FEC awards N20.6bn road contracts in Kwara, Plateau

The Federal Executive Council yesterday approved N20.6 billion for the construction of roads in Plateau and Kwara States.

Addressing State House reporters after the FEC meeting, the Minister of Works, Power and Housing, Babatunde Fashola, listed the contracts as the Pankshin-Balang-YelengGindiri Road in Plateau (N10.4bn) and the ShaarePatigi Road in Kwara (N10.2bn).

Fashola said the Federal Government had been able to legally recover the N119 billion liabilities inherited form the old Ministry of Power “Where a judgment of N119 billion had been signed against the Federal Government, as a result of acts of officials of government, who varied the presidential approval without seeking further directive from him and then awarded the contract on that basis.

“So the party who was the beneficiary of that contract which they subsequently sought to withdraw went to court and got a judgment.”

Minister of Industry, Trade and Investment, Okechukwu Enelamah said the council approved the amendment of the list of pioneer industries and products.

He said the pioneer incentive scheme, governed by the Industrial Development Income Tax Relieve Act, would afford a tax holiday of between three and five years to enable such industries boost their activities and grow.

He stated: “This doesn’t deprive us of revenue but rather help us to gain revenue. It’s basically an incentive to make people enter the market, enter new industries and invest more.

“If you make a new investment in any of those sectors, where we haven’t reached maturity, we will welcome those investments and you will be allowed a tax holiday of between three to five years, to encourage you for the investments you have made, after which you will pay your taxes regularly.”