The massive ongoing road projects in two years have been attributed to Nigeria’s savings from fuel subsidy removal by
President Bola Tinubu.
The Tinubu Media Support Group (TMSG) said
President Tinubu administration has invested the majority of the funds in infrastructure development, mostly roads.
This, according to TMSG, is a fulfilment of the President’s assurances in the aftermath of his bold step upon assuming office in May 2023.
In a statement signed by its Chairman Emeka Nwankpa and Secretary Dapo Okubanjo, TMSG noted that several roads are either being constructed or rehabilitated simultaneously across the country from the N5 trillion annual savings from fuel subsidy removal.
” It is on record that the Bola Tinubu administration inherited about 2,600 road projects with several of them at various stages of completion as a result of efforts of the past ex-President Muhammadu Buhari administration.
“We, however, know that funding has always been an issue, which is why Nigeria witnessed the advent of the Tax credit scheme, which allows corporations to fix or build roads instead of tax payment, as part of efforts to bridge the funding gap for infrastructure development and renewal.
“But with the removal of fuel subsidy which has freed up funds over N5 trillion annually that was hitherto used to import cheaper fuel, we dare say that the federal government now has more funds to channel into the over 2,000 road projects nationwide.
“For the avoidance of doubt, Nigeria spent an estimated $75 billion on fuel subsidy between 2005 and 2022. This means an average annual spending of $5 billion, which is more than the yearly expenditure in several sectors combined.
“But with the removal of subsidy on petroleum, the pump price of fuel moved from N200 a litre to N1000 to the chagrin of many Nigerians. Conversely, the federal government as well as the sub nationals now
have more money at their disposal to spend on infrastructure and other programmes that could improve productivity.
“So not surprisingly, the Tinubu administration opted to invest a chunk of what could have gone into payment for fuel subsidy on road infrastructure to the extent of embarking on multiple construction and rehabilitation work, unlike the usual practice of a few projects at a time, which Nigerians were used to.
“In the last few months, the Tinubu administration has embarked on some ambitious, legacy road projects including
the Lagos–Calabar Coastal Highway, the Sokoto–Badagry Superhighway and the Abakaliki–Abuja Highway, while the Akwanga–Jos–Bauchi–Gombe Highway, and the Abuja–Kano Expressway, amongst others, are being upgraded.
“Similarly, there are at least 260 ongoing emergency repair interventions with 162 situated in the North and 98 in the South.
“And as for those who claim that projects are skewed against one region of the country, a fact sheet from the works ministry shows that out of the 2,735 kilometres covered under the Renewed Hope Legacy Projects, 1,414 km (52%) are in the North, while 1,321 km (48%) are in the South
“We are also aware that in a few days, some of the roads undergoing emergency repairs are expected to be commissioned in commemoration of President Tinubu’s second year in office.”
TMSG also expressed hope that by the time the President marks his third anniversary, several sections of the legacy roads would have been completed and ready for use by Nigerians.
End
