FEC endorses $1.9bn for power sector

…Approves 20% Salary Increase For Police Personne

…Okays Nigeria Start-Up Bill  for elecommunications

The Nigerian Cabinet has approved the sum of $1.9 billion for the procurement of equipment for the power sector, with the aim of boosting power supply in the country, through the Presidential Power Initiative.

The Minister of Finance, Budget and National Planning, Zainab Ahmed made the disclosure on Wednesday while briefing State House Correspondents, at the end of the weekly cabinet meeting chaired by President Muhammadu Buhari.

The Federal Executive Council has approved a bill known as Nigeria Start-Up Bill, for onward transmission to the National Assembly for passage into law.

The Minister of Communications and Digital economy, Isa Pantami disclosed this while briefing State House Correspondents at the end of Wednesday’s meeting of the council, presided over by President Muhammadu Buhari.

He said the bill intends to encourage young entrepreneurs in the country that have skills and want to do business in the telecommunications sector.

Minister of Communications and Digital Economy, Isa Pantami,

“The first one is on the Nigeria Startup Bill, which is exciting news to our innovators all over the country, particularly those who are working within the tech industry. The Federal Executive Council has approved the Nigeria Startup Bill and has also directed my humble self, the Minister of Communications and Digital Economy, and also the Attorney-General of the Federation and Minister of Justice, to ensure that we immediately liaise and transmit same to the National Assembly to begin the legislative process of converting it into a law.

“By this, the Nigeria Startup Bill has replaced our National Digital Innovation Entrepreneurship and Startup Policy. This bill has 11 chapters and all of them have been crafted in order to provide the enabling environment for our startups to be very successful. Firstly, the bill will establish the National Council for Digital Innovation and Entrepreneurship.

“This council is going to be chaired by Mr. President himself and part of the council he will be supported also by the Vice President and I will also support both of them and many relevant ministers and government parastatals are part of the council.

“Furthermore, there is also the operational structure of the council in which all the relevant institutions have a role to play in providing the enabling environment for our startups to thrive, part and parcel of this operational structure.

“The bill also addresses the startup levelling process, where a startup is going to be labelled. And after that, there is eligibility for grant. If a startup is looking for a government grant, there is a process to follow, which is very easy, and at the end, the government will be able to provide the grant and also there is a process of issuance, this certificate of levelling for the start up.

“The bill also will establish the startup investment Seed Fund, where there is going to be a dedicated fund to be provided by the federal government for our young innovators all over the country to apply for the startup investment Seed Fund in order to begin their own process if they need that.”

The Communications Minister also disclosed that the council gave approval for the procurement of four lift passenger lifts by the Nigerian Communications Commission (NCC).

“The second one is for the procurement of Passenger Lifts by the Nigerian Communications Commission, for the headquarters office here in Maitama, Abuja.

“The federal executive council has approved the replacement of the four-passenger lives in the headquarters office looking at the dilapidated situation of them in order to make the environment more conducive for staff to work effectively,” he said.

Also speaking, the Special Adviser to the President on Media and Publicity, Femi Adesina revealed that N1.6 billion was approved for the construction of two bridges in Kano State.

“I will quickly brief us on two of the approvals granted to the Minister of Works and Housing. The First one is for a contract for the construction of two bridges in Nata’ala and Saburrawa, Kano South Senatorial District of Kano State, for the sum of N1,690,323,723.58 for the two bridges in Kano,” he said.

Another bridge in Jimeta, Adamawa State, was also approved for the sum of N2,573,716,116.

It was emphasised that bridges generally across the country would be assessed and attended to if there’s any bridge that needs attention.

“Ladies and gentlemen, today the Ministry of Power and the Ministry of Finance, Budget and National Planning, presented two joint memos regarding the Presidential Power Initiative.

“The first memo that we presented to council was seeking Council’s approval for the engagement of Africa Finance Corporation (AFC) as transaction advisors with third party consultants for the implementation of the Presidential Power Initiative (phase one). So, the AFC, the transaction advisors, their fee is $800,000 US dollars and the transaction period is 18 months and this includes their reimbursable expenses.

“The second component is the engagement of third party consultants and this includes local as well as international legal advisory firms, environmental and social impact assessment consultants, security consultants, insurance advisors, as well as tax and model auditor.

“These parties are collectively engaged in the sum of $1,116,312.45 US dollars. The objective of the PPI project is to modernize and upgrade power transmission and distribution infrastructure in Nigeria.”

The Minister highlighted that part of the money will be used for the procurement of mobile equipment for the transmission of power across the country.

“The second approval that we got from Council today is still relating to the PPI power project and the memo was seeking the approval of Council for the award of contracts for the procurement of mobile equipment for the transmission power component of the project. So, the procurement of 10 mobile equipment and 10 transformers was approved.

“The total cost of the procurement is in the sum of 62,949,447 euros with a delivery period of 12 to 18 months, depending on how we’re able to push because this equipment will be manufactured specifically for us. The focus is to be able to very quickly enhance the power availability and capacity in the country.

“With this particular approval, we’ll be able to expand from the current capacity of 5000 megawatts to 7000 megawatts,” she explained.

FEC  also approved the review and upgrade of salaries of police personnel by 20 per cent.

The Minister of Police Affairs, Maigari Dingyadi, said this on Wednesday after the Federal Executive Council meeting which was chaired by President Muhammadu Buhari, at the newly renovated council chambers.

According to the minister, the review exercise is expected to take effect from January 2022.

Dingyadi further stated that the review is in response to the demands made by EndSARS protesters in 2020, involving primarily improved welfare for police officers.

He said the take home pay will be enhanced through the duty tour allowance to 6 per cent of their new take home pay and an approval of N1.12 billion for payment of outstanding uninsured benefits for the period of 2013 to 2020.

President Buhari had promised that the salaries will be upgraded commensurate to service rendered to further maintain peace in the country.

FEC also approved the release of N13.1 billion for payment of outstanding death benefits of 5,472 personnel for the uninsured period of 2013 to August 2021.

In addition, the council approved a tax waiver in the sum of N18.6 billion for junior officers of the police to increase the take home pay effective from October 2021.

Minister of Finance Zainab Ahmed, however, disclosed that the new salary structure has not been provided for in the 2022 budget and her ministry will await the outcome of the verification of the various computations from the auditor-general.

According to her, the outcome will first require the executive to pass a supplementary budget to parliament.