Posted on May 22, 2023
The Federal Executive Council (FEC) on Wednesday approved the sum of $4.713 billion for the development of port projects in Delta, Lagos, and Ondo States.
The Minister of State for Transportation, Prince Ademola Adegoroye, disclosed this to State House correspondents after the weekly FEC meeting presided over by President Muhammadu Buhari at the Presidential Villa, Abuja.
The Minister of State for Power, Mr. Jerry Agba, was also at the briefing.
He said the council approved the development of Ondo Multi-Purpose Port in Ilaje, Snake Island in Lagos, and Burutu in Delta State.
The projects, according to him, will be executed through Public-Private Partnership (PPP) arrangements at no cost to the Federal Government.
The minister added the projects would be financed and operated by private firms for 45 to 50 years.
Adegoroye said: “The Ondo port will cost the private developers the sum of $1,480,465,253 and will be concessioned for a period of 50 years
“The accruals to the concessionaire and the Federal Government are expected to be $50 billion and $ 2.6 billion respectively.
”The Burutu port will cost $1,285,005,818; concessioned for 40 years with the concessionaire and the Federal Government expected to reap $125 billion and $9 billion respectively.
“The Snake Island Port will gulp $974,185,203 and be concessioned for 45 years with the concessionaire and the Federal Government receiving $18 billion and $5.23 billion, respectively in accruals within the period.”
On his part, Agba said the council approved N140 million as an argumentation for the procurement of 33 KV circuit breakers and 120 numbers of surge arrestors for systems used by the Transmission Company of Nigeria (TCN).
He said: “You know, we are bent on providing improved services of electricity to Nigerians.
“TCN is the main body that has to do the transmission. You know generation and distribution are in private hands now so government is only responsible for transmission.
“So, most of the equipment have become obsolete over the years which is why you have break in transmissions, low power supplies, and outages here and there.
”With these refurbishments and new procurements, we should be able to improve services and see the power supply get better by the day.”