Transport Ministry Explains Why It Prefers NPA to Take Over Channel Management from Contractor
AMaechi
*It is for cost-effectiveness – Permanent Secretary
*Accuses Usman of ignoring ministerial directive
*Says agenda by media war should be channeled before administrative panel
By Onyinye Apeh
The Ministry of Transportation Tuesday said that its reason for preferring the Nigerian Ports Authority (NPA) to take over channel management of the nation’s ocean waters was for the purpose of cost effectiveness.
The Ministry explained in a statement that by executing the job directly as against giving it out to contractors, the authority would be saving the federal government billions of Naira from the job.
The statement added that in carrying out the job in-house, it would cost less for the procurement of the equipment needed for the job.
The Permanent Secretary, Federal Ministry of Transportation, Dr. Magdalene Ajani, who signed statement described the statement that the Minister, Rotimi Amaechi wanted the contract which is handled by the Lagos and Bonny/Port Harcourt Channel management companies to be given to two Chinese companies was malicious and unfounded.
Ajani said such allegation was aimed at damaging the reputation and integrity of the Minister.
She disclosed that over the years, the management of the channel which contract expired last year has been awarded routinely between N50 billion and N60 billion every year.
She added that the Minister reasoned that it was better for the job to be handled in-house in such arrangement that the NPA acquires the equipment instead of annual payment of billions of Naira to contractors.
Part of the statement reads: “The letter requested the NPA to provide the following information for the ministry’s records and further necessary action: The current status of the managing agent contract and the measures put in place to cover the vacuum created as a result of the expiration of the contract to prevent revenue loss to the government;
“The current status of the Lagos and Bonny/Port Harcourt Channel management companies and the measures put in place to cover the gap created by the expired contracts to ensure the channels are maintained for safe navigation and efficient service delivery;
“The volume dredged annually from the channels and the depths achieved from inception management contracts to date and the amount expended;
“The number of wrecks removed annually by the Channel Management Companies from inception of the contracts and amount spent; and
“The total number of buoys replaced or maintained during the life span of the contract and the amount spent.
“I am to also convey the directives on the need for the Authority to procure its equipment for the service and cease from awarding any such contract.”
According to the statement, the suspended Managing Director, Ms Hadiza Bala Usman despite receiving the letter on February 2, this year, failed to respond to the ministerial directive.
The Permanent Secretary pointed out that it had noted the media war since Ms Usman was suspended, adding that such agenda should be put across before the administrative Panel.
She added, “The panel has been charged to be fair and equitable in its deliberations and will certainly, ensure that the primary purpose of the inquiry is the promotion of the principles of transparency and accountability which are strongly espoused in the present political dispensation.”
*Accuses Usman of ignoring ministerial directive
*Says agenda by media war should be channeled before administrative panel
By Onyinye Apeh
The Ministry of Transportation Tuesday said that its reason for preferring the Nigerian Ports Authority (NPA) to take over channel management of the nation’s ocean waters was for the purpose of cost effectiveness.
The Ministry explained in a statement that by executing the job directly as against giving it out to contractors, the authority would be saving the federal government billions of Naira from the job.
The statement added that in carrying out the job in-house, it would cost less for the procurement of the equipment needed for the job.
The Permanent Secretary, Federal Ministry of Transportation, Dr. Magdalene Ajani, who signed statement described the statement that the Minister, Rotimi Amaechi wanted the contract which is handled by the Lagos and Bonny/Port Harcourt Channel management companies to be given to two Chinese companies was malicious and unfounded.
Ajani said such allegation was aimed at damaging the reputation and integrity of the Minister.
She disclosed that over the years, the management of the channel which contract expired last year has been awarded routinely between N50 billion and N60 billion every year.
She added that the Minister reasoned that it was better for the job to be handled in-house in such arrangement that the NPA acquires the equipment instead of annual payment of billions of Naira to contractors.
Part of the statement reads: “The letter requested the NPA to provide the following information for the ministry’s records and further necessary action: The current status of the managing agent contract and the measures put in place to cover the vacuum created as a result of the expiration of the contract to prevent revenue loss to the government;
“The current status of the Lagos and Bonny/Port Harcourt Channel management companies and the measures put in place to cover the gap created by the expired contracts to ensure the channels are maintained for safe navigation and efficient service delivery;
“The volume dredged annually from the channels and the depths achieved from inception management contracts to date and the amount expended;
“The number of wrecks removed annually by the Channel Management Companies from inception of the contracts and amount spent; and
“The total number of buoys replaced or maintained during the life span of the contract and the amount spent.
“I am to also convey the directives on the need for the Authority to procure its equipment for the service and cease from awarding any such contract.”
According to the statement, the suspended Managing Director, Ms Hadiza Bala Usman despite receiving the letter on February 2, this year, failed to respond to the ministerial directive.
The Permanent Secretary pointed out that it had noted the media war since Ms Usman was suspended, adding that such agenda should be put across before the administrative Panel.
She added, “The panel has been charged to be fair and equitable in its deliberations and will certainly, ensure that the primary purpose of the inquiry is the promotion of the principles of transparency and accountability which are strongly espoused in the present political dispensation.”
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