Projects: Niger Delta Ministry owes contractors N50bn -Minister

Abubakar Momoh

Minister of Niger Delta Affairs, Engr. Abubakar Momoh, on Thursday, disclosed that the ministry is owing contractors over N50 billion from projects executed, ongoing and abandoned ones.

Defending the 2024 budget estimates of his ministry before the National Assembly Joint Committee on Niger Delta Development Commission, NDDC, he lamented that the budget allocation to the ministry was meagre to for its mandate.

According to him, many functions of the ministry are being performed by other agencies, saying that an amnesty programme which deals with disarmament is now carrying out programmes of development and empowerment.

“There are a lot of programmes going on in the Niger Delta which ordinary should be done by the ministry,” he said, adding that for the 2023 budget performance, their budget estimate was N14.5 billion but that even though N11 billion was later approved, only N4.2 billion was released which according to him, is too small to even embarked on a road project.

“A total of 14.5 billion was the estimate including capital, recurrent and overheads but what came to the ministry was just N4.2 billion out of the N11 billion that was approved. The 2023 budget performance is put at 37 percent.

“The N14 billion budget estimate is meagre to meet the requirements of the ministry. How many kilometers of road can N4 billion construct?

“We have a lot of abandoned projects. We have a lot of completed projects. Those that have been awarded and have not been paid are worth over N50 billion.

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“Since I took over, I’ve gotten over 2000 requests from people asking for training in the Niger Delta. If I have the required resources, be assured that I will do a lot,” the minister stressed.

Momoh said he was not aware whether the president is aware of the N50 billion debt in his ministry because, according to him, he has not had the opportunity of discussing the issue with the president but that the ministry of finance is aware of the debt.

In his remarks, the chairman of the joint committee, Senator Babajide Ipinsagba, said they must do everything to ensure that the people that are being owed are settled since most of them collected loans to do the projects.

Ipinsagba said the problem is the cash plan, adding that, “If a contractor completed his job, it is expected that once the Minister approves you should get your money in two weeks.”

“But you have to upload the approval and another person will determine if there is money to pay for the job done,” he said.

Also, the co-chairman of the joint committee, Hon. Ugonna Ozurigbo, said the minister should look at projects he can complete and commission and not embark on projects that would later be abandoned.