Projects Concession to Boost FG’s Revenue by N647bn – Regulator
The Infrastructure Concession Regulatory Commission (ICRC), said the approval for the concession of its four projects by the Federal Executive Council (FEC) would attract N647.7 billion in revenue to Nigeria. This is contained in a statement signed by Ifeanyi Nwoko, Acting Head, Media and Publicity, ICRC, in Abuja.
Nwoko said the projects included the 360 MegaWatts(MW) Gurara II Multipurpose Dam and HydroPower Plant(HPP), and the 40 MegaWatts Kashimbilla HPP under a Public Private Partnership(PPP) model.
He said others included the secure e-ticketing Solutions for the Lagos-Ibadan Rail Service, Warri-Itakpe Rail Service and the Device Management System, a project by the Nigerian Communications Commission (NCC).
“The approvals by FEC will bring about the generation of 400MW of electricity, infusion of private sector funds into the nation’s economic/infrastructure development and a total revenue generation of N647.7 billion.
“It will also help in the fight against crime, terrorism and insecurity while improving the effectiveness of the rail services in the specified routes, “he said. Nwoko said the 360MW Gurara II HPP is a Greenfield project that would adopt a Build, Operation, Maintenance and Transfer PPP model.
He said the project would be executed by Messrs. CGCOC Group Co. Limited under an Engineering Procurement and Construction contract for a concession period of 30 years. Nwoko said the dam, HPP and other complementary infrastructure would be executed within a concession period of 30 years.
” Within the concession period, a total revenue generation of 875 million dollars is expected.” He said both the Gurara and the Kashimbilla HPP projects would bring about improved living conditions and employment and promotion of agriculture through irrigation.
“The two projects will also help reduce greenhouse gases as well as foreign exchange preservation.”
Nwoko said for the Kashimbilla 40MW HPP, the FEC’s approval was for the operations and maintenance of the hydropower plant.
He said one of the primary objectives of the dam, was to mitigate the environmental disaster associated with overflow of flood water, in various downstream states affecting more than six million people.
“These states include Taraba, Benue, Kogi, Delta, Cross River and Bayelsa.”
He said the hydropower component of the dam would also aid in ecological flood control, and water supply for a population of about 400,000 people. Nwoko said it would also help irrigation potentials for about 3,000 hectares of arable land for farming as well as fishing to support food security.
He said the cost of the project was put at N7.68 billion, approved for a concession period of 15 years and would yield a total revenue of N85 billion. Nwoko said the DMS which had the NCC as a grantor, sought to provide a single control point for comprehensive device management for mobile communication devices in Nigeria.
“Specifically, the proposed DMS will support capabilities for tracking of mobile communication devices to eliminate fake and substandard devices.
“It would also provide detailed statistical information for stakeholders use, and support the fight against cybercrime and insecurity.
“It adopts a Design, Build, Finance, Operate, Maintain and Manage PPP model for a concession period of 10 years at a cost of 26 million dollars. A total revenue generation of N86.6 billion,” he said.
He said the Lagos-Ibadan e-ticketing and the Warri-Itakpe concessions adopt a Design, Finance, Build, Operate and Manage a Secure Ticketing Solution (Hardware and Software) for the Passengers’ Stations.
“The solution seeks to ensure the provision of electronic and manual tickets, provision of adequate infrastructural security, and deployment of adequate maintenance regime.
“It also seeks to provide an adequate training regime and provision of value-for-money throughout the life of the solution,” Nwoko said the Lagos-Ibadan concession was approved at a cost of N1.1 billion and granted to Messers Global Software Digital Solutions Ltd. and Datamataic Global Services Ltd as technical partners for a period of 10 years.
“A total of N112.8 billion will be generated from this project.” He said the Warri-Itakpe counterpart would be executed at the cost of N860, 806,423, granted to Fane International Consult Ltd. Artificial Intelligence Technologies Ltd. as technical partners, also for a 10-year term.
“Revenue generation is estimated at N63.3 billion,” he said. >>>Naira Steadies as Banks Issue Update on FX Purchase
