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Jun
14
2026

LATEST PRESS

UMAHI SHOWCASES FEDERAL PROJECTS IN EBONYI, SAYS SOUTHEAST IS GRATEFUL TO TINUBU AS EBONYI SET TO DEMONSTRATE ITS APPRECIATION TO THE PRESIDENT ON MONDAY

The Honourable Minister of Works, Senator Engr. David Umahi, CON, on Saturday, June 13, 2026 led a Federal Government delegation headed by Presidential Adviser on Information and Strategy, Mr. Bayo Onanuga, on an inspection of ongoing federal road projects across Ebonyi State, using the occasion to highlight what he described as the unprecedented infrastructure transformation taking place under the administration of President Bola Ahmed Tinubu.

Speaking during the inspection, Umahi showcased several strategic federal projects across the state and the Southeast, explaining that the region remains deeply grateful to President Tinubu for the tangible evidence of inclusion, fairness and development.

At the Calabar - Abuja project sites, the Minister explained the strategic importance of a major flyover under construction along the Trans-Sahara Super Highway corridor.

“Let me say that this is the point where the Trans-Sahara Route takes a bend. The essence of this flyover is to resolve the conflict at this point,” he said.

According to him, the Federal Government has already made provision in the 2026 budget to connect the corridor directly to the Ebonyi State capital.

“The road going to the capital city, which is 18km from this point, is included in the 2026 budget, and the Federal Government will undertake the connection to the city centre.”

Umahi stressed that despite funding challenges, work would continue uninterrupted across project sites.

“Of course, the contractor has not been paid, but we are creditworthy. All contractors being owed will be paid. There should be no stoppage of work because we want to see if we can commission this project by December. The cost is ₦25 billion.”

The Minister described the projects as only a glimpse of what President Tinubu is delivering in the Southeast.

“This is just the beginning. You will see remarkable projects of President Bola Ahmed Tinubu in the South-East. When we talk about the gains of the South-East under President Bola Ahmed Tinubu, some people who do not understand what we are talking about will continue to criticize us.”

He declared that the people of the Southeast have taken notice of the President’s interventions and are prepared to openly express their appreciation.

“The people of the South-East are very appreciative of what the President is doing. By Monday, under the leadership of the Governor of Ebonyi State, we will demonstrate this appreciation when we adopt the President as our sole candidate and, of course, the Governor.”

Umahi was emphatic about the region’s political direction.

“Let it be known that Ebonyi State is not obedient because we want to catch up with the rest of the country, and we will never be obedient. What happened before was an accident of history. It will not repeat itself.”

The Minister also provided updates on the flagship Trans-Sahara Super Highway, revealing that a ₦668 billion contract has already been awarded and construction is progressing steadily despite the rainy season.

“The project is about 28% completed. We are not stopping because of the rains. Work continues, especially with President Bola Tinubu’s concrete road technology.”

Tracing the history of the corridor, Umahi said the project was originally conceived during the colonial era but remained unrealized for decades.

“We presented the concept to the President, a man divinely called to do the impossible. What was once a colonial dream is now being realized more than sixty years later.”

He described the highway as a critical economic route that will connect Nigeria to neighbouring countries while unlocking agricultural and industrial opportunities across the country.

“The President is fulfilling that vision, and I am very happy because this is a major trade corridor. It connects us to Cameroon and serves as a transport route for rice-producing areas in Cross River, Benue, and Ebonyi States.”

Highlighting the broader economic vision behind the President’s infrastructure agenda, Umahi said the four legacy projects of the Tinubu administration are far more than roads.

“As I have always said, the four legacy projects of Mr. President are not merely road construction projects; they are investments.”

Drawing comparisons with advanced economies, he explained that infrastructure investment remains one of the most effective tools for stimulating economic growth.

“Infrastructure investment is critical. In countries such as the United States, whenever there is an economic downturn, governments invest heavily in roads and bridges because such investments stimulate growth across other sectors of the economy. That is exactly what the President is doing.”

He further pointed to visible projects already completed or nearing completion across Ebonyi and neighbouring states, including major bridges, flyovers, dual carriageways and the Dangote Tax Credit Road Project.

“We are grateful to the President and pleased with the work being done by our Governor.”

Reaffirming the Southeast’s support for President Tinubu, Umahi said the region now sees clear evidence of inclusion in federal infrastructure investments.

“The South-East has been included. Inclusiveness, fairness and equity are what we have always sought, and today we can point to tangible evidence of that inclusion.”

The Minister also noted that having a Minister of Works from the Southeast has helped ensure the region’s needs receive the attention they deserve.

“Without a Minister of Works from the South-East, we might not have secured all that has been achieved.”

He added:

“We can proudly say that while we may not be the first beneficiaries of federal road investments, we are certainly no longer the last.”

Providing updates on President Tinubu’s four signature legacy projects, Umahi highlighted progress on the Lagos-Calabar Coastal Highway, the Sokoto-Badagry Super Highway, the Calabar-Ebonyi-Benue-Kogi-Nasarawa-Abuja Corridor and other strategic national routes.

According to him, the administration’s infrastructure programme is designed to create jobs, support agriculture, expand regional trade, attract industries and unlock new economic opportunities nationwide.

“The four legacy projects are investments designed to transform the Nigerian economy.”

He explained that plans along the corridors include dams, irrigation systems, power infrastructure, agricultural settlements, housing developments, factories, hotels and renewable energy facilities.

“The benefits are extensive and include both direct and indirect employment opportunities for Nigerians.”

The Minister ended with a strong endorsement of President Tinubu’s leadership.

“President Bola Ahmed Tinubu, God brought you. God will continue to guide and preserve you. We stand with you for the years ahead.”

Addressing contractors handling federal projects in the state, Umahi reiterated the Federal Government’s commitment to quality and durability.

“The moment you do not execute the work properly, it will be obvious. If you do it well, it will reward you. The method is the same, the principle is the same, and the quality is the same. We are using Grade 40 concrete.”

He revealed that the 51-kilometre Okposi-Ohaozara-Ukawu-Cross River road project, valued at ₦53 billion, is nearing completion, with one section already over 90 percent completed and another at about 60 percent completion.

The Minister further disclosed that the Federal Government has included the extension of the road to Akam in the 2026 budget, where the newly approved South-East Army Depot is located.

He added that additional contractors are already working along the Enugu axis and that a new flyover has also been planned at Okposi to improve traffic flow and enhance connectivity in the area.

Nov
27
2023

Road Infrastructure Revolution Nationwide has Started, Courtesy of the Renewed Hope Administration of Mr President. Read to Know Your Role   1. The attention of the Federal Ministry of Works has been drawn to the concerns of the public on the deplorable situations of some sections of the Federal roads throughout the Federation as reported in many media platforms, especially social media, the front page, pages 4,5,6 and 14 of the publication of Sun Newspaper of 26th November, 2023. Most of the sections of the roads frequently reported but definitely not exhaustive are: the Makurdi-Nsukka 9th Mile Road, East West Road, Lagos-Abeokuta Expressway, Benin bypass road, collapsed bridges of Enugu- Port Harcourt road, collapsed bridges of Shandam-Plateau State, Abuja-Kaduna- Zaria-Kano road and Gombe- Bauchi etc.    2. The President of the Federal Republic of Nigeria, His Excellency, Senator Asiwaju Bola Ahmed Tinubu, GCFR is aware of the state of our road infrastructure which he inherited on the 29th day of May 2023. Without prejudice to all the good efforts of the past administration on road infrastructure development which they tackled within the limit of their resources, the work to be done to change the ugly state of our roads is quite enormous.   3.  Mr. President is not complaining of the challenges he inherited in nearly all sectors of the economy, especially as it concerns our road infrastructure, but he is quite courageous as he had promised to tackle the problems head-on which he has started to do not minding the debt burden inherited especially the funding gap of over Six Trillion Naira (₦6T) from most of the inherited on-going road projects.   4. Mr. President has since reeled out plans of commitment, consistence, and innovations towards actualizing a sustainable road infrastructure development throughout the country. He has just approved a 2023 Supplementary budget of Three Hundred Billion Naira (₦300B) for the Ministry of Works comprising of One Hundred Billion Naira (₦100B) for immediate palliative works in 36 States and FCT and Two Hundred Billion Naira (₦200B) for continuation of most of the inherited ongoing projects and very few new but critical road projects.   5. Mr. President has directed that works in those palliative projects must commence before 1st December 2023, while observing all due process. On the sections being frequently complained of by the public in all regions of the North and South of the country, Mr. President has equally isolated them and directed immediate actions on them and indeed work has started on all such roads. The public can crosscheck our claims and report back to us.   6. The engagements of the Federal Ministry of Works will not be limited to these isolated reported cases but shall be holistic in our approach through these approved palliative measures and the interventions of FERMA in all the 36 States and FCT also.   7.  The public is hereby requested to assist the Federal Ministry of Works and FERMA by supervising the contractors that will be engaged in these palliative works and indeed all ongoing projects of the Federal Ministry of Works and FERMA. It is the right of every Nigerian to have value for their money deployed to the road infrastructure sector and therefore must show both interest and passion in all the ongoing projects by the Federal Ministry of Works and FERMA, and indeed all projects of the Federal, State and Local governments. All poorly constructed roads should be photographed and reported immediately to the following contacts: 08030986263, 08037086137, or 08106423197; showing the name of the contractor, the location and type of contract and defects observed. The Federal Ministry of Works will document such reports, verify and take effective action to correct such infractions. The Federal Ministry of Works shall also periodically recognize publicly those who made such reports that are genuine in a public engagement forum to be hosted quarterly by the Federal Ministry of Works and will sanction such erring contractors publicly too.                               8. THE USE OF ASPHALT AND CONCRETE PAVEMENT IN ROAD INFRASTRUCTURE DEVELOPMENT   a. The Federal Ministry of Works is shocked to observe the various acts of darkening counsel without knowledge on the position of the Ministry on the use of asphalt and concrete pavement in the development of our road infrastructure by people who have vowed not to release their hands off the brake of our road infrastructure development just for their selfish gains. b. The Federal Ministry of Works has at no time banned the use of asphalt or directed that concrete pavement shall be the only means of road pavement structure. For the avoidance of doubt, the new policy of the Federal Ministry of Works is simply put as follows: i.    contractors for all the ongoing projects are simply requested to have a choice to continue to use asphalt or have their projects redesigned on concrete at no extra cost to government following the underlisted conditions: ii.    Use of asphalt: contractors shall stick to only 5% Variation on Price (VOP) in line with the signed contract agreement throughout the period of the project and the signed contract shall not be subject to review especially on bituminous items. iii.    The thickness of the asphalt pavement as designed must be strictly adhered to by all such contractors and the design shelf life for the asphalt (at least 15 years) shall be guaranteed by issuing an insurance bond through a reputable insurance company in favour of the Federal Government. This is in line with Article 2 of the signed contract and clause 51 of the general conditions of contract (which is part of the documents forming the signed contract with contractors which authorize the client through the Engineer to change the scope of the work, the quantity of the work, the quality of the work as the client may deem fit at any time etc.) for all the ongoing projects. These directives to the contractors do not in any way violate the Federal Ministry of Works' signed agreement with the contractors. iv.    For the use of concrete, contractors must abide by the 5% VOP and 50 years design shelf life using concrete grade 40. c. Those who are complaining and demarketing this policy are simply those who do not wish Nigeria well and they are the same people that use adulterated bitumen in their projects while putting pressure on our Naira through the importation of adulterated bitumen instead of developing our abundant God given bitumen deposits in Ogun State and other parts of Nigeria. Insofar as this new policy has not violated any law, the Federal Ministry of Works is forging ahead with this new policy.  As at today, most of the ongoing projects are still ongoing with asphalt pavement in line with this new policy while some are redesigned on concrete pavement, depending on the terrain and with full understanding of the affected contractors of those projects.   9. The Federal Ministry of Works is very concerned with the supervision of our projects and effective 1st of December 2023, there will be a revolution in the ways and methods the Federal Ministry of Works supervises her projects nationwide. All concerned are HEREBY put on NOTICE as the Ministry will not spare anyone found culpable in his or her assignment.    10. The Director of Works of the 36 States and FCT and  FERMA have been directed to audit all projects in their States and FCT especially equipment on and off sites with their pictures, personnel of contractors, status of all projects including financial status (contract sum, date of award, period of construction and time table, amount paid, challenges, % of work completion, augmentation of project if any, VOP claims etc). This assignment must be completed before 30th November 2023. Note that this directive was given since the past two months.   11. The Federal Ministry of Works wishes to thank Mr. President for his directive that all inherited projects from the past administration be continued while he makes frantic efforts to source for funds for the completion of these ongoing projects and the critical new ones within his 1st 4 years of his Divine 8 years of purposeful and fruitful divine administration through the power of God who divinely brought him to  leadership at this critical moment of our Nation’s history.   12. On the part of the staff of the Federal Ministry of Works, I pledge to strictly and Godly follow the divine Renewed Hope Agenda of Mr. President, and God willing, we shall continue to support Mr. President and deepen the good efforts of Mr. President in all our road infrastructure development.   Signed: H. E. Sen. (Engr.) Nweze David Umahi, CON, FNSE, FNATE Hon. Minister.   ...

Nov
24
2023

FG is Committed to the Engineering Values in Road Infrastructure Development as Supervision Occupies a Centre Stage in the New Policy of the Federal Ministry of Works   The Federal Government under President Asiwaju Bola Ahmed Tinubu, GCFR is committed to outstanding quality, value for money, innovation, responsiveness, fast deliveries and technical expertise in road infrastructure development in Nigeria. This was contained in the message of the Hon. Minister of Works, Sen. Engr. Nweze David Umahi, CON when the national leadership of Nigerian Society of Engineers (NSE) led by its President, Engr.   Tasiu Sa'ad Gidari Wudil paid him a courtesy call in his office in Abuja on 23rd November, 2023.   The Hon. Minister emphasized the importance attached to quality delivery of construction works by the Renewed Hope administration of Mr. President stressing that the 'business as usual' syndrome in road construction is no longer tenable under the Renewed Hope administration of Mr. President. He reeled out the new policies on road infrastructure to include:   • good stabilized and tested subgrade, sub-base course before pavement placement. • expose subgrade, sub-base and base course to 60 days vehicular movement and continuous sheep-foot rolling before pavement placement. • introduction of reinforced concrete road pavement in most roads’ carriageway and shoulders. • continuous maintenance of all roads under construction throughout the life of the project under contract. • effective design of road infrastructure anchored on detailed report of environmental site conditions and geotechnical report. • community relations in terms of keeping roads motorable under the period of the contract.   He said that supervision was necessary in the actualization of quality delivery of road construction whether concrete pavement or asphalt, noting that each of the two models has its own attendant conditions. “When you start to compare asphalt and concrete, it is if all things are equal, here all things are not equal, there are many factors why we are talking about concrete”.   He noted that the stand of the Ministry is not about comparing asphalt and concrete pavement but that if you are using either of them, there are conditions attached to them. He said there are certain terrains on our roads that make it   imperative for concrete pavement to  be used." You cannot put asphalt in water but you can put concrete in water”.   The Minister explained that the rate of increase in the cost of materials for construction of the two models is alarming  and argued that the cost of materials for  asphalt  is in  geometric progression while the cost of  materials for  concrete pavement  is in arithmetic progression. He reiterated that prudence and value for money are the watchwords of the Ministry of Works under him, and this involves getting materials at the minimum purchase price and maximum efficiency and effectiveness of the product. He urged the leadership of Nigerian Society of Engineers to consider retraining of members of the society and enforcement of discipline and strict standards of ethics in the practice of Engineering in Nigeria in the interest of public safety and for the protection of the economic investments.   " I went to China, and I saw their roads, there was no evidence of any maintenance in nearly 30 years. And I asked them what the reason is, and they said that if you build a road in China and within your lifetime, the road fails, they will come for test and if there is any evidence of compromise, the person responsible goes to prison for life".   The Hon. Minister offered partnership with the NSE in the area of supervision and consultancy.   In his mission statement earlier, the President of Nigerian Society of Engineers ( NSE) said the  aim of the courtesy call was to seek areas of collaboration with their own and described the Hon. Minister as a round beg in a round hole "Since after your assumption of office, we have been monitoring your  progress, and  I must tell you we are not surprised, what you did as Governor in Ebonyi State is amazing. We visited you when you were the Governor of Ebonyi State, and I am going to visit your Governor now. I must go because it is like a pilgrimage.... In fact, Your Excellency, we are proud of you."   The President said that the Society which is an umbrella organization for Engineering profession in Nigeria is committed to best Engineering practices. He enumerated the achievements of the Society and the prospects of their smart office project, and expressed hope that it would be an innovation hub of the nation. ...

Nov
24
2023

Asphalt Pavement and Concrete Pavement not Compared - Umahi.   .....We will Partner with NSE   The Minister of Works, Sen. Nweze David Umahi has reiterated the stand of the Ministry on the use of either asphalt or concrete on the construction of federal roads across the nation saying that each one has conditions attached to its usage.   He made this assertion when the President of the Nigeria Society of Engineer, Engr. Tasiu Sa’ad Gidari Wudil paid him a courtesy visit in his office in Abuja.   Umahi stated that there are many factors why the issue of concrete technology came up and it’s only because all things are not equal and can only be understood by professionals and not by people who have no knowledge about it.   “When you start to compare Asphalt and Concrete, it is as if all things are equal, here all things are not equal, because there are many factors why we are emphasizing about the use of concrete, nevertheless, people speak about  a profession they have no knowledge about” He said.   He noted that the stand of the Ministry is not about comparing asphalt pavement and concrete pavement but that if you are using either of them, there are certain conditions according to the terrains in different states that will require our roads being built with concrete as well as that concrete must be used as pavement.   “We are not just comparing asphalt and concrete, no, that is not what we are doing, first of all, for the use of asphalt, these are the conditions, also for the use of concrete, these are the conditions, but there are certain terrain in states that we stressed must use concrete, we cannot change that.  You cannot put asphalt in water, but you can put concrete into water” he said.   The Minister explained that the rate at which the prices of these two products fluctuates is alarming and that increment in asphalt is Geometric while that of concrete is in Arithmetic progression noting that the FG is the one funding these huge projects and must tread with caution taking into consideration the budgetary allocation of the Ministry of Works.   Umahi expressed his worries saying that the greatest challenge experienced in road construction is the problem of supervision caused by lack of commitment by not putting professional ethics over and above chasing of money but that the Ministry is committed to providing adequate supervision to all road constructions across the 36 states and the FCT.    "If we are committed to public things, God will give you new ideas, if you are not committed to public things, you will not get new ideas “he said.   The Minister declared that the Ministry will partner with the Nigeria Society of Engineers in the supervision of all road projects across the country and encouraged NSE to improve on the professionalism by opening a training school, both in the North and  in the South one each, while he  pledged his support.   “We are going to partner with NSE in the supervision of all road projects and will also   emphasis the need for retraining schools across states. Engineering is wide, if you are a professional engineer, you will not have problem with professional ethics” he said.   Umahi maintained that the first job of Nigeria Society of Engineer is to bring discipline among members by setting standard for membership in the sense that if any action against the profession is committed, one can be disrobed noting that everyone cannot be an engineer.   “The first job of NSE is to bring discipline, you have to bring us under your leadership so if you hear that a member has committed fraud, you can disrobe him, and it is not everyone that will answer the name -Engineer” he said. ...

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Nov
03
2025

  


OTHER NEWS

Jan
14
2020

My Candid Opinion Of Ministry Of Works And Housing In 2019

The year 2019 was a remarkable one for Federal Ministry of Works and Housing. During this year, Babatunde Raji Fashola SAN, was reappointed as the Minister For Works and Housing by the President Muhammadu Buhari after demerging the Ministry which in his first tenure included the Ministry for Power. No sooner had he resumed, he swung into action. This culminated into impressive accomplishments in terms of construction, rehabilitation, repair and maintenance of roads and bridges.

Among these accomplishments recorded in 2019 are the ongoing   reconstruction works on major bridges, arterial roads and rehabilitation, which includes:

* Emergency Repairs of Existing Niger Bridge at Onitsha/Asaba; Owerri Dual Carriageway (close to Madonna) in Anambra State ; Construction of Ojutu Bridge on Erinle River, Ilobu,. Osun State.
* Emergency Repairs of Failed Section of Ijora - Apapa Flyover and Approach Road by Leventis in Lagos
* Reconstruction of Ohan & Moro bridges in Ilorin - Igbeti Road
* Emergency Repairs of Washout at Kwaita Bridge along Abuja - Lokoja Expressway
* Reconstruction of 3No. Insurgent damaged Bridges in the North East

In addition, another feat achieved by the ministry is the collaboration with the Federal Government in the expansive spending on Federal projects across the nation, which has not left any state in Nigeria today without a Federal Government visible road project. Recently , officials of the Ministry  works ,  took a tour the erosion control project at the Ekpoma stretch of the dual carriageway from Obajana to Benin City.

It is also pertinent to note that the Ministry of Works and Housing with its critical stakeholders ;  the  Federal Road Safety Corps (FRSC), Federal Road Maintenance Agency (FERMA) and some road contractors handling national projects,  in  one of the organizational sublime strides, prepared a document which contained the action plan to fix failed portions of federal highways and arterial roads in respect to the recently celebrated yuletide. The document contained 123 roads billed for rehabilitation or already undergoing repairs.

These rehabilitation projects cut across the 6 geo-political zones of the country. Among the roads billed for rehabilitation  were the Abuja-Kaduna road at Km 4,5,15,16,18 and 30, Gombe-Biu, Wukari-Benue, Benin-Asaba, Benin-Sapele, Ibadan-Ogbomosho, Onitsha-Owerri dual carriage way to mention but a few.

In the Housing sector, the Ministry brought to the fore, the Pilot National Housing Programme. This has led to a nationwide Housing construction currently at various completion stages in 34 states of the Federation.

In addition, 1000 certificates of occupancy in respect of Federal Government landed properties nationwide were approved and signed and  the beneficiaries were duly informed in four national newspapers; Thisday, Leadership, Nation and Daily Trust.

The Ministry is not resting on its oars in terms of effective delivery of its duties and mandates to the states as well as accountability to the people of Nigeria.

Okere Grace Onyinyechi
IT Student with Federal Ministry of Works and Housing

Speeches

Oct
10
2017

Remarks By Babatunde Raji Fashola, SAN At The 20th Monthly Power Sector Operators Meeting Held In Owerri, Imo State

Once again it is my pleasure to chair this monthly meeting to review the progress we have made from our last monthly meeting in Lagos in September, and to collectively engage the challenges that lie ahead in our roadmap to incremental, stable and uninterrupted power.

At our meeting in September, we received reports of:
a.    The successful connection of power to Magboro, Ibafo and neighbouring communities in Ogun state who had not been connected for about 10 years.
b.    Provision of more meters to customers in Ijeshatedo, particularly on Ajijedidun Street, Adamolekun Street and Abiola Alao Streets where 196 out of 244 customers had been metered.
c.    We also got reports of the progress that has been made to restore power to 16 out of 36 communities in Ondo North (Akoko Communities) and the challenges in Okitipupa.

Another other piece of information that is worth sharing is the conviction of one Okechukwu Anoke by the Federal High Court Abakaliki and sentencing him to 3 years’ imprisonment for tampering with electricity fittings.

We welcome this judicial support to stop corruption in the power sector, enforce the law and promote liquidity in the sector. This comes on the heels of similar support from no less an office than that of the Chief Justice of Nigeria who has issued practice directions for the full enforcement of Arbitration clauses in power contracts so as to take such cases out of the tedium of regular trial and place them in the hands of commercially sensitive adjudicators.

On behalf of the entire sector we welcome the intervention in the Court of Appeal in the case involving the tariff review.

The order of the Trial Court which declared the tariff setting process illegal has been reversed and the case is now to be tried afresh.

Before I leave the issue of the critical role of the judiciary and law enforcement in the power sector, let me point out that the efficacy of the practice directions issued by the CJN for the strict enforcement of Arbitration clauses does not rest with the Judicial officers alone.

The Nigerian Bar Association has a pivotal role to play in ensuring that Arbitration clauses are enforced. This is because it is often the Lawyers, not the clients, that file and initiate processes that invoke the jurisdiction of the Court.

It seems to me that there might be something that potentially crosses the line of ethics which should arouse the interest of the Bar Association if one of its members fails to avail a client of his rights under an Arbitration agreement.

That said, I will proceed to inform members that in the last month, we have recovered 100MW from the damaged Afam IV Power Plant which was inoperative since January 2015.

Similarly, TCN has energized the Jebba-Kainji 2nd 330KV line and the 2nd Ajaokuta-Abuja 330KV line both of which were inoperative since 2015.

In the last month also, specifically on Wednesday 4th October 2017, the Federal Executive Council approved the verified sum of Federal Government MDA debts of N25.9Billion, and its payment by setting it off against the debts owed by the DisCos to NBET.

You will be receiving official communication of how these have been applied to reduce debts owed by DisCos to NBET.

We are also making promising progress in recovering debts due from international Customers and you will be notified of how much has been received when the appropriate accounts confirm that they have received value for the credits we have been notified of.

It is against this background that I now move to the challenges which we still have to overcome; the more pressing of which is how the DisCos can quickly increase their capacity to take power and distribute to the consumers.

I think that this is the issue that is captured in your letter of 27th September 2017 titled, ‘Federal Government of Nigeria’s Initiatives in the Electricity Sector and the Impact on Electricity Distribution Company Activities,’ which was addressed to NERC and copied to me.

Let me commend DisCos for the decision to channel their complaints to NERC by a jointly signed letter. This is a welcome departure from the previous order and it is to be encouraged.

The substance of Government initiatives which prompted that letter can be summarised as follows:

a.    Provision of meters to consumers through licensing of meter suppliers
b.    Provision of more power to consumers through licensing of eligible customers
c.    Provision of Independent dedicated Power to Universities
d.    Promotion of the deployment of more solar power through mini-grids
e.    Expansion of the Distribution Network of the DisCos so that they can take about additional 2,000 MW of power now available for supply

Without a doubt, the initiatives are targeted at improving service to the people. In your letter under reference copied to me, you expressed concerns about the impact of these initiatives on your businesses.

It is not my understanding that you oppose them, which is commendable.

It is my understanding that you fear that you will lose some income or some customers if Government proceeds; and on the question of meters, you seek to have technical compatibility with what the licencee will operate.

 In respect of possible investment in Distribution equipment you seek that Government should route the investment through the DisCos.

Understandably you are concerned about investment recovery and in your views, the solution is a tariff review.

While your concerns about business viability, financial stability and cost recovery are well understood and indeed supported by the Electric Power Sector Perform Act of 2005 (EPSRA) which Government will respect; I must point out that Government’s focus is also strong on the issue of service to the people.

There must be a balance somewhere in the middle.

As far as the promotion of solar and other sources of independent power are concerned, please note that not only are they supported by the ESPRA, they are consistent with our Paris Climate Change Agreement Obligations and with emerging global practice.

DisCos have nothing to fear about solar. It is a space in which they are entitled to play but in which they cannot exclude others from playing.

The ESPRA did not contemplate a monopoly for any licensee unless it is expressly stated in the license.

As for channelling investment into Distribution assets through the DisCos, Government has not yet taken a position on what the best way forward will be.

However, Government is clear that a solution must be found quickly to the inability of DisCos to take about 2000 MW of power that will imminently increase as we get more incremental power.

But the point that must be made is for all of us to remember that, Government is a 40% shareholder of the DisCos (on behalf of the Federal, State, Local Governments and Workers) and therefore has a self-benefitting interest in the wellbeing and efficiency of the DisCos.  

Most importantly, the concerns contained in the letter under reference can and will be managed through consultations  which NERC has been undertaking to my knowledge. Consultations will help to build consensus about how best to serve customers, instead of festering gulfs of Disagreement.

At this preliminary stage therefore, you letter and concerns focus first on the business, while the Government initiatives focus more on service.

Consensus should give us both; the service and the business.

Still on the matter of DisCos, my attention has been brought to the fact that Yola DisCo has not been actively participating in the affairs of your association.

My position about your right and freedom to associate has been publicly stated and so is the right of the Government to associate or dissociate with you by lack of recognition or grant of recognition.

Because rights are not absolute and because they impose duties, all I need say is that we must respect the right of Yola DisCo to also choose whether it wants to associate or not. That is a duty we all have if we must enjoy the freedom and right to associate.

I will also want to report the successful holding of our National Council on Power, the 3rd in the series hosted by Plateau State who used the opportunity to present Rural Electrification Road Map to all of us.

I will like to thank Governor Simon Lalong for hosting us , and all of you for participating and urge that you follow up with the State Governments to assist you in enforcing the law against energy theft, right of way protection, metering of state government offices and buildings, the verification and  prompt settlement of bills.

Finally, I would like to refocus our attention to the order signed by the NERC which reduced the timeline for making (New) Electricity connections from 145 days to 40 days.

While DisCos are also expected to comply and file reports of compliance to NERC and copied to my office, the Presidential Enabling Business Environment Council (PEBEC) has advised that the focal DisCos that will affect Nigeria’s ease of doing business rating will be Lagos, Ikeja, Kano and Kaduna because of the sample size that the population they serve represent.

Thank you for your attention.

Babatunde Raji Fashola, SAN
Honourable Minister of Power, Works and Housing

Monday 9th October 2017

 

 

 

PHOTO NEWS

Jun
02
2025

DRIVING NIGERIA’S FUTURE: CELEBRATING TWO YEARS OF TRANSFORMATIVE LEADERSHIP AND THE LAGOS-CALABAR COASTAL HIGHWAY MILESTONE

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PHOTO NEWS

Apr
28
2025

MID -TERM REVIEW MEETING ON THE IMPLIMENTATION OF THE DECISIONS REACHED AT THE 29TH NATIONAL COUNCIL ON WORKS (NCW) DAY 1

MID -TERM REVIEW MEETING ON THE IMPLIMENTATION OF THE DECISIONS REACHED AT THE 29TH NATIONAL COUNCIL ON WORKS (NCW) DAY 1

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