The Federal Executive Council, FEC, on Wednesday approved N1.28 billion for the purchase and installation of security equipment at seven stations of the Nigerian Railway Corporation, NRC, along Abuja-Kaduna-Kano lines.
It also approved N22 billion for the reconstruction of Apapa-Oworonsoki-Ojota Phase Section Two under Infrastructural Tax Credit Scheme.
Minister of Transportation, Mr Rotimi Amaechi stated this when he briefed State House correspondents on the outcome of the meeting of the Council, presided over by President Muhammadu Buhari, in Abuja on Wednesday.
Recall that cases of alleged bandits’ attacks on the Abuja-Kaduna train service, have been reported in recent times.
Amaechi, who addressed the correspondents alongside the Ministers of Information and Culture, Lai Mohammed; Communications, Isah Pantami; Power, Saleh Mamman and the Director-General, Bureau of Public Enterprises, Ahmadu Mamman, said:
“We presented a memo for the supply, deployment, installation, testing and commissioning of security equipment for the seven railway stations across the federation, namely; Idu, Rigasa, Jere, Kubwa, Kaduna and Kano in the sum of N1,208,325,464.60 inclusive of 7.5per cent tax with a completion period of 12months.’’
Mohammed, who spoke on behalf of the Minister of Works and Housing, Babatunde Fashola, said the Council approved N22 billion for the reconstruction of Apapa-Oworonsoki-Ojota Phase Section Two under Infrastructural Tax Credit Scheme.
“On behalf of Minister of Works and Housing, I want to report that he presented a memo which was approved in council today for the award of a contract for the reconstruction of the Apapa-Oworonsoki-Ojota Phase Section Two, which is Bit land Interchange, 8.1 kilometer stretch.
“You will recall that in 2018, the Federal Government approved an award of contract to Dangote Industry for the sum of N72 billion. By the time the award was made, there was this Section of the road that was in fairly good condition.
“But with the construction of the Oworonsoki project coming to an end, it now makes better sense to include that section which was fairly good.
“This contract was awarded today for the sum of N22,247,332,000. But you must know that this is one of the projects being awarded under Infrastructural Tax Credit Scheme.
The minister disclosed that the contract was awarded to Dangote Group of Companies.
He said: “Dangote will construct it and over the years, it will be deducted from the tax payable by the group.
“It is one of various means of PPP that this administration has embraced. It is not only restricted to Oworonsoki-Apapa road, it is the same system that is being used in Obajana-Kabba road.
“Nigeria Liquified Natural Gas (NLNG) is also using the same formula for the bridge to link Bonny and Boro in Rivers State.’’
Mohammed revealed that the Council also approved an augmentation of eight billion naira for the construction of the dualisation of the section one (Kano – Wudil) of the Kano – Maiduguri road, bringing the total cost of the project to N63 billion.
“This is about 560 kilometers contract between Kano and Maiduguri. The section awarded today is actually more of approval for an estimated total cost.
“They found out that at the time of the award of the contract, certain conditions have to be made.
“He sought for a revision and an increment in the sum of N8 billion which will bring the total cost of the contract to N63 billion. It was approved by council today.’’