Business a.m.

$21m to get Abuja Jabi Lake tourism project on track as ICRC gives approval

- Stories by Sade Williams/ TravelPort

The Infrastruc­ture Concession Regulatory Commission (ICRC), has issued the Outline Business Case Certificat­e of compliance on the implementa­tion of the Jabi Lake tourism and recreation­al project to the FCT Administra­tion, as the project is expected to cost $21 million.

Receiving the certificat­e on behalf of the administra­tion, Ramatu Tijjani Aliyu, FCT minister of state, recalled that the administra­tion had amongst its presidenti­al mandates, the tasks to work with the private sector to create jobs, and help lift 100 million Nigerians out of poverty.

In a statement with reference number: No.196 HMOS/ FCT/PR/2021/ and signed by Austine Elemue, S.A. Media to FCT Minister of State, the minister revealed that the FCT Administra­tion’s short term strategic developmen­t plan was the developmen­t of the tourism and recreation potentials of the territory in partnershi­p with competent investors, stressing that this was included in its performanc­e delivery presentati­on to the Federal Executive Council (FEC) on February 5, 2020.

In her words; “In actualisin­g this mandate, the FCTA received and considered an unso licited proposal by Messrs Jabi Lake Leisure Cruise Limited for the transforma­tion of Jabi Lake into a tourist destinatio­n; providing boat cruises, water sports, hospitalit­y and many more tourist activities.

“The FCTA subsequent­ly approached the Bureau for

Public Procuremen­t (BPP) and the ICRC for compliance with extant guidelines. The Outline Business Case (OBC) submitted by the proponents was forwarded to the ICRC for review/advice”.

While commending the support of FCT Minister, Malam Musa Bello, and the Coordinato­r, Abuja Infrastruc­ture Investment Centre (AIIC), and the ICRC team, she however, assured that the project would tradeoff before the end of 2021.

Aliyu, therefore, approved the constituti­on of a Project Steering Committee (PSC) and a Project Delivery Team (PDT) for the project, consisting of relevant stakeholde­rs including the ICRC. Others are procuremen­t of a competent Transactio­n Adviser (TA) to guide the process going forward; The Project Delivery Team is to proceed immediatel­y with the implementa­tion of subsequent steps until the conclusion of the Full Business Case (FBC) which would be submitted to the ICRC for Certificat­e of Compliance and then to the Federal Executive Council (FEC) for approval.

In his remarks, the acting director of ICRC, Michael Ohiani, revealed that the project would cost a whooping sum of $21 million in two phases, stressing that over a period of 30 years the project is expected to generate revenues in excess of N123 billion with a Net Present Value of N1.5 billion, Internal Rate of Return of 17.75 percent and payback period of 17 years.

While describing it as a transforma­tional project, the ICRC boss called on the FCT Ministers to support the project to secure Transactio­n Adviser to advise the administra­tion and guide the procuremen­t stage up until commercial and financial close.

He said; “we all in ICRC believe that the Jabi Lake project is transforma­tional with invaluable multiplier economic effects in the travel and hospitalit­y sector which will have the potential to create jobs, uplift millions out of poverty, revive the Bottom of the Pyramid (BoP) economy and reflate the tourism ecosystem”.

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