The Senate on Thursday launched an investigation into the $5.7bn Mambila Hydroelectric power project in Taraba state.
The Upper Chamber took the decision to probe the entire Mambila Hydroelectric Power Project (MHEPP) transaction from 1999 to date, following the motion sponsored by Senator Haruna Manu.
While speaking on the motion, Senator Haruna expressed dissatisfaction with the slow pace of the project despite the commitment of the federal government on the project.
He said, “Federal Government through the Federal Ministry of Power signed a contract with a consortium of Chinese contractors comprising CGGC, SHC, and CGOC in 2017 to construct a 3050 MW hydroelectric 35.792 project known as the Mambila Hydroelectric Power Project (MHEPP) in Taraba State at the sum of $5.792bn;
“The Federal Executive Council of the Buhari administration approved the said contract with an agreed JV funding structure of 85% from the Chinese consortium (CGGC-45%, 5HC-35%, and CGOC-20%) and 15% from the Federal Government of Nigeria as counterpart funding for the entire project with a 72 months’ construction period and one site area over 146sqkm in Kurmi, and Sardauna Local Government of Taraba State;
“The priority placed on power in the Renewed Hope Agenda of President Bola Ahmed Tinubu, particularly to electricity generation for capacity expansion; the Mambila Hydroelectric Power project (MHEPP) with its capacity to generate 3050MW and reposition the Ajaokuta Steel Complex with $1.78 makes it a priority project of national importance;
Also Read:
- Court orders reinstatement of sacked Lagos Assembly Clerk
- NDDC supports girl child education in Niger Delta
- Abia: Bodies of over 30 victims of suspected ritual killings found
- GTBank Leads: Restoring trust, setting new standards, by Gboyega Adesegun Guaranty Trust Bank
- Soludo backs complete closure of Onitsha markets by NAFDAC
“The project has great benefits for local content in the area of human capital development, including the creation of over 55,000 jobs, construction of resettlement homes for over 100,000 people, hauling and supplying of over 2.7 million tons of steel, Production and supply of over 76 million tons of quarry stone, the opportunity for Ashaka and Benue cement to produce and supply cement, and for Styer Nigeria Limited, DPAN Limited, and Innoson Vehicle Manufacturing Co. Limited to manufacture trucks and participate in over 12,000 trips of haulage and transportation logistics from Lagos and Calabar ports to the host community;.”
Lawmakers highlighted the failure of previous governments to prioritise the national project with its capacity to generate 3050 megawatts, and reposition the Ajaokuta Steel Complex with $1.7bn.
The upper chamber also resolved that in reviving the project, the original idea of 3,000 megawatts capacity be maintained.
Follow The Eagle Online Channel on WhatsApp
