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Home Latest News

Nigeria Okays $61.5m, N16.133Bn for Power Sub-stations’ Contracts

Ogochukwu Isioma by Ogochukwu Isioma
March 1, 2023
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*File photo: President Muhammadu Buhari

*File photo: President Muhammadu Buhari

The Federal Executive Council (FEC) has approved the sum of $61.5 million and another N16.133 billion for the Ministry of Power to procure transmission line materials and award contracts for sub-stations in parts of the country.

Minister of Power, Abubakar Aliyu, disclosed this while briefing correspondents at the end of the council meeting presided over by Vice President Yemi Osinbajo, at Presidential Villa, Abuja on Wednesday.

He said that $6 million dollars and the onshore component of N145 million inclusive of all the taxes were for the procurement of transmission line materials for reconductoring works for the Transmission Company of Nigeria (TCN).

According to him, another approval was sought and given in respect of the award of contract for the construction of a 15-kilometre turn-in, turn-out line of the existing Akure-Ado-Ekiti 132 single-circuit transmission line at Akure 330, 132, 33 sub-stations of TCN at the cost of $2.5 million with an onshore component of N988.5 million.

Aliyu stated: “I presented three memos to the council today (Wednesday) and I got approval for the three memos.

“The first memo sought the council’s approval for the procurement of transmission line materials for reconductoring works for the Transmission Company of Nigeria (TCN) in favour of Messrs Legacy Power in the sum of six million dollars; that’s the offshore value. The component for the onshore is N145 million inclusive of all the taxes and 12 months of completion.

“The second memo seeks the council’s approval for the award of contract for the construction of a 15-kilometre turn-in, turn-out line of the existing Akure-Ado-Ekiti 132 single-circuit transmission line at Akure 330, 132, 33 sub-station Transmission Company of Nigeria in favour of Messrs Legacy Power Limited in the sum of 2.5 million dollars; that’s the offshore component; the onshore component is N988.5 million.

“The sub-station in Akure, which has been completed over two years ago, is a 330 sub-station and we could not energise that sub-station of lack of line, the line is supposed to come from Benin which is a new line under construction.

“I have spoken to this project here several times; the project has a problem of the right way which we are dealing with gradually and the line is supposed to energise the Akure sub-station which was completed over two years ago.

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“The line is coming from Benin North to Oshogbo which will pass and energise the Akure sub-station. So, this project is 132 lines from the Akure sub-station going to Akure-Ado-Ekiti which is simultaneously going on with the Benin North-Akure line.

“By the time we are able to energise the Akure line, this project would have been completed so that the whole area will have no problem with electricity.

“This project will be completed in 12 months and was also approved by the council.”

The minister added: “The last memo which has five projects on it sought to design, supply and install 132 32kv sub-station and transmission lines across different locations in the country for TCN in favour of several contractors in the total 53 million dollars; this is offshore; then the onshore is N15.6billion.

“The projects are all similar—design, supply and install 2 by 60MVA 132 33kV transmission sub-station across the country as I stated earlier.

“We have one in Misau Local Government Area, Bauchi state, we have another one in Mashi Local Government in Katsina state; we have the third one in Benue state, which is Api and North bank in Makurdi; then we have the fourth one which at Ebonyi state I by 60MVA transformer at a university in Ebonyi state; then, we have the other one at Ebonyi Airport; then, the fifth one is a line of 30 kilometres at Rimin Zakara to Kayin in Kano.

“So, these are the various projects that constitute the various amount—offshore of 53 million dollars and the onshore component of N15.6 billion.”

FEC has also approved the ratification of the African Union Convention on Cross-Border Cooperation.

The Minister of State, Foreign Affairs, Ambassador Zubairu Dada, disclosed this in his remarks to correspondents after the meeting, saying that the Convention was initiated by the Federal Government of Nigeria during the conference of African Ministers in charge of borders on 29th May 2012 in Niamey, Niger Republic and adopted in Malabo Equatorial Guinea in 2014 and signed on the 29th January 2017.

He said: “The Ministry of Foreign Affairs presented a memo to Council on the African Union Convention on Cross Border Cooperation, which is better known as the Niamey Convention. This Convention was initiated by the Federal Government of Nigeria during the conference of African ministers in charge of borders on the 29th of May 2012 in Niamey, Niger Republic and adopted in Malabo Equatorial Guinea in 2014.

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“That simply explains why it is referred to as the Niamey Convention. As I said, Nigeria initiated and spearheaded the drafting of the Convention. Subsequently, Nigeria signed the Convention on the 29th of January, 2017. What we simply did today was to present the Convention to the Council for its approval and ratification by the president.

“The Convention aims to simply promote cross-border cooperation at local, sub-regional and regional levels. This simply talks to our government’s foreign policy, which emphasizes on good neighbourliness; in other words, making good efforts to ensure that we live in peace with our immediate neighbours.

“This Convention equally intends to facilitate the delimitation, demarcation and reaffirmation of inter-state borders in conformity with mechanisms that have been agreed upon by the parties to this Convention. This Convention is aimed at facilitating the peaceful resolution of border disputes between member states.

“It is also intended to promote peace and stability through the prevention of conflicts, the integration of the continent and the deepening of unity amongst member states. Equally very important is the fact that it provides an opportunity to share intelligence between us and our neighbours. It also provides a mechanism for the promotion of economic integration of the continent and cross-border cooperation that will help trade facilitation and promote the African Continental Free Trade Agreement which has just come into effect in the entire continent.

“It is our hope that this convention will enable Nigeria to harmonize activities at its numerous borders because we have very large borders as you are aware between us and our neighbours such that will enable us to achieve an integrated border management system.”

According to him, “This is precisely what this convention intends to achieve. As I said we did sign this since the convention on the 29th of January 2017. All we are doing now is seeking its ratification. Some other African countries have already signed on to it and have also ratified it. All we are doing is to give leadership to Africa by ensuring that we also ratify it so that it will come into effect.”

*(Courtesy; Tribune Newspaper)

Tags: FecNigeriaPower deal
Ogochukwu Isioma

Ogochukwu Isioma

Ogochukwu Isioma is a Bachelor's degree holder in Linguistics (Hons) from the University of Benin, and a Master's student in International Affairs and Diplomacy at the Amadu Bello University, Zaria. With over half a decade-long active journalism practice, Ogochukwu is the Founder and Publisher of popular education-focused online medium, CAMPUS GIST, and currently writes for METROWATCH. He can be reached via ogochukwuisioma@gmail.com.

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