The Federal Executive Council, FEC, presided over by Acting President Yemi Osinbajo on Wednesday approved N20.6 billion for the reconstruction of two road projects in Plateau and Kwara.
The Minister of Power, Works and Housing, Babatunde Fashola, said this when he briefed State House correspondents on the outcome of the Council’s meeting held at the Presidential Villa, Abuja.
He said that N10.4 billion of the amount would be expended on the reconstruction of Pankshin-Balank-Yalen-Salak-Gindiri road in Plateau, while the remaining N10.2 billion would be spent on Sharre-Patigi road in Kwara.
“The ministry presented two memoranda to the council. The first was, with respect for approval to construct the Pankshin-Balank-Yalen-Salak-Gindiri road in Plateau state for N10.46 billion.
“The second one is the Sharre-Patigi road in Kwara for N10.2 billion, both prayers were approved by the council.’’ he said.
According to the minister, the council also approved the negotiation reached between the federal government and a contractor over the supply of three million electricity meters awarded in 2003.
He stated that the contract was never fully performed by both parties, which subsequently ended up in the court.
“The other memorandum was in respect to inherited liabilities from the old power ministry where a judgment of N119 billion had been signed against the Federal Government as a result of acts of officials of government who varied the presidential approval without seeking further directive and then awarded the contract on that basis.
“So, the party who was the beneficiary of that contract which they subsequently sought to withdraw went to court and got a judgment.
“The happy news is that council approved the memo to give effect to the negotiation that we were able to put together, to compromise that judgment entirely and to convert the old N37 billion into a loan to that contractor, so that they can use it to supply meters to the DISCOs,” he said.