The Honourable Minister of Works Engr. Nweze David Umahi, in adherence to the avowed commitment of the President Asiwaju Bola Ahmed Tinubu towards road infrastructure revolution, has inaugurated three committees to fast-track the implementation of the Highway Development and Management Initiative (HDMI).
The programme which is a Public Private Partnership ( PPP) arrangement in the construction, operations and maintenance of highways, is designed in such a way and manner that the emergent concessionaires will recoup their investments through toll and non- toll revenues as may be negotiated.
Speaking during the event, the Honourable Minister of Works harped on the need for the committees to work effectively and concertedly bearing in mind the expectations of Nigerians, in terms of transparency, standard and efficiency in contract negotiations. He noted that contract with some concessionaires had been consumated, but said that the current economic dynamics and the new policy direction of the present administration would require a review of the scope of work and cost implication.
He charged the concessionaires to abide by the criteria set and the time line for the projects.
“We own the design, you will own the cost of the project while we carry out verification on the cost of the projects; the idea is to scope the projects. We want to have a standard road infrastructure to toll. Our business is to ensure that your design conforms with the Ministry’s standard of design, that is why we are making the Director of Roads and Bridges of the Ministry to be the Chairman of the committee on Scoping and Design. We don’t want to do just a patch on the road and give it to the public for you to toll. The public will resist. We want to have a standard road to toll”
He said “ we have to provide alternative road because by law you cannot toll road if there is no alternative route to it . It is very important that every of the projects must have alternative routes.
The number of toll gates and toll stations will be determined by Infrastructure Concession Regulatory Commission ( ICRC). We also have to put CCTV Camera , Solar Light and Security on our roads. Whatever that will make our roads safer is very important to us. All these must be considered part of the business”
The three committees set up by the Hon. Minister for the actualization of the Federal Government’s HDMI programme are: Scoping and Design, Financial Due Diligence and Agreement Review.
While constituting the Due Diligence Committee, the Hon. Minister said “ We must have a figure to begin to work with under Due Diligence committee, we want to hand over all these sites to people who are serious by the end of March 2024. Enough of these meetings, enough of the bureaucracy “
Sen. Umahi said of the Agreement commitee, “I have given a template on how to review agreement and I think the legal department can do this on their own “
He told the concessionaires of the consequence of not meeting up with the rules of engagement. “I must say that in case timelines were set and any company couldn’t meet up with the timelines, we may not continue processing anything with that company”
Sen. Umahi further stated, “in all our biddings in 2024 going forward , every cost element must be disaggregated. The procurement law has set up profit for the contractors. We will verify the cost in respect of concessionaires. We have to ensure that the cost you are putting will do the job. We don’t want you to engage and come back and say there is inflation after we engage you on the project . We have to ensure that concessionaires have all what it takes to do the job. The Ministry of Works and the concessionaires must ensure that we are on the same page so that the citizens will not suffer. Patriotism demands that we must not allow the citizens to suffer. We have to be realistic and honest. We don’t have all the money as government to do these jobs”.
The Hon. Minister however, expressed happiness for the progress made by 9 concessionaires in finalizing their designs and documentation to achieve a financial close by the first quarter of 2024 and charged them to diligently work with the Ministry’s committees for the final processes.
Earlier, speaking on behalf of the Permanent Secretary at the meeting, the Director Highways and Bridges, Engr Awosanya Onatuga said the Directors and the concessionaires were ready to work concertedly to move HMDI project forward. He remarked, “the contract has been consummated but there are certain dynamics that will necessitate a review of the scope of work that will dovetail into the cost of each project, and the Hon. Minister is desirous to fast-track this process, so that the second phase can take off”
.){kind=link}