LAGOS IBADAN EXPRESSWAY WILL BE TOLLED - FG

The Federal Government has announced that the Lagos Ibadan Expressway
will be a toll road after its construction. The information was made
available by the Ministry of Works, which also disclosed that the
government had made available N50 billion for the rehabilitation of
the road whilst N117 billion is to be raised by foreign investors
arranged by the Infrastructure Bank Plc.
The ministry stated, "The Federal Government has made a total
provision for the sum of N25bn as her own counterpart funding in the
2014 budget with a view to providing the balance of N25bn in the 2015
budget."
The statement added: "It is worthy of note that from inception, the
Engineering Procurement and Construction (EPC) contracts for
implementation of the road project was awarded by the Federal Ministry
of Works with attendant Bureau of Public Procurement (BPP) and Federal
Executive Council (FEC) approvals to the two contractors.
"This was also subject to the finances scheme put in place through the
private sector-led project finance; infrastructure finance facility
with the Federal Government of Nigeria providing 30 per cent of the
project cost (i.e. N50billion), while the balance of 70 per cent would
be provided by the investors and financiers to the project. This
arrangement will enable completion of the project on time and on
budget. "
"Contrary to the misinformation that the Federal Government has voted
N23million in the 2014 budget for hiring the services of consultants
on PPP scheme, the Federal Government has made a total provision for
the sum of N25Billion as her own counterpart funding in the 2014
budget, with a view to providing the balance of N25billion in the 2015
budget."