House of Representatives set to Probe Abandoned Abeokuta-Igboora/Lanlate/Igangan Power Contract

The House of Representatives on Thursday, October 26, 2023, reached a decision to investigate the New Abeokuta-Igboora/Lanlate/Igangan 132/33 KV double circuit transmission line awarded at the sum of one billion, nine hundred and thirty-four million, one hundred and twenty-nine thousand, four hundred and twenty-one naira, and two kobo (N1,934, 129, 421, 02) since 2009.

In an official release made available to pressmen by the special adviser to Hon. Dr. Adebayo Adepoju, the law maker representing Ibarapa Central and North federal constituency, Adesodi Hassan Olaoniye dated 28th October, 2023, the resolution was passed following the adoption of a motion raised by Hon. (Dr.) Anthony Adebayo Adepoju, bordering on dishonest handling of the project aimed at solving power failure in the three local government areas of Oyo State.

In the motion, Hon. (Dr.) Adepoju expressed dissatisfaction over the state of the power project billed to be completed since June 2021.

According to him, the now-abandoned project was awarded by the federal government of Nigeria in 2009 to Laga Cepower Limited for a 132/33 KV Double Circuit Transmission Line project in Abeokuta, Igboora, Lanlate, Igangan, with a view to permanently eradicating darkness and promoting socio-economic development in the seven principal towns comprising the Ibarapa region of Oyo State.

READ FULL TEXT OF THE MOTION

Need to Investigate the Abandoned New Abeokuta– Igboora/Lanlate/Igangan 132/33 KV Double Circuit Transmission Line:

Hon. Anthony Adebayo Adepoju:

The House:

Notes that the Federal Government of Nigeria awarded a contract in 2009 to Laga Cepower Limited for a 132/33 KV Double Circuit Transmission Line project in Abeokuta, Igboora, Lanlate, and Igangan, aiming to permanently eradicate darkness and promote socio-economic development;

Also notes that the projects were sited in 3 towns of Igbo–Ora, Lanlate and Igangan towns, spanning three Local Government Areas of Ibarapa Central, North and East, respectively.

Further notes that the above transmission lines projects with three substations in the three Local Government Areas mentioned above were part of the 12 Power Projects in the country with 6,000 megawatts in view and a construction value of N4.637 trillion awarded by the Federal Government in 2009.

Aware that the  Power projects were awarded at the cost of N1,934,129,421.02 ( One billion, nine hundred and thirty-four million, one hundred and twenty-one thousand, four hundred and twenty one naira, two kobo) out of which N930,454,145.95 (Nine hundred and thirty million, four hundred and fifty-four thousand, one hundred and forty-five naira, ninety-five kobo) had been disbursed to the contractor leaving a balance of N 73,221,133.21 (Seventy-three million, two hundred and twenty-one thousand, one hundred and thirty-three naira, twenty kobo) with an incorrect claim of 83% contract completion; whereas in reality, and on-sites, the projects had only been executed to about 40% level.

Also aware that disbursement of the sum of N 89,746,500.00 (Eighty-nine million, seven hundred and forty-six thousand, five hundred naira only) was paid to Messrs New World Power Limited/Rhuoga Energy Limited with payment receipt no 1001071268-5023102000 in June 2023, raising strong suspicion of the contract has been varied.

Recalls the resolution on the construction of 33/11 KVA Injection Sub-Station in Igbo-ora and Igangan, sponsored by Hon. Muraina S. Ajibola, failed to highlight the mishandling and abuse of these projects,  thus, misleading the assembly;

Conscious that the three projects listed in the “Ongoing Projects” under Transmission Company of Nigeria’s current Managing Director, Engr. Sule Ahmed Abdulaziz may have been abandoned or forgotten despite significant financial outlays;

Resolves to:

(i) urge the Rural Electrification Agency to probe the projects, the disbursements, the completion stage and why the project had not been delivered beyond the June 2021 completion date and ensure the successful and timely delivery of the project in the Ibarapa Central, North, and East Constituencies of Oyo State;

(ii) mandate the Committee on Power to investigate the award and execution of this contract and report back within eight weeks (8) for further legislative action.

The motion was voted on, adopted and referred to the House Committee on Power.