FEC approves N836m augmentation for oxygen plants contracts
FEC approves N836m augmentation for oxygen plants contracts
The Federal Executive Council (FEC) on Wednesday approved an augmentation of N836million for the construction of 38 oxygen plants across the country.
Minister of Information and Culture, Alhaji Lai Mohammed stated this at the media briefing after the week’s cabinet meeting presided over by Vice President Yemi Osinbajo.
He said the approval followed a memo presented at the meeting of the Federal Executive Council by the Minister of Health, Osagie Ehanire.
“In June the Federal Executive Council actually approved the sum of N5.61billion to four major contractors for the emergency supply, installation and maintenance of 38 oxygen plants in various parts of the country.
“ Regrettably, the four companies also came back recently with the same complains, ranging from fluctuation in foreign exchange and to the scarcity of these plants all over the world as a result of materials due to COVID-19.
“So, they presented a memo for augmentation in the sum of N836million and this was also approved.”
Mohammed said that the cabinet approved the revised estimate total cost and extension of the consultants supervising the construction of the Bagwai Dam Irrigation Project in the Bagwai Local Government Area of Kano State.
He said the Minister of Water Resources, Suleiman Adamu presented a memo to the cabinet meeting seeking for review of the project cost.
“The initial contract was awarded in the year 2005. Due to several logistic problems, the project is still on.
“Recently, the FEC approved an augmentation of the entire contract and that means also that the mandate of the consultant supervising the construction will also have to be reviewed.
“So, it was reviewed from N98 million to N203 million. So, the total cost of the consultancy now is N302, 875, 379.”
Also at the briefing, the Minister of State for Education, Chukwuemeka Nwajiuba said that the sum of N121 million for the provision of furniture and equipment at the Federal Polytechnic, Bauchi.
He said that the idea behind the approval was to retool and refurbish the dilapidated equipment and furniture at some of the departments at the polytechnic in Bauchi.
He said that the contract was awarded to Messrs. Turaki Heritage Ltd. (VON)
