Contractors’ inability to access funds delays completion of Ogbese dam – Commission

Mr Ola Tijani, the Head, Monitoring and Evaluation Directorate of the commission, said this on Monday in Ogbese, Ekiti State, when the Commission visited the site of the dam.
The visit is part of the commission’s physical verification of Federal Government projects in the South-West.
Tijani, who represented the acting Chairman, FRC, Mr Victor Muruako, described as unacceptable, the contractor’s inability to access funds released for the purpose of completing the project.
“In 2012, N10 million was appropriated and released for this project by the Federal Government and Foundation Solid Nigeria did not access it.
“It also failed to access the N100 million released for it in 2013.
“This is very disturbing because it simply means that the contractor is not meeting the requirements set to enable it access funds.
“This will delay the work and add to the cost of the project,’’ he said.
Tijani advised the contractor to demonstrate more capability in executing the project so that the commission could appeal for quick release of funds to speed up the dam’s completion.
He also expressed the need for the Federal Ministry of Agriculture and Water Resources, the client ministry, and the contractor to meet and agree on a feasible completion period.
Tijani explained that it would help the Budget Office to ascertain the amount that that should be appropriated for the project yearly to ensure completion of the dam.
Mr Maina Nkeki, the Project Manager, Foundation Solid Nigeria, said the funds could not be accessed because the company’s Advance Payment Guarantee with its bank had expired.
He said that the company had renewed it and was able to access N100 million out of the N200 million released for the project in 2014.
Nkeki said the project was awarded in 2009 for N5.5 billion but was later revised to N7.8 billion in 2011.
According to him, with the revised contract, the dam is expected to provide water for the community, as well as hydropower, irrigation, fishery development, recreational facilities and other aqua cultural activities.
Nkeki said that in spite of the huge sum, only about N2 billion had been released for the project resulting in only 30.32 per cent completion of the project.
He urged the FRC team to do its best to encourage government to provide funds on time to ensure speedy completion of the project. (NAN)