Politics

FEC approves $1bn Chinese loan for Gurara II Hydropower project

The Federal Executive Council (FEC) on Wednesday approved another $1 billion loan from Chinese EXIM Bank for the Gurara II Hydropower project, aimed at generating 360 megawatts of electricity.

FEC gave the approval during a meeting presided over by President Muhammadu Buhari at the presidential villa, Abuja, on Wednesday.

Minister of water resources, Suleiman Adamu, while briefing State House Correspondents at the end of the weekly FEC, revealed that the loan will be obtained from the China-Exim Bank for the Gurara II Hydropower project.

The Minister said, “The Federal Executive Council approved $1 billion Chinese loan from Chinese EXIM Bank for the Gurara II Hydropower project which has the capacity to generate 360 megawatts electricity.

“Council also approved N5.7 billion revised total estimated cost for the completion of Nkari dam in Akwa Ibom.

READ ALSO: Nigerian govt in talks with World Bank to secure $1bn loan for power sector

“Council also approved the appointment of a consultants for the resuscitate the Gari Irrigation Project in Kano/Jigawa States. Council had in 2017 approved for the resumption of the project which was earlier abandoned for 17 years.

“The consultant is the same appointed in 1998. The contractors are already on site

“Council also approved the revised estimated total cost of N10.4 billion for the completion of Ile Ife Dam in Osun State. The project was started in 2004 and abandoned. The completion period is 24 months.”

The Minister of Power, Works and Housing Babtunde Raji Fashola, also briefed newsmen that the FEC approved N7. 197 billion for inter-change and pedestrian bridge at Abaji in Abuja.

He said,” My ministry presented two memos. One was for the construction of an inter-change and pedestrian bridge at Abaji in Abuja for N7.197 billion to address the perennial problem of accidents in that place which was approved by council.

“The second memorandum was for the procurement of two hundred thousand, two hundred and seventeen meters by Yola Electricity Distribution Company Under the Meter Asset Providers Scheme.

“As you might know,Yola Electricity Distribution Company is the DISCO that was surrendered to by the original holder. So it’s under the Federal Government’s management. So they are buying 200,217 meters for consumers under their franchise which covers Adamawa, Borno, Taraba and Yobe States.

“The cost of those meters is N11.208 billion. It is to be funded from the judgement sum that I previously briefed you about two years ago that council approved a compromise from an old meter’s supply dispute since 2003.

“So that money is in a bank, it has been there, so that is where these meters would be funded from and as consumers pay back the meters as they are supplied, the money goes back into that account.”

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Ripples Nigeria

We are an online newspaper, very passionate about Nigerian politics, business and their leaders. We dig deeper, without borders and without fears.
www.ripplesnigeria.com