FEC Okays MTN Takeover Of Enugu-Onitsha Road Construction

The Federal Government has approved the takeover of the construction of the Enugu-Onitsha Expressway by MTN at the cost of over N202.8 billion under the road Infrastructure Tax Credit Scheme.

This followed a memorandum presented by the Ministry of Works and Housing to the Federal Executive Council presided over by President Muhammadu, Buhari at the Presidential Villa, Abuja on Wednesday.

The Minster, Babatunde Fashola, who briefed correspondents after the meeting, explained that it is in line with Executive Order 7 signed by the President in January 2019.

He said the MTN will complete the dualization of the 110-kilometre road.

In the same way, he said the council approved the Umuchi-Ususu-Umueme GZ Industries Road in Abia for construction by GZ Industries also under the Tax Credit Scheme at the cost of about N4.2 billion.

Fashola explained: “So we, the Ministry of Works and Housing presented two memoranda and they are largely PPP-based memoranda and I will explain how.

“In 2019 January 25 specifically, you might recall that President Buhari approved Executive Order 7, which was the road infrastructure tax credit scheme, to allow the private sector to invest tax liabilities in advance in infrastructure, and that policy has helped us to finance roads like or by Obajana to Kaba, Apapa-Oshodi, Oshoki-Ojota Expressway, the Bodo-Bonni expressway in Port Harcourt, about a 1000 kilometres covering 21 roads under the NNPC investment. So, there is increase optic for that policy. So, today we have two more.

“So, the first that was approved today was the one by MTN Nigeria PLC, the telecommunication company to take over and complete the ongoing Enugu-Onitsha Expressway. That road is 110 kilometres, which is being dualised. So, you have 110 kilometres times two.

“The outstanding works aggregate to about 91 point something kilometres on both sides, if you accumulate it for those who use the road.

“You will see that the Enugu bound section has been largely completed but there’s a lot of work to be done on the Onitsha section.

Originally posted on October 13, 2022 @ 8:46 am

Leave a Reply

%d bloggers like this: