the manufacturing and telecommunications firms.   The Minister, who said some of the roads had subsisting contracts that were over ten years old, pointed out that the NNPC was not taking over but funding the roads to ensure completion, adding, “One of the things we have done is to ask the contractors that they should not ask for the review of the contracts throughout the duration of the projects”.   “So we are putting in a governance process and that governance process requires us to do certification of their certificates promptly within five days”, the Minister said adding that as soon as the certificates were certified they would be escalated to the NNPC which would be required to pay within 30 days. Also, he said, the staff of the Ministry has certain number of days within which to act to certify the certificates.   The Minister gave assurance that all the unpaid certificates that were in existence before the scheme was approved and all the certificates that budget provisions were inadequate to pay, would be paid as from signing of the contract with the NNPC adding that what it meant was that there would be money to pay the contractors who would in turn pay their suppliers of construction materials in the chain of distribution of wealth across the divide.   He explained that some of the roads like Apapa-Oworonasoki and Obajana-Kabba had no previous contracts in which case those on tax credit scheme were allowed to choose their own contractors while the Ministry still acts as supervisors adding that the difference between them was that the 21 roads which affect the NNPC distribution operations were already under contract.   “So NNPC is not taking over our roads, NNPC is not constructing roads, NNPC is only putting forwards its tax liabilities to fund the roads”, Fashola said reiterating that the roads would have been completed some years back but for insufficiency of funds.   Urging the contractors to go out there and do the best they could to meet the expectations of Nigerians, the Minister said even as the construction companies were shutting down as a result of the yuletide season, the contractors were expected to do more work now when the weather was good for construction.   The Minister called on Nigerians to maintain the speed limit of 100 kilometres as specified by the nation’s traffic laws noting that the season of celebrations would involve a lot of movement of goods and persons across the country.   He added, “As the number of roads we complete are increasing, we are also seeing increasing accidents and the accidents break our hearts. So, I am going to appeal to the Media who are here to please help us to carry this message through this Yuletide season that the maximum speed on our highways is 100kilometres, not more”.   According to him, “What it does, if you maintain that speed, is that if there is trouble you will be better able to avoid it”.   Earlier in his remarks before the presentation the representative of the Group Managing Director of the NNPC and Chief Finance Officer of the organization, Mr. Umar Ajiya, said the Corporation was motivated by the challenged condition of some of the nation’s roads most of which were the arteries of the company’s operations adding that with the vandalization of the distribution pipelines the company had been forced to use the roads as its channel of distribution of petroleum products nationwide.   Thanking the Minister of Works and Housing and other relevant agencies of government, the NNPC Chief Finance Officer said the symbolic presentation of the N621 billion was a way of contributing to the Federal Government efforts to give Nigerians befitting road network adding that it was an investment that was being done in compliance to the Executive Order 7 to use the company’s tax credit.   The Executive Chairman of the Federal Inland Revenue Service, Mr. Muhammad Nami, in his remarks, said the investment in roads was as a result of Executive Order 007, 2019 meant to encourage taxpayers to use company income tax payable by them to fix the nation’s critical infrastructure in exchange for tax credit.   Explaining the process involved in the scheme, the Executive Chairman said the scheme was meant also to support “the fact that there is a social contract between the taxpayers and the government” adding, “What government is using the Executive Order 007 to do is to give value to taxpayers’ money.   “This is unprecedented and very necessary for us to fix the roads in Nigeria”, he said adding that it has become expedient because the annual budgetary allocation for the roads were not only minimal but absolutely insufficient. He said it was most importantly meant to bridge the critical infrastructure gap that the country faces.   The critical roads, which are major routes for the distribution of petroleum products across the country by the NNPC include, the roads in the North Central totaling 791kilometres which are the dualization of Ilorin-Jebba-Mokwa/Bokani Junction Road Section I: Ilorin-Jebba in Kwara State, dualization of Ilorin-Jebba-Mokwa/Bokani Junction Road Section II: Jebba-Mokwa-Bokani Junction in Kwara/Niger States and dualization of Suleja-Minna Road in Niger State.   Also in the zone are the dualization of Suleja-Minna Road in Niger State Phase II, Reconstruction of Bida-Lambata Road in Niger State, Agaie - Katcha - Baro Road, Emergency Repairs of failed section of Mokwa - Makera - Tegina - Kaduna State Border in Niger State, Minna - Zungeru - Tegina road and Bida - Minna Road.   In the South-South, three roads totaling 81.90 kilometres which are under the scheme include rehabilitation of Odukpani-Itu-Ikot Ekpene Road in Cross River State Section I: Odukpani-Itu Bridge Head in Cross River/Akwa Ibom States, dualization of outstanding portion of Odukpani-ltu-lkot Ekpene, and dualization of Oku-Iboku Power Plant Section of the Odukpani-Itu-Ikot-Ekpene Road in Cross River/Akwa Ibom States. The roads chosen in the South East, aggregating to122 kilometres, include rehabilitation of Umuahia (Ikwuano)-Ikot Ekpene Road: Umuahia-Umudike in Abia State and the dualization of Aba-Ikot Ekpene Road in Abia/Akwa Ibom States. In the North East, roads involved total 117 kilometres. They include rehabilitation of Cham-Numan Section of Gombe-Yola Road in Adamawa State, construction of Bali - Serti Road in Taraba State and rehabilitation of Gombe - Biu Road in Gombe/Borno State while in the North West the roads chosen, which aggregate to 283.5kilometres, include Rehabilitation of Outstanding Sections of Gada - Zaima - Zuru - Gamji Road Phase II in Kebbi State and Rehabilitation of Zaria-Funtua-Gusau-Sokoto-Birnin Kebbi.   In the South West, roads chosen are rehabilitation and expansion of Lagos-Badagry Expressway (Agbara Junction-Nigeria/Benin Border) in Lagos State and the dualization of Ibadan - Ilorin Road (Route A2) Section II   in Oyo State (Oyo - Ogbomosho) which aggregate to 114.00 kilometres.   The symbolic cheque presentation ceremony was followed by a signing of Funding Intervention Agreement by the NNPC, FIRS, the Ministry of Works and Housing and the Contractors.   Also present at the ceremony were the Permanent Secretary, Mr. Babangida Hussaini, Directors and Special Advisers as well as top officials of the NNPC and the Federal Inland Revenue Service and contractors handling the aforementioned roads.   ...

NNPC is Not Taking Over Road Construction  - Fashola Works and Housing Minister Mr. Babatunde Raji Fashola SAN has disclosed that the Nigerian National Petroleum Corporation, (NNPC) is not taking over the construction of roads from the Federal Ministry of Works and Housing. The Minister made this disclosure during the symbolic presentation of Cheque for 21 critical roads funded by NNPC through the Tax Credit Scheme which took place at the Ministry's headquarters in Mabushi, Abuja today, Tuesday 28th December, 2021. While shedding light on the scheme the Minister said, "NNPC is not taking over roads, NNPC is not constructing roads, NNPC is just putting forward its tax liabilities to the authority who is supposed to collect, which is the Federal Inland Revenue Service, (FIRS), and they are dedicating it to build roads that have been awarded and would have been completed but for insufficient budgetary provisions." Fashola further said, " Let me make it clear that this is a tax credit intervention and essentially, the private sector company is putting forward what should have been its tax compensation for liabilities to government." The Minister revealed that the scheme which is under the executive order 007 was inherited from the previous administration who didn't implement it. However, the Buhari administration recognized it and used it to execute the Obajana - Kabba road as a strategic partnership with the private sector. He added that it is being used to address the Apapa - Oworoshoki expressway which serves the nation's largely established port. Fashola explained that the scheme was not for one company alone as any company who is interested in it is free to apply to Federal Government. He said the Buhari administration amended the Executive order 007 to give room for the roads to be impacted to be diverse and also allow smaller companies to come together as a group to use their tax liabilities for smaller roads that will aid their businesses. He expressed happiness that the amendments have attracted the interest of conglomerates like Dangote group, the oil industry which is stepping in with 600 Billion Naira to address 21 roads covering over 1, 800 kilometres. He also noted that telecommunications companies have indicated their readiness to take part in it. Speaking further on the amendment made by President Buhari, Fashola revealed that a governing process had been put in place that requires the Ministry of Works and Housing to look into certification, send them to FIRS for verification within 5 days after which NNPC is expected to pay within 30 days. He also said that an agreement had been reached with the contractors that nobody would ask for price variations even though some of the contracts are over ten years old. In his address, the Executive Chairman, Federal Inland Revenue Service, Muhammed Nami who thanked the federal government for the tax credit scheme said it was introduced due to the insufficiency in budgetary allocations. He expressed optimism that it will contribute in no small measure in bridging the gap in road infrastructure. Earlier, the General Manager International Energy Relations Mr. Garba Hadejia who represented the Group Managing Director of NNPC lamented that since most pipelines have been vandalized, the only option left for his organization has to transport its products by roads. ‘’However, the bad condition of some the roads were adversely affecting the movement of petroleum products hence the decision of NNPC to support the Ministry of Works and Housing by partaking in the Cash Credit’’ he said. An indigenous contractor, Mr. Isioma – Ezi-Ashi of Sermatech Nigeria Limited who spoke on behalf of his colleagues thanked the Federal Government for the scheme and promised that the contractors would do their best to ensure its success. The occasion also witnessed the signing of Memorandum of Understanding, MOU, among the stakeholders: The Federal Ministry of Works and Housing, FIRS, NNPC and the Contractors.       ...

Season Of Completion, Impact Continues As Buhari Commissions Kano-Maiduguri Road, Section II      ·  Urges ownership of roads by host communities, commuters; compliance to traffic regulations Highway Code    ·  Buhari doing much more for Nigerians with less resources – Jigawa Governor    · Commissioning, a clear affirmation of the progressive administration of President Muhammadu Buhari in every State of the country – Fashola   · Lawmakers, Traditional Ruler, residents commend FG for strides in road transport infrastructure   The investments of the Federal Government in road transport infrastructure has continued to impact positively on communities across the country as President Muhammadu Buhari on Monday commissioned the Kano-Maiduguri Road, Section II (Shuwarin-Azare) connecting Jigawa and Bauchi States. The 142.2 kilometre dualized road brings to five the number of such roads commissioned and handed over across the country in the Season of Completion and Impact which began 18 days ago. The other roads so far commissioned by the President within the period include the Sokoto-Tambuwal-Jega-Kontagora-Makera Road, the Vandeikya- Obudu Cattle Ranch Road, the Nnewe-Oduma Road, and the Kano- Maiduguri Road Section III (Azare-Potiskum). In his address at the event, Buhari, who was represented by the Minister of Water Resources, Engr. Suleiman Adamu, called on Nigerians, especially the communities through which the roads pass, to take ownership and protect the roads, which, according to him, “have been built to the highest quality of design and workmanship” in order to enable them last their designed lifespan. The President, who also described the commissioned roads as “part of our many roads to prosperity”, told Nigerians, “Now that we have this new and well-built roads, we have duties to ourselves and to other road users”, listing such duties to include avoiding abuse of the roads and compliance with the nation’s traffic laws as stipulated in the Highway Code. According to the President, abuse of the roads could take the form of overloading of vehicles and trucks which accelerates pavement damage, spilling of petroleum products, which dissolves all the components and allows water to penetrate, and converting the road shoulders to permanent parking places, which brings the onset of road failure from the shoulder. “We must all do our best to avoid these practices, report them when they occur and act in a lawful manner to stop them”, the President said adding, “Accordingly, for the avoidance of any doubt, I wish to reiterate that the maximum driving speed on this and other Federal Highways nationwide is 100 (ONE HUNDRED) KM and no more”. Paying tribute to the patriotism of the Nigerians who participated directly or indirectly in the construction of the roads, Buhari said it demonstrated the capacity of the people to build quality infrastructure that could stand the test of time adding that both those employed directly to build the roads and the scores of suppliers employed indirectly by providing the machines utilized in the construction were not only nation builders but also  the heart of the Nigerian economy. “The road is also a story of the capacity of our people; the patriotic Nigerians who were employed directly to build this road, the scores of suppliers employed indirectly who are responsible for providing the machines utilized in the construction. These are not only nation builders to whom we offer our salutations, they are the heart of the Nigerian economy, the micro, small and medium enterprises that drive our economic growth”, he said. He also said the roads represented “a statement of economic efficiency and ease of doing business”, adding, “This is because the travel time of averagely 3 hours before construction has now reduced to 1hour 45 minutes since the completion of the road. Of course, this road is part of our many roads to prosperity because a reduced journey time means reduced expense on travel, because time is money”. Noting the reintroduction of such road furniture as lane markings and Route Assurance signs on the new roads as symbolizing change, Buhari declared, “These components had all but disappeared on our highways but our commitment to change has restored them, with the markings helping drivers to achieve better lane management and control of their vehicles; while the Route Assurance signs provide information about how much further or longer, the drivers and commuters have to travel and the distance to the next village, town or state”, adding that another element of change was “the travel experience on a new and well-built road from the old and previously unmotorable road.” In his own remarks, the Minister of Works and Housing, Mr. Babatunde Fashola, SAN, said the Season of Completion and Impact which had seen the Commissioning and Handover of roads across the country in the last 18 days was a clear affirmation of the presence of the progressive administration of President Muhammadu Buhari in every State of the country. Fashola, who was represented at the event by the Permanent Secretary in the Ministry, Mr. Babangida Hussaini, said the road projects already handed over and many that would soon be commissioned in various parts of the country represented major investment in road Transport infrastructure, which, according to him, “is a commitment of the Buhari administration as a driver for economic growth and prosperity”. Expressing “immense pleasure” that the Season of Completion and Impact has reached the peoples and Governments of Jigawa and Bauchi States through the Kano-Maiduguri Road Section II (Shuwarin-Azare) being commissioned by the President, the Minister described the investments as “visible and incontrovertible Assets in proof of what Nigeria’s resources are invested in, from a combination of our earned resources, and borrowings”. “After the handing over of the Sokoto-Tambuwal-Jega-Kontagora-Makera Road, the Vandeikya- Obudu Cattle Ranch Road, the Nenwe-Oduma Road, and the Kano- Maiduguri Road Section III (Azare-Potiskum), I am happy to reiterate that this is the fifth of many more project Completion and Handovers our country will experience in the next few weeks and months as we enter what l call a season of completion and impact”, he said.   Fashola, who said the handing over formalities that would follow the day’s event would be “in both the Works and Housing Sectors”, recalled the recent unveiling of a dedicated portal to enable Nigerians subscribe to the National Housing Programme of the Federal Government in 34 States where the first Phase are ready noting that finishing touches were being put to the handing over formalities in the beneficiary States. The Minister expressed gratitude to all investors in the first and second SUKUK bond which funding helped in the completion of Azare – Potiskum, Shuwarin – Potiskum and Sokoto-Tambuwal- Kontagora Roads, adding that the SUKUK funding is currently contributing to progress of work on 44 roads across Nigeria which would also be commissioned and handed over as and when completed. He also thanked the Ministry of Finance, and the members of the National Assembly, “especially the Chairmen of the Senate and House Committees on Works in the 8th and 9th Assembly as well as the Debt Management Office for their support and their role in previous SUKUKS which, according to him, “have been most innovative and impactful nationwide, and for the SUKUK we are expecting”. Fashola also thanked the staff of the Ministry and contractors who, he said, “have worked very hard to bring these projects to conclusion”, adding, “I cannot fail to acknowledge the cooperation of the host communities where these projects pass through or are hosted. I hold them out as examples of what peace can achieve, and the investments that collaboration and some sacrifice can deliver if we embrace partnership with Government”. Also commended by the Ministers were members of the Federal Executive Council in the first term and the current term without whose support during debates over the projects “none of these would have been possible” and the President and Vice President “who preside for long hours over the Council meetings”, and whose leadership “is now bearing fruits and the evidence of change now manifesting” with Jigawa, Bauchi, Enugu, Ebonyi, Benue, Cross Rivers, Sokoto, Kebbi and Niger, bearing  witness and with more to come. Members of the host communities, who came in their hundreds to grace the occasion were effusive in their expressions of gratitude to the federal Government, President Muhammadu Buhari and the Minister of Works and Housing for the Dualization of the road which they said was an accident-prone passageway while it was a single lane road. Leading the expressions of gratitude was the Governor of Jigawa State, Alhaji Muhammad Badaru Abubakar, who said President Buhari had done wonderfully well in all sectors adding that although the Buhari administration inherited over 300 projects where the contractors were demobilized, the administration mobilized them”, adding, “Today we are commissioning one of them”. "With less than the money they made Buhari is doing more than they did”, the Governor said, listing the impact of the Buhari administration in Jigawa State to include: “several road projects, tremendous support in the agricultural sector which has increased the rice production of the state from 90, 000 tonnes in 2015 to 649, 000 metric tonnes presently”. Other areas of impact, according to the Governor, are school feeding programme, six hundred thousand irrigation projects, health facilities, social interventions programmes such as the N- Power which provided jobs for 11, 603 young people, conditional cash transfer, trader money and so on. Senator Sabo Muhammed, representing Jigawa South - West District and Honourable Abdullahi Ibrahim Dutse, Member representing Dutse/Kiyawa Federal Constituency, in their goodwill remarks, expressed delight and excitement over the completion of the roads in the state and thanked the Works and Housing Minister and the President for the road projects. The Emir of Dutse, His Royal Highness, Dr. Nuhu Sanusi, in his own remarks, said the importance of the road could not be over emphasized, as, according to him, “it covers about five states”, adding, “It's the heart of the economic activities, our gratitude to the Federal Government is deep for making this possible”. A cross section of residents interviewed also praised President Buhari and Works and Housing Minister for the completion of the project. Annur Muhammad, a driver, said eight years ago, the road was a single lane before the Dualization and rehabilitation commenced, recalling that the road was prone to accidents. “But since the completion of the project, accident has been reduced to the barest minimum. President Muhammadu Buhari is God sent", he said. Bello Yau, a farmer from Shuwarin, commended the Federal Government for the completion of the road saying, "We are overjoyed, happiness is an understatement, we thank the Government of President Muhammadu Buhari, for the road”, while Adamu Haladu, a student from the area, said, "We had some challenges because the road which was a single lane was bad but since the road has been dualized, respite has come our ways, we thank the people in government." Also, a resident from Bakin Kasuwa in Hadejia Local Government who came to witness the commissioning of the road said   "I came here to support the commissioning event with my Public Address System, it is a good job God bless the Ministry of Works and the Contractors for the quality job."     ...