FG seeks private sector intervention in developing road infrastructure
The Federal Government and Ogun state Governor, Prince Dapo Abiodun have sought the partnership of the private sector in developing road infrastructures within the country.
The Minister of Works, Sen. David Umahi made this known on behalf of the Federal Government when he met behind closed doors with prominent members of Nigeria’s business community to deliberate on new strategies for engaging the private sector in providing financing for the nation’s road infrastructure.
The meeting, which was part of a series of consultations over the involvement of the private sector in infrastructural development, was held at the headquarters of the Works Ministry on Wednesday.
The Special Adviser (Media) to the Minister, Hon. Orji Uchenna Orji in a statement said, “In keeping with the road infrastructure initiatives of the Renewed Hope administration of the President of the Federal Republic of Nigeria, Bola Ahmed Tinubu, the Minister of Works, Sen. David Umahi, has been engaging with concessionaires and other private sector organisations on the need for private sector investment in our road infrastructure as done in advanced economies around the world.
“This informed the closed-door meeting of the Hon. Minister of Works had with the Governor of Taraba State, His Excellency, Dr. Agbu Kefas, the founder and CEO of Dangote Group Conglomerate, Alhaji Aliko Dangote, and the founder and chairman of Heirs Holdings, Chief Tony Elumelu, on January 24, 2024, at the Federal Ministry of Works.
“It would be recalled that the Hon. Minister of Works, in his zeal to change the ugly narrative of road infrastructure in Nigeria, had set up three committees to work on the contracts executed by some concessionaires with the Federal Ministry of Works to review the scope and cost implications of the projects they undertook to execute under the Highway Development and Management Initiative( HDMI).
“This private sector initiative will fastrack the road infrastructure revolution and bring order, accountability, and profitable entrepreneurship to the operations, management, and maintenance of Federal Highways.
“The Governor of Taraba, who retired as a military professional, was a one-time chairman Governing Board of Directors of the Nigerian Maritime Administration and Safety Agency (NIMASA) before he became governor.
“The founder and CEO of Dangote Group is one of Africa’s foremost captains of industry who has made ambitious investments in the development of infrastructure in Nigeria, just like his counterpart and Chairman of Heirs Holdings, who is also one of Africa’s leading investors who has shown manifest commitment in the transformation of Nigeria’s infrastructure through long-term investment in strategic sectors of Nigeria’s economy, including financial services and infrastructure development.
“It is hoped that investors, local and international, will take advantage of the willpower of President Asiwaju Bola Ahmed Tinubu’s Renewed Hope administration and the private sector experience and professional capacities of the Hon. Minister of Works to invest in the over 35,000 km of the national road network being managed by the Federal Government of Nigeria, as this network carries more than 70 percent of the vehicular traffic, making it a critical infrastructure for the movement of goods and services across the nation.
“This initiative will trigger economic development, job creation, local content development, and wealth creation for the Nigerian population. Mr President means business with his efforts to prosper our country and make it the pride of the African continent. Your support is critical,” he said.
