JONATHAN WOOS NORTH WITH N1.26TR ECONOMIC LIFELINE

A document emanating from leaders of the northern region has revealed that the administration of President Goodluck Jonathan has extended huge economic goodies to the region.

The Northern Economic Summit, in its “Progress Report on Actions taken by the Federal Government on Economic Development Issues Raised from the Report of the First Northern Economic Summit held in Kaduna in 2011” admitted that since 2011, Jonathan has really taken good care of the region’s economic development. The Northern Economic Summit, which plans its second summit in June, is headed by Prof. Jerry Gana.

A 12-page report itemised 10 areas in which Jonathan has extended economic interventions to the region in two years. With N16 billion, the latest of the lifelines, made available early this week to the North for oil field search and discovery, the region has gained about N1.2 trillion exclusively from the administration.

The last fund goes into the establishment of the “Frontier Basin Exploration Agency that would work in Benue, Sokoto, Adamawa, others.”

The handout is known as an offer to grease the palms of the North and make them support the Petroleum Industry Bill (PIB) still in the works.

Allocation for the yet-to-be established agency is already captured in the 2013 Appropriation Act signed by President Goodluck Jonathan in February.

A source in the Peoples Democratic Party (PDP) told Saturday Sun: “Although the government has a duty of making such provisions for the development of the nation, when it is essentially targeted at a region, to the exclusion of others, the agenda becomes political.”

The source, a former national executive of the PDP from the South West, also said: “These are incentives from the Federal Government to buy the friendship of the North. I am sure my region can’t say it ever got such carrot from the Federal Government. It is possible only the South South, to some extent, apart from the North, can boast of an incentive this big from President Jonathan. The possibility is high that such staggering fund is extended to the North for political gains concerning his 2015 interest and partly because of the insecurity situation that is worst in the North.” However, at least 50 per cent of the projects involved in this assignment have been completed.

The document of the Gana-led group, at the opening page, indicated that the Federal Government has made “provisions of substantial funds to facilitate exploration for oil and gas in the Chad Basin, Benue Trough, Bida Basin and Sokoto-Rima Basin, among others.

“Upon assumption of office, this administration renewed the commitment of government to systematically and aggressively explore and rapidly assess the hydrocarbon resource potentials of the seven inland basins in Nigeria.

“This is to facilitate the much desired diversification of Nigeria’s oil exploration and production base with resultant increase in the nation’s oil and gas reserves to deliver strategic, security and socio-economic benefits.”

The bottom-line of the projects to the North is that the region admitted it got: “In 2011, US$70m, in 2012, US$70m and in 2013 US$100m for the hydrocarbon exploration in the Lake Chad Basin and other Northern Hydrocarbon basins.”

The figures for the three years represent about N47.4 billion and with the latest largesse this week, the North, since 2011, has got from Jonathan N63.4  billion lifeline in the oil and gas sector only. According to the document, almost the entire subventions are for search for oil not yet found.

Further, the Gana revelation also noted: “In 2011, NNPC had, through the technical consultants, concluded the search, evaluation and identification of capable airborne geophysical survey companies for hydrocarbon exploration of the inland basins of Nigeria.”

The source of the facts is the document of the Summit’s Conference Organising Committee (email:nps_g20@yahoo.com). The acronym, G20, is the alias for the organization, indicating it overseas the economic interest of the 19 northern states and the Federal Capital Territory. The document was made public and given participants on the day the Summit announced its second summit for June in Abuja.

Power sector

The target projects in the region in this sector are the Zungeru and Mambila Plateau power contracts. It noted: “This administration has renewed its commitment to speedily implement the Mambila Hydro Power Project with vigour to generate 3050mw of power.”

The revised schedule for the completion of the project was broken down into seven segments commencing from the second quarter of 2012 with the resolution of the legal breaches in the project and terminates at the first quarter of 2013 with a “bidding process and financing arrangement in progress.”

The segments also include, according to the report: “MOU for construction works signed with two Chinese companies at a construction cost of US$6.4b or N936b.

“It is important to note that government has awarded the 700 megawatts Zungeru hydro power project at a cost of US$1.2 (N170b). Groundbreaking ceremony will be performed in April 2013. The Kashimbila Dam has reached advanced stage of construction, while Gurara Phase 1 has been 100% completed. Detailed design and tender documents for 360 megawatts Gurara phase II and 40 megawatts Itisi Dam have been completed and PPP bidding process in progress.”

Power transmission lines

There have also been expansions of power transmission lines, especially the proposed super grid and “contracts for the expansion of transmission lines have been awarded and works in progress. Ajaokuta-Abuja is progress; Kaduna-Kano, awarded; Kaduna-Saminaka-Jos, awarded. Makurdi-Nasarawa-Jos, awarded; Gombe-Yola-Jalingo, completed; Gombe-Potiskum-Damaturu-Maiduguri, work in progress; Mambila-Jalingo-Makurdi and Mambila-Yola-Maiduguri, design works.”

Roads

Gana’s group admitted unequivocally: “Government has commenced rehabilitation works for all federal roads and appreciable progress has been made in the northern part under FERMA’s zero pothole programme.”

Agriculture

For the North, the report said: “The agricultural value chain is targeted at rice, corn, wheat, tomatoes, onion, pepper and watermelon in the North West, North East and North Central. The rice transformation plan envisages the establishment of 14 integrated rice processing mills under a PPP arrangement. Of these 14 mills, 10 will be located in the northern part of the country. To provide the necessary raw materials for the rice mills, government plans to expand and/or rehabilitate existing projects and construct additional ones with N42.25b representing 63.1% of the N67b allocated to the water sector for the development of irrigation at 33 locations around the northern states.”

It also revealed: “Full implementation of the water sector component of government intervention is expected to boost food production in northern Nigeria by an estimated 1,461,328 metric tons out of a total national estimate of 1,684,408 tons.

“Irrigation revival is already taking place. Lake Chad (6,000Ha) has been redeveloped in conjunction with the Borno State government, Gurara irrigation scheme of 4,000Ha, completed. Rima Basin 5,000 revived; Zobe dam irrigation, revived and several others.”

In addition to the various projects already either executed or in the course of completion, there are “10 mini hydro studies already completed and additional studies for 17 existing dams are ongoing.”

Solid minerals

In this sector, the Federal Government has conducted geochemical mapping in over 40 locations in the North to aid in getting proper knowledge of their diverse minerals availability and concentration and also made remarkable efforts at exploring them.

For instance, the report said: “The Federal Government has equipped and upgraded the Geosciences Research Laboratory in Kaduna to world class, thereby providing means of analyzing mineral samples locally. Monthly mineral clinics are organized to disseminate geo-scientific information/data in all the zones of the North.

“Government has also established the Nigerian Institute of Mining and Geosciences in Jos to provide practical orientation and post graduate training in mining engineering. The combined effect of these deliberate initiatives in the mining sector is targeted at generating and sustaining employment and income generation to our unemployed youths in the North.”

Source: Sun