S’East rail project to cost $12bn as leaders meet Buhari

…Want President to approve 50% payment to Julius Berger for 2n Niger Bridge
…All projects in S’East’ll be fully funded, Buhari assures
The leaders of the South East geo-political zone have disclosed that the rail project awarded by President Muhammadu Buhari-led administration in the region will cost $12 billion.

This is even as President Buhari has assured that all ongoing Federal projects in the South East will be funded, saying that the seven-month delay in passing this year’s budget will not serve as an excuse.

The leaders also appealed to Buhari to approve a fifty percent payment to the contractors handling the construction of the second Niger Bridge – Julius Berger Nigeria Plc, in order to speed up the execution of the project.

Speaking with State House correspondents on Wednesday after a closed door meeting with the President at the Presidential Villa, Abuja, Ebonyi State Governor and Chairman of the South East Governors Forum, David Umahi, who led the delegation, said that they came to thank the President on behalf of the people for the ongoing projects he awarded in the zone.

Governor Dave Umahi of Ebonyi State said they had come specifically to thank the President for the award of the contract for the major component of the second Niger Bridge at the cost of N206 billion.

‘‘The project is the dream of our people and it has become a dream come true. Our people said we must come and thank you. Your Excellency, Mr. President we are grateful Sir,’’ he said.

Thereafter, Governor Umahi while enumerating some challenges confronting the Governors to the President said: ‘‘Out of mutual respect, we have come to you as a caring leader to listen to us.’’

The delegation included Deputy Senate President, Ike Ekweremadu, Enugu State governor, Ifeanyi Ugwuanyi, Abia State governor, Okezie Ipkeazu, and Deputy Governor of Anambra State, Dr. Nkem Okeke, amongst others.

Umahi said: “We came to thank Mr. President on behalf of South East for the award of the second Niger Bridge to Julius Berger at the sum of N206 billion.

“We understand that N7 billion has been paid as mobilisation, so we came to ask Mr. President if there is the possibility of paying up to 50 percent of the sum and secure the other 50 percent as bond so that we can sleep with our two eyes closed and be assured that the job will not be abandoned.”

The leaders also requested that that the construction period for the bridge be reduced from 42 months to 24 months, adding, “We made it clear to Julius Berger that it is achievable.

“We are also asking for economic free trade zone in Enyimba in Abia and he promised to come and commission it, the licence has been given. We also thanked him for that economic free trade zone,” he added.

Speaking further, the leaders said that they also discussed with the President about the Enugu International Airport.

“We asked him to deploy the cargo section of the airport, complete the building and extend the runway and also rebuild the runway because it is very bumpy and the tarmac light is not functioning.

“We also thank him for the roads and we reminded him that the slow pace of work was attributed to the rains, now that the rains are gone, the contractors are complaining of no funding. So we requested that he should do something about the funding.

“Of course, we talked about the Geometric Power plant in Aba to assist in resolving whatever the issues are so that power will be deployed to the industrial clusters in Aba and environs.

“We reminded him that the Enugu State government has done quite a lot on the issue of relocating major infrastructure that has been obstructing smooth operations of lives. We requested that he should take over the compensations of the affected lands.

“And of course the issue of gas distribution should be linked to the five eastern states to the industrial clusters, so as to boost economic activities.

“The railway of course, we complained that the western corridor is going on and the eastern corridor has not been awarded. And the eastern corridor goes through Port Harcourt, Aba, Ebonyi, Enugu, and Maiduguri.

We requested that the contract should be awarded so that we can benefit from that project,” Umahi said.

When asked if the demand was not a bargaining chip for 2019 general election, the leaders said “it has no political intentions because these are economic issues and they are not new”.

On whether the President solicited the support of the South East for his second term bid in 2019, the leader of the delegation said: “There was no political discussion.”

Governor Umahi said “the President has assured us that he is going to look into the issues and of course in the railway, we were given a cheering news that not only that the railway will be awarded that it will touch all states capitals in South East and it will also touch most of other state capitals as it moves from South East to Maiduguri.

There will also be a port that will be added to it and it will cost about $12 billion. He said they are yet to bring it to federal executive council meeting, so they intend to do so.

And of course with the borrowing plan being approved by the Senate, they are going to fast-track the issue of construction in the South East.”

Meanwhile, President Muhammadu Buhari has assured that all ongoing Federal projects in the South East will be funded, saying that the seven-month delay in passing this year’s budget will not serve as an excuse.

Speaking at a meeting with South-East Governors and Deputy Senate President, Ike Ekweremadu, on Wednesday, at State House, President Buhari pledged that the Federal government will sustain the support to the South-East in terms of infrastructure.

‘‘I assure you that we are doing our best and will not default on the agreements signed on ongoing projects,’’ the President told the delegation led by Deputy Senate President Ekweremadu.

President Buhari explained that part of the noticeable problem in the delay in the execution of the capital projects was caused by the budget hold-up.

‘‘When you sign, and you don’t pay, they (contractors) can legally jerk up their costs. This is part of the problem.

‘‘The infrastructure budget is a deficit budget. The borrowing plan was only approved three weeks ago and all ministers and departments of government have been instructed to forge ahead. We must not find excuses for delaying the projects.

‘‘Developing infrastructure is the best thing we can do. When the roads are okay, the rails are established and there is power, Nigerians will flourish in their businesses,’’ he said.

Buhari, who was accompanied to the meeting by the Secretary to the Government, Boss Mustapha, the Minister of Science and Technology, Dr. Ogbonnaya Onu, the Minister of Industry, Trade and Investment, Dr. Okechukwu Enelemah,

the Minister of Labour and Employment, Senator Chris Ngige, the Minister of Transportation, Rotimi Amaechi and that of Power, Works and Housing, Babatunde Fashola, responded from point to point on all the issues raised by the Governors, to their satisfaction.

On the undulating surface of the Akanu Ibiam International Airport, Enugu, the President assured that it will be addressed in the new budget.

He also spoke of government’s serious interest in the new Port-Harcourt-Maiduguri standard gauge railway which transverses several states including those in the South East.

The Minister of Transportation gave assurance that this project, the single most costly rail project at USD 12 billion, will soon be coming to the Federal Executive Council (FEC).

The Ministers were directed to follow up with the private sector on key projects in the region, including the South East Dry Port and the Geometric Power Plant in Aba, with a view to untangling the problems causing their delayed take-off.