The Federal Executive Council (FEC) has sanctioned the construction of the Okpella section of the Lokoja-Benin road, among others, totaling N120 billion. The financing for these projects will be facilitated by BUA Cement Plc under the tax credit scheme.
Mr. Bayo Onanuga, the Special Adviser to the President on Information and Strategy, announced the decision via his official X handle following the conclusion of the FEC meeting, which commenced the previous day.
According to Onanuga’s statement, “On Day 2 of the FEC meeting, approval was given for the award of contract for the equalization of Lokoja-Benin Road, Okpela Section, Lokoja-Benin, Dualised Auchi Section -Uromi Link Road, and Lokoja-Benin Road, Ekpoma Section.”
Highlighting the urgency of the Okpella section’s reconstruction, Onanuga referred to a recent incident where a fuel tanker plunged into floodwaters, necessitating a rescue operation by villagers. The N120 billion project will be financed by BUA Cement Plc under the tax credit scheme.
Additionally, FEC approved contracts for various road projects nationwide, including Kaima-Tesse in Kwara State, Benin-Agbor, Benin Bypass, and Ngaski-Wara in Kebbi State, estimated to cost around N546 billion.
The tax credit scheme, established through Executive Order 7 of 2019 by former President Muhammadu Buhari, aims to foster public-private partnerships for road construction and maintenance. Under this scheme, private companies finance road projects, alleviating the financial burden on the Federal Government. In return, these companies receive tax credits equivalent to their total expenditure on the roads, promoting sustainable infrastructure development in Nigeria.
