By Cross Udo, Abuja
The Federal Executive Council (FEC) yesterday announced the suspension of all memoranda requiring cost variation for projects undertaken by all Ministries, Departments, and Agencies (MDAs).
The suspension was made after the deliberations on the memoranda submitted for the council’s consideration and possible approval on by the Minister of Works, Senator Dave Umahi.
Briefing State House correspondents at the end of the Council meeting presided over by President Bola Tinubu at the Council Chamber, Presidential Villa, Abuja, the Minister of Information and National Orientation, Mohammed Idris, said that the decision was taken to step down the memoranda to enable a proper review of the projects.
The Information Minister was accompanied by the Ministers of Justice, Lateef Fagbemi, and Budget and Economic Planning, Atiku Bagudu.
He noted that most of the projects involved were inherited from preceding administrations, adding that FEC directed that the Attorney General of the Federation should work with the Works minister to ensure that they comply with budgetary provisions.
Idris stated that the essence of the review is to stem the tide of abandoned projects in the country.
He further disclosed that the Council directed the Minister of Works, David Umahi, to work with the Ministers of Budget and Economic Planning and the Minister of Finance to streamline all projects contained in the memoranda for appropriate funding intervention.
He said the consideration of the memoranda will continue at the next meeting of the council.
He said, “So today, we didn’t have so many projects that were approved as a result of that, but of note is to say that Mr. President, in line with his thinking of ensuring that there is probity, proficiency, and diligence in project execution, has directed that all projects that require additional funding, especially major projects of the Ministry of Works, be looked at once again so that there will be further deliberation on that at the next council meeting.”
Responding to a question, Idris clarified that the Lagos-Calabar Highway and other newly approved roads by the administration of President Tinubu are not part of the projects, but that the Council is ready to reconsider and re-prioritise most of the inherited projects under the Federal Ministry of Works while it sources for alternative funding and re-evaluate those that can be completed.
“Those projects that were required to be stepped down are part of inherited projects from 13 years ago some of them were inherited from past administrations and they are now been streamlined and worked out to ensure they are completed instalmentally. The Lagos-Calabar highway is not suffering budget augmentation.
“Most of the projects are those carried over due to variation and the Council has decided to ensure that all the projects should be stepped down they will not be thrown away but will be reconsidered and re-prioritised and the government will source for funding for the projects and the government will look at those that can be completed.”
He emphasised that the projects were not only a step down for funding reasons but due to other variables.
“Not only because of funding but other variables are being considered, it’s not an abandonment, and augmentation and review are not for new projects all new projects awarded do not have augmentation now Lagos Calabar is new and does not have issues or need for augment or review,” he said.
Meanwhile, FEC has decided to revamp the National Council on Procurement, which has been ineffective for the past 17 years.
A bill to strengthen the Council has been sent to the National Assembly and has passed its first reading in the House of Representatives, according to Idris.
He explained that the aim of this is to establish a robust procurement council that will enforce financial discipline and scrutinize all aspects of procurement, aligning with President Tinubu’s vision.
“There is also a discussion around the National Council on Procurement. The Federal Executive Council is looking at that again. Recall that in the last 17 years, the National Council on Procurement has not really been very effective. So Mr. President has submitted to the National Assembly a bill, which in fact has scaled through the first reading at the House of Representatives.
“The whole idea is to ensure that we have a robust National Council on Procurement that will continue to look at all aspects of procurement, in line with the vision and to bring every project into the financial discipline that Mr President is always talking about,” he explained.
