2018 Budget: Why we cut 4,700 projects —NASS

The National Assembly said it made cuts to 4,700 projects amounting to N347 billion to support the generation of employment for youths by Micro, Small and Medium Scale Enterprises (MSMEs).

It said the reductions were made from low priority areas to higher priority areas.

The disclosure was made in a joint press briefing by the Chairman, Senate Committee on Media and Publicity, Sen. Aliyu Sabi Abdullahi and Chairman, House Committee on Media and Public Affairs, Hon. Abdulrazak Namdas, on behalf of the National Assembly in Abuja on Friday.

Recall that President Muhammadu Buhari, while addressing Nigerians after signing the 2018 Budget into law on Wednesday, had raised concerns over the removal of critical projects in the 2018 Budget passed by the National Assembly, pointing out that about 6,403 fresh projects worth N578 billion were introduced into the budget “without any discussion with the Executive.”

According to the lawmakers, the decision to reduce the funds in some areas was in order to ensure balance and equity in the spread and utilization of national funds.

It, however, stated that the figures given of the reductions were unduly exaggerated, stressing that it did not make any substantial reduction on any project to the extent of affecting its implementation.

The National Assembly said the need for the inclusion was informed by the provisions of the constitution, stressing that it was done to ensure the promotion of the principles of Federal Character.

“Adjustments and reductions in the locations, costs and number of projects approved were made in order to address geo-political imbalances that came with the Executive proposal,” it said.

Read also: FOR THE RECORDS… Approved Appropriation Bill for 2018 Budget

It further stated that the N14.5 billion increment in its budget was due to the high costs of frequent public hearings held on almost a daily basis and “intense” oversight to check the Executive.

“The N139.5 billion of the National Assembly represents less than 1.5 percent of the entire N9 trillion budget. Does it not make sense to use 1.5 percent to protect the other 98.5 percent?” It said.

The National Assembly noted that all it has done was within its powers and inline with the provisions of Sections 4, 80 and 81 of the Nigerian constitution.

On the delay in budget passage, the assembly said the Heads of Ministries, Departments and Agencies (MDAs) of the Federal Government had to be compelled to appear before the committees of the National Assembly to defend their respective budget, even after more than five months the budget was submitted.

The lawmakers said the reduction of the counterpart funding for the Mambilla Power Plant, Second Niger Bridge/Ancillary roads, the East-West Road, Bonny-Bodo Road, Lagos-Ibadan Express Road and Itakpe-Ajaokuta Rail Project would not negatively affect their implementation.

According to them, the funding was reduced by N3,956,400,290, representing 1.78 % of the total N222,569,335,924 submitted by President Buhari, saying the amount contradicts the claim that the projects lost “an aggregate of N11.5 billion.”

While reeling out its review of funding to different projects, the lawmakers said the funding for the Lagos-Ibadan Expressway was reduced from N20 billion to N18 billion, noting that the reduction would not significantly affect the construction of the road in one appropriations cycle.

Projects reduced include: The counterpart Funding for 3050mw Mambilla Hydropower Project (N300million); The construction of the Second Niger bridge including access roads phases 2a and 2b in Anambra and Delta states and other projects in the South East (N900million); The construction of Bodo-Bonny road with a bridge across the Opobo channel in Rivers State (N1.3billion).

Among the projects that were increased is the aggregate funding for the East-West Road from N11,285,000,000 to N12,085,000,000.

It said, “We realized the strategic importance of the road to the entire oil producing areas of our country & the fact that the road project has lingered for too long.

“We also need to call the attention of the public to the fact that the National Assembly allocated an additional N2 billion to the Enugu-Port Harcourt Expressway project. This was more than the Executive.”

It noted that contrary to the N3 billion cut on 104 Unity Secondary School, it provided an additional N3.7 billion more for meal subsidies in these Schools.

The assembly noted that due to the controversies that have surrounded budget passage in the past, the improvement of the budgetary process should be of higher priority than trading blames.
By Oluwasegun Olakoyenikan…

 

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