Osun did not receive N48b refund on roads – Osun Finance Commissioner

 Osun did not receive N48b refund on roads – Osun Finance Commissioner

Governor Adegboyega Oyetola

…Says total contract sum is N38b

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The government of Governor Adegboyega Oyetola has not received the sum of N48 billion from the Federal Government as a return on federal highways completed within the State, contrary to a claim made by a former Commissioner for Home Affairs in Osun, Mr. Sikiru Ayedun.

Bola Oyebamiji, the State Commissioner for Finance, clarified Ayedun’s allegation in a statement on Saturday, calling it “untrue, misleading, and capable of causing dissension, strife, and ill blood among the progressive family.”

He further stated that the overall contract payment is N38 billion, raising the question of how the FG would handle a return that was considerably in excess of the contract amount.
According to him, based on the project delivered by the contractors, the total reimbursement by the FG to the state as of today, in three tranches, stands at N11.9 billion.

In contrast to Mr. Ayedun’s allegation that the return was utilized to pay full salaries to state civil servants, the Commissioner stated that the money was spent on four road projects inherited from the previous administration.

To promote a peaceful and healthy political atmosphere for all, Oyebamiji advised well-meaning Osun citizens to verify all facts before publishing and disseminating it.

“The entire contract sum of all federal road projects undertaken by the Osun State Government, as approved by the Federal Ministry of Works, is N38 billion,” he explained. As a result, claiming that the FG will pay N48 billion for projects with a total contract value of N38 billion defies logic. The federal government is not Santa Claus, as far as we know.

“The projects in question, as of November 2018, on the average, was less than 35% completion. Available records show that the Osun State Government awarded the 29km Gbongan – Akoda dualization project in 2013 for N29bn while the 40km Osogbo – Ikirun – Ila Odo Kwara boundary was awarded for N17.5bn in the same year, making both projects amount to N46.5bn as proposed by Osun State Government.

“However, after due diligence and thorough assessment by the FG Public Procurement Agency, the contract sum was reviewed downward thus: Gbongan – Akoda road at N23bn, and Osogbo – Ila Odo road at N15bn respectively to carry the approved award contract sum of N38bn for all the ongoing FG roads under construction. This review was duly communicated to the Osun State Government.

“As of November 2018, the contractor handling Gbongan – Akoda road project had received a total sum of N10.2bn, out of which 3.5km of the 29km stretched road has been completed including the Gbongan Interchange and the project was at 29% completion, while the contractor handling the Osogbo – Ila Odo road collected a total sum of N9.2bn, with 49% completion rate.
“The implication is that the Osun State Government had paid both contractors the sum of N19.4bn as of November 2018. Similarly, the total refund by the FG to the state as of today, in three tranches, stood at N11.9bn based on the project delivered by both contractors.

“It is imperative to state that the FG refund of N11.9bn has been judiciously utilized and plowed back into four (4) inherited road projects embarked upon by the previous administration contrary to the unsubstantiated claims by Mr. Ayedun that the refund is being used to pay full salaries to civil servants in the state.

“As of today, Gbongan – Akoda road project is at 36% completion stage, with 8.6km asphalted on both sides of the road. Also, the Osogbo – Ila-Odo project which was 49% in November 2018 is now at 55% completion. Oba Adesoji Aderemi road which was equally inherited at 65% completion is at 74% now and Ilesa – Iperindo – Ipetu Ijesa road project rose from 40% to 66% completion stage.

“It is also instructive to note that since the advent of Oyetola administration, an additional 60km of the road had been reconstructed and fully completed, with another 10 township roads presently under construction. These are expected to be completed before the end of 2021, including the Iconic Olaiya flyover.”

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