FEDERAL MINISTRY OF POWER, WORKS & HOUSING

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27 March, 2018

PDP's Apology To Nigerians: Move To The Next Step, Return Looted Funds - FG

The Federal Government has asked the Peoples Democratic Party (PDP) to go the whole hog with its apology to Nigerians by returning all the funds looted from the public treasury under its watch during its 16 years in power.

In a statement issued in Abuja on Tuesday, the Minister of Information and Culture, Alhaji Lai Mohammed, also challenged the party to show the genuineness of its apology through a discernible change of.attitude.

''The PDP presided over an unprecedented looting of the public treasury, perhaps the worst of its kind in Nigeria or anywhere else in the world. Therefore, the best evidence of penitence for such a party is not just to own up and apologize, but to also return the looted funds. Anything short of that is mere deceit.

''Even with the paucity of funds, this Administration has spent anunprecedented amount of money on infrastructural development and Social Investment Programme, among others. Returning looted funds will provide more money for these programmes and make life more meaningful for Nigerians. There is no better apology than that,'' it said.

Alhaji Mohammed also reminded the PDP of the quote: ''If you find your self in a hole, stop digging,'' saying it applies to the PDP at this time.

''PDP, press the reset button. Stop sabotaging the work of this Administration, which is packing the mess you left behind, through your reckless statements and unfounded allegations. Play responsible opposition politics. Put Nigeria's interest over and above partisan interest. Temper your desperation to return to power. Spend quality time in the purgatory and you will be forgiven,'' he said.

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Stakeholders Laud FG For Improvements In Nation’s Road Sector * As Fashola presents Federal Highways (Control of Dimensions, Weights and Axle Load) Regulations 2018 * NURTW, NARTO, PTD, other transport unions applaud FG for the on-going rehabilitations and reconstruction of roads across the country, pledge support * The road sector in the country never had it as good as is being currently experienced despite the shortfall in the nations revenue generation NURTW National President * From 2015 to date, my administration has constructed several hundreds of kilometres of inter-state federal roads and bridges- Buhari Stakeholders in the nation’s road sector, Monday in Abuja lauded the improvements on the roads across the country, commending the Federal Government, the Minister of Power, Works and Housing, Mr. Babatunde Fashola SAN, and his team for the innovative approach to road management since the inception of the Buhari Administration. Speaking at a One-Day Public Enlightenment on the Developments in the Road Sector, the stakeholders, who included the National Association of Road Transport Owners (NARTO), the National Union of Road Transport Workers (NURTW), and Petroleum Tanker Drivers Association among other road users, noted that the Minister has done a lot to restore confidence of Nigerians on the nation’s road sector. In his goodwill message at the Nigerian Air Force Conference Centre venue of the event, President of the National Union of Road Transport Workers (NURTW), Alhaji Najimdeem Yasin, congratulated the Minister for his  efforts in executing the 2017 budgetary proposals as regards to the development of road network across the country. Represented at the occasion by Alhaji Nasiru, the NURTW President also expressed appreciation to the administration of President Muhammadu Buhari for the prudent management of the nation’s scarce resources noting that since the beginning of the present administration, the road sector in the country never had it as good as is being currently experienced despite the shortfall in the nation’s revenue generation. The NURTW boss, however, pointed out that as the efforts and actions of the government to improve the roads were being applauded, it was also necessary to direct its attention to a lot more of the roads that still needed urgent attention  urging the Minister to put in place a mechanism to institutionalize the culture of construction, rehabilitation and maintenance of Federal roads as well as putting necessary instruments that would guide against the abuse of the roads by the road users. Such mechanisms, the Union leader said, included weighbridges, transit parks and provision of other road furniture adding that as a transport workers’ union occupying the leadership of the International Transport Federation (ITF) and the Global Vice President, the leadership of the National Union of Road Transport Workers had taken the sensitization and training of its members very seriously as it could not afford to operate short of international standard. Disclosing that the NURTW, in collaboration with the Federal Road Safety Commission (FRSC) and Vehicle Inspection Officers (VIO) regularly organized series of enlightenment campaigns for the union members in order to encourage them to maintain good driving culture, the Union boss declared, “I want to assure you of our continuous support and loyalty to every initiative that will improve the safety and sustenance of roads in the Federation”. In his goodwill message on behalf of his association, the President of the National Association of Road Transport Owners (NARTO), Alhaji Kassim Bataiya, expressed appreciation to the Minister for matching his words with action recalling that on the first of February 2018, the Minister, at a meeting with the various transport unions in his office, did promise that he would convoke such an enlightenment Workshop. Represented by the Executive Secretary of the Union, Mr. Aloga I. Okpobo, the NARTO President, who was last week elected President of the African Road Transport Union in Marrakech, Morocco, commended the Minister for keeping his words applauding him for the on-going rehabilitations and reconstruction of roads across the country. Noting that the government was currently raising  funds from various sources to meet the required funding of roads in the country, the union President declared, “This has demonstrated that in a very short time  Nigerian roads will meet the expectations of Nigerians”. He also recalled that during the last meeting with the Minister, the unions made various recommendations including the issue of Axle Load, which, according to him, was on the front burner of the discussions adding that the recommendations which were both in the short, medium and long terms, included the banning of the importation of 60,000 litres capacity trucks into the country as they were negatively impacting the roads in the country. Alhaji Bataiya also recalled that the Unions recommended to the Minister that those constructing such trucks above 60,000 litres in the country should be warned to desist forthwith adding that the Unions also asked government to give a five year moratorium to enable owners of such vehicles to recoup their investment before the final phase out. Other recommendations, he said, include that the Federal Government should ban the use of steel trucks and replace them with aluminum trucks “because aluminum trucks are lighter in terms of weight capacity” and for the Government to continue the road rehabilitation and expansion it has earlier started as, adding that while the ban of the use of steel trucks would address the issue of axle load, the rehabilitation and expansion of roads would “go a long way in bringing relief to Nigerian roads”. Pledging the support of the association to the Federal Government “in all its efforts to put Nigerian roads on course”, the NARTO boss declared, “We are also here to say that we are totally in support of this workshop and to commend the Hon. Minister for putting the workshop together because in doing so he has matched his words with action”. In his own goodwill message, the National Chairman of the Petroleum Tankers Drivers Association, Mr. Salimon Akanni Oladiti, commended the Minister for “his courage” in organizing the Workshop pointing out that it is only when one is courageous and doing something right that such a person could invite the public to brief them of such action. Noting that the workshop would give participants a further insight into the developments in the road sector, the Chairman declared, “As major stakeholders in the Nigerian road sector, we have in recent times witnessed tremendous efforts on the part of the President of the Federal Republic of Nigeria and the Minister of Power, Works and Housing which has made us to believe that the dark and horrible days of bad roads will soon be over”. “It is also important to use this opportunity to commend the Federal Ministry of Power Works and Housing under the headship of Mr. Babatunde Fashola SAN, for the increased strides his Ministry has been making since he mounted the saddle as the Hon. Minister in his stride to improve the road network. His efforts to reactivate road signage for the safety of road users is unparalleled in the history of Nigerian roads”. Others who gave good will messages included the President Road Transport Employers Association of Nigeria,  High Chief Musa Shehu Isawere, represented by Comrade Henry Ejioffor, who also commended the Minister for the innovations he has introduced into the management of the nation’s road sector and the Minister of Labour and Employment, Senator Chris Ngige, who said in identifying with the convocation of the Workshop, he would be the ultimate beneficiary pointing out that the impressive turnout of the trade unions only signified the fact that they were in full support and in alignment with the Minister adding, “ It means less agitations and strikes”. In his Keynote address, President Muhammadu Buhari, who was represented at the occasion by the Secretary to the Government of the Federation, Mr. Boss Gida Mustapha, said the convocation of the Workshop was an indication of the important role that road transportation plays in the nation’s economic development adding that the critical place of road transportation in the country’s evolution and the national life had never been more alive than presently. “Presently the haulage of industrial goods, agricultural produce and industrial raw material, petroleum products, power plant components and other economic materials required in the manufacturing sector, are carried out using the road network”, the President noted adding that it was this realization that underscored the promise of change by the present administration in May 2015 with infrastructure as a priority. Pointing out that this has been fulfilled by the administration “by policy and action, President Buhari further declared, “It is on record that this administration has raised the budgetary allocation for Capital project from 15 per cent to a minimum of 30 per cent and committed to physical stimulus targeted at infrastructure”. “The result is the revival of construction activities and other projects nationwide. From 2015 to date, my administration has constructed several hundred kilometres of inter-state federal roads and bridges to ease the movement of persons, goods and services”, he said adding, however, that in order to take the full benefit of the projects, when finally completed and get value for the investment “we must change our ways and this government has signed on for that change”. Earlier in his welcome address, the Minister of Power, Works and Housing, Mr. Babatunde Fashola SAN, said the Workshop was meant to reflect and agree on the need for change about how Nigerians have used their Road infrastructure adding that the country’s Economic growth, National productivity and job opportunities would be impacted by the conclusions and resolutions of the meeting. Noting that there are now existing treaty obligations within the West African sub region and beyond that regulate the amount of load any goods vehicle can put on an axle and by extension on the road in order to do business within ECOWAS and beyond, Fashola said the only way to optimize the opportunities that lie in road networks like Trans-Saharan highway that connects Nigeria to Chad, Niger, Tunisia, Mali and Algeria; the Lagos- Abidjan Highway through Benin, Togo and Ghana, or the Enugu- Cameroon Highway through Abakaliki – Ogoja , Ikom and Mfum was to sensitize road transporters and imbibe the existing treaties. The Minister, who thanked the President for finally signing the instruments of ratification as soon as it was brought to his attention, after many years of delay prior to his tenure, added, “This meeting is critical to the achievement of our common goal for shared prosperity. Our compliance with these regulations will open a massive door of opportunity and prosperity of cross-border trade to Nigerians engaged in the transport business”. “This is why this meeting was convened; because when President Buhari once said that “we will change our habits and we will change Nigeria,” I believe this is one of the things he had in mind. While it is true that we could have done better by way of massive investment in our transport infrastructure during the windfall of income from oil, this Government is now rapidly and aggressively addressing road transport infrastructure repairs, rehabilitation and construction as many of you who travel regularly will attest”, he said. Fashola, who noted that there is no state in Nigeria today, where contractors would not be seen busy at work, added, “The crux of this meeting is to first acknowledge the President is only one man who cannot be everywhere, and secondly to recognize that we are the actors of the change that is required to take us to prosperity and thirdly to recognize that, the way we use the roads when finally completed will determine how long they last and whether they deliver prosperity or not”. In a Communiqué issued after the Workshop, participants expressed appreciation to the Federal Government for the on-going rehabilitation and reconstruction of roads across the country, affirming the need for enforcement of axle load limit to safeguard the nation’s road infrastructure while also emphasizing the reintroduction of toll gates on federal highways as a means to improve revenue generation for the maintenance of roads. Realizing the damaging effects of overloading on the nation’s road network, participants advocated that all Heavy Goods Vehicles (HGVs) owners and operators should abide by the the new Axle Load limit regime in Nigeria in line with the ECOWAS Supplementary Act/SP.17/02/12 relating to the harmonization of standards and procedures for the control of dimensions, weight and axle load of goods vehicles within the ECOWAS Member States. Other highpoints of the Communiqué are reaffirmation of need to operationalize the weighbridge stations on Federal roads to check overloading, recognizing the need for adherence by motorists to road signage for safety, need for all stakeholders to join hands to halt the abuse on Nigerian roads and agreement that tank farm owners and sea port operators should comply with the axle load limits by installing weighbridges at their depots/ports. Also present at the occasion were the Minister of Transportation, Right Hon. Chibuike Amaechi, represented by Dr. (Mrs.) Anthonia Ekpa, FCT Minister represented by the Executive Secretary FCDA, Engr U.G. Jibrin, Corps Marshal of the Federal Road Safety Commission (FRSC), Dr. Boboye Oyeyemi, among other dignitaries and stakeholders
20 March, 2018
FG Inaugurates Governing Council For Federal School Of Surveying The Minister of Power, Works and Housing, Babatunde Raji Fashola, SAN has urged the newly inaugurated Governing Council of the Federal School of Surveying, Oyo to be mindful of the purpose for which they were nominated and ‘be problem solvers, solution finders and peace builders” in the onerous task ahead of them. While inaugurating the Governing Council on Tuesday, March 13, 2018, Fashola explained that the Council will be responsible, as provided by the Act establishing the School, for the general management of its affairs, control of its properties and finances. He added that the purpose of the Schoo, is to “provide instructions, training and research in survey and related courses”. The Minister explained that the objective for which the School was established, which is to produce technical, professional and other skilled manpower necessary for surveying and  mapping, requires it to function properly in carrying out its mandate. He further added that part of the Ministry’s mandate to formulate and implement the policies of the Federal Government of Nigeria is to survey and map out both internal and international boundaries and this, he said would require appropriate contributions from skilled manpower, without which the task will be difficult to achieve. Fashola urged members of the Governing Council to always deal with the challenges of producing skilled manpower and professional surveyors. He reiterated President Buhari’s commitment to infrastructure development, citing the security challenges facing some schools as there would be need to plan how to rebuild, merge and protect such schools, especially those destroyed by the Boko Haram insurgency in the North East. He encouraged them to cultivate the spirit of team work, reflect transparency and accountability so as to properly represent the Federal Government. In his remarks at the occasion, the Honourable Minister of State II, Surv. Suleiman Hassan Zarma stated that as an Alumus of the School, its standards has drastically dropped, thereby charging the newly inaugurated members to do their utmost zest in restoring the past glory of the School. The Chairman of the Governing Council and Surveyor-General of the Federation, Surv. Ebisintei Awudu, in his acceptance speech, on behalf of other members, thanked Mr. President as well as the Ministers for the confidence repose in them, while promising that the Council will not disappoint the Ministry in carrying out its assignment. The Permanent Secretary of the Ministry, Mohammed Bukar, Directors of the Ministry and family members of the newly inaugurated Governing Council were in attendance at the occasion.
14 March, 2018
FG Creates Long Time Funding For Infrastructural Development- As Fashola Inspects Roads And Mass Housings Projects The Honourable Minister of Power, Works and Housing, Babatunde Raji Fashola, SAN, has said that the federal government is working hard to ensure the creation of infrastructural funding to finance roads, power and mass housing projects among others across the nation. According to him, ‘’funding of critical infrastructure will prevent the inherited and reoccurrence of abandon projects due to lack of budgetary provision’’. He added that departments of government agencies are already working closely to put in place, a structure for long time funding of federal projects. The Minister on arrival in Kano paid a courtesy visit to Governor Abdulahi Ganguje and commended the state government for its critical role in economic development of the country. He stated that the construction of the 360 kilometers Abuja-Kaduna-Zaira-Kano roads has been awarded to Julius Berger, adding that while the contract is been formalized, a routine maintance is been undertaking by the Metropolitan and Mothercat construction companies. In his remarks, the Deputy Governor of Kano, Prof. Adis Abubakar, on behalf of the governor, thanked the Minister for significant federal government ongoing projects in the state and expressed the readiness of the state government to continue to partner with the ministry. Fashola also paid a courtesy visit to the Emir of Kano, His Royal Highness, Mohammad Sanusi Lamido in his palace, stating his mission is to attend a Top Management Retreat organised by the ministry in Kano and that he has deemed it necessary to pay homage to him. He stated that on his way to the palace, he stopped over to inspect the Tamburawa Bridge project which has been damaged by artisanal and illegal sand mining activities and erosion. He enjoined the emir to appeal to the illegal miners to move farther away from the construction location to enable the contractor undertaking the repair works deliver appropriately on the project.    In his response, His Royal Highness, Mohammad Sanusi Lamido applauded the efforts of President Mohammadu Buhari for paying attention to critical infrastructural development projects across the country since assumption of office. He added that electricity and power generation has significantly increased, which has translated into the creation and revival of more industries in Kano and the country at large. According to him, ‘’Kano as a city and state, is experiencing about 16 to 18 hours uninterrupted power supply in the last one year or so’’. In a similar development, the Minister also inspected the National Housing Programme undergoing construction at Rigachchukwun, Kaduna North. He said that government is running a pilot scheme of housing prototypes to test the level of acceptability and affordability of Nigerians before embarking on a large scale construction of mass housing programme. The Minister added that the gains of the present administration is getting people to work and restoring their dignity. He cited the case of one of the labourer in Kaduna site called Ado, who has earned a living and even married a wife by productively engaged in the construction of the housing project some 8 months ago. ‘’We are starting an eco system of activities such as sand; paint, gravel and roofing sheet’’. According to him, ‘’if you imagine 10 of these sites in Kaduna and 10 in each state of the federation and thousand of Ado who can go to work every day, that is a victory to me and I can say to the government’’.
13 March, 2018
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PUBLIC ANNOUNCEMENT
8 March, 2018

Federal Ministry of Power, Works and Housing (Power Sector)

In conjunction with

Transmission Company of Nigeria (TCN)

General Procurement Notice

The Federal Government of Nigeria (FGN) intends to collaborate with licensed Distribution Companies and Eligible Customers to invest in the construction of new distribution lines and substations to expand the capacity of the distribution networks by an additional 2000MW. 

2.    The principal objective of the project is to deliver currently unutilized generation capacity to metered customers thereby strengthening the distribution networks and improving customer services, collection efficiency and financial viability of the Power Sector.

3.    The projects require procurement of the following components from Original Equipment Manufacturers (OEM):

* 33kV transmission substation busbar extensions;
* 2.5MVA, 33/11kV packaged substations;
* 2.5MVA, 33/0.415kV packaged substations;
* 1MVA, 33/0.415kV packaged substations;
* Modular 0.415/11/33kV steel towers;
* 150mm ACSR conductors; and
* 120mm 1-core armoured conductors.

4.     Detailed advertisement to guide interested bidders will be announced shortly in two (2) national newspapers and one (1) relevant internationally recognized publication, Federal Ministry of Power, Works and Housing (Power Sector) and Transmission Company of Nigeria (TCN) official websites and Federal Tenders Journal.

Signed
Permanent Secretary
Federal Ministry of Power, Works and Housing (Power Sector)

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OTHER NEWS
31 January, 2018

FG Moves To End Housing Deficit: Initiates Family Homes Fund Housing Project To Deliver Affordables Housing Accross The Nation

The Federal Government in a bid to finding lasting solutions to the huge national housing deficit in the country, the Economic Management Team of the Federal Government hasset up a Family Homes Fund Task Force to facilitate the implementation and delivery of the Family Homes Housing Project across the nation.

Speaking during the in augural meeting of the Land and Infrastructure and Off –take Sub – Committees for the project, the Chairman and Minister of State II for Power, Works and Housing, Surv. Suleiman Hassan, mnis, stated that the project is a new widow intended to deliver more affordable houses to Nigerians. He noted that the essence is to consistently deliver about 100 housing units annually and create more jobs to the teaming unemployed Nigerians.

The Minister added that the Land and Infrastructure sub-committee is to engage with relevant state governments and stakeholders on prime locations of land in the various states of the Federation. Also, the Offtake Sub - Committee is to determine a model for the participation of staff housing cooperatives, adding that this will be able to take care of retired civil servants, officers and personnel of the security forces.

The Minister enjoined members of the sub-committees to bring their wealth of experience to bear in order to actualize this laudable initiative of the Federal Government geared towards the delivery of affordable mass housing.

In her response, representative of the Head of the Civil Service of the Federation and Permanent Secretary, Service Welfare Office, Mrs Didi Walson-Jack stated that affordable and quality houses is a key issue that the government is pursuing, adding that members of the Offtake sub-committee will do the needful in meeting up with the task ahead.

Also speaking at the occasion, the Special Adviser to the President on Economic Matters, Dr. Adeyemi Dipeolu noted that one of the most important aims of the Family Home Project is to identify the financing requirements, draw up a sustainable financing of the models, structure of financing and buy-in of relevant Agencies including the Nigerian Mortgage Re-Financing Corporation for the continuity of the programme.

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Speeches
26 September, 2016

Keynote Address Presented At The 32nd Annual Conference And General Meeting Of The African Union For Housing Finance (AUHF)

Theme: Housing and Africa’s Growth Agenda at PDTF Centre, Central Business District, Abuja, 14th -16th September, 2016. By The Honourable Minister of Power, Works & Housing; Babatunde  Raji  Fashola, SAN.

Protocols

I am delighted to address you on the occasion of this 2016 Annual Conference and General Meeting of the African Union for Housing Finance (AUHF) holding in Abuja, Nigeria. The political will and momentum of the present administration in her housing sector agenda are further invigorated by this conference taking place few months after the June 2016 National Housing Summit. You will recall that the outcome of the recent National Housing Summit identified Housing Finance as one of the major pillars necessary for realizing Affordable housing delivery in Nigeria apart from others like Land, Concessions/incentives, Off-taker Strategy and General Skills Acquisition. It is indeed, heartwarming and reassuring to note that AUHF is an association of Mortgage Banks, Building Societies, Housing Corporations and other organizations involved in mobilizing funds for housing on the African continent. Also that the goals of AUHF includes promoting and facilitating housing finance and unlocking its multiplier effects on National economies, hence leading to Africa’s economic growth. I understand that the Conference attracts stakeholders from across the African Continent, all with the purpose of advancing investment in affordable housing.

2. Let me begin by thanking the Nigerian Mortgage Refinance Company (NMRC) and other partners for hosting this important conference. The hosting of AUHF 2016 conference in Nigeria could not have come at a more auspicious time than now that Nigeria needs aggressive unleashing of new housing finance investments and opportunities. I will also like to thank all the stakeholders and experts from Africa and around the world for coming together to proffer solutions to the age long challenge of providing housing finance for Africans, especially Nigerians that are facing harsh economic challenges.

3. Housing, we know is critical to every human development and fundamental right of every citizen. Therefore, Housing is central to this Administration’s policy thrust. However, housing a population of over 180 million is an arduous task that cannot be left for Federal Government alone, especially now that the Government’s revenue and the economy is  under pressure.  The fund to support the construction and mortgages for the end-users is a big challenge for the government. The production cost versus the selling price of the present housing stock is beyond the reach of majority of Nigerians.  Demand for affordable housing has grown over the years as a result of population explosion, rural-urban drift and search for higher quality of life. This demand has rapidly overwhelmed the supply capacity of existing Government resources. Many years of inadequate investment and poor maintenance culture have left Nigeria with a significant housing deficit which is slowing down the country’s development and economic growth and will clearly require close collaboration from stakeholders like the AUHF. The above demanding task is the mandate of my Ministry, Federal Ministry of Power, Works and Housing. Therefore, all stakeholders especially the Private sector and AUHF must play major role in this process of creating innovative housing finance in Nigeria.

4. Every Nigerian’s dream is to have a roof over their head! Hence, for an average Nigerian "owning a house" is a mark of economic success and security.  Housing is also believed to be a long term investment that protects that investment against high inflation and the unpredictable economic down turn. Therefore, provision of housing is a major tool to reduce corruption. Why is it so difficult for the average Nigerian to realize this dream? Lack of Housing Finance in the public and corporate institutions and double digit housing loans are the major culprits while others include land for housing, population explosion, high cost of building materials, inflation that brings about unemployment and decreased purchasing power of the low and medium income earners.

5. The major housing Finance trends and developments in the Nigerian market can be summarized by tracing the historical tendency of the influence of the financial sector in the housing industry. In 1956, a Secondary Mortgage Institution called Nigerian Building Society (NBS) assumed the role of the main conduit for housing finance delivery. NBS was a British and Nigeria partnership arrangement. Nigeria’s housing finance development can be classified under major political periods, namely pre-independence (1914-1960), post-independence (1960-1979) and a second and subsequent civilian administrations (1979 to date). However, the mortgage institutions decree No. 53 of 1989 led to the establishment of the following; Primary Mortgage Institutions (PMI) as mortgage savings for on-lending property development and mortgage creation. And, the Secondary mortgage institution, the Federal Mortgage Bank of Nigeria (FMBN), to function as the Apex mortgage institution for regulation.  While the National Housing Policy of 1991 was a bold step by the Federal Government of Nigeria to address the challenge of lack of finance for housing development and mortgage.  The National Housing Fund (Act. No. 3) of 1992 is a collating reservoir of long term funds in terms of monthly contributions from workers in the public and private sectors. Unfortunately, most Nigerians see mortgage loans from Government as part of their share of the "national cake" leading to high default rates. This has forced the Government to encourage prospective home owners to approach commercial banks who regrettably have high interest rates.  Thus, the Government who is supposed to be a major player in the provision of homes is now seemingly not on the frontline. The Government established the Nigerian Mortgage Refinancing Company (NMRC) to help in reducing the cost of mortgage loan by improving market efficiency.

6. From the inception of Government initiative in organized housing finance system to date, only a meager sum have so far been injected to the system. This accounts for less than 0.5% of the Gross Domestic Product (GDP) as compared to other climes (like United Kingdom, South Africa etc) due to the inability of financial systems in providing low cost finance that meets the need of low and medium income earners. Therefore, the Secondary Mortgage institution (FMBN) should be strengthened by ensuring full compliance with the National Housing Funds (NHF) Act by affected stakeholders, like the Central Bank, commercial banks, insurance companies, Mutual and Trust Fund administrators.  However, I am happy to note that with the greater participation of the private sector in housing and embracing the new initiatives of this Administration, the journey to sustainable housing delivery is on course.

7. Ladies and Gentlemen, it may interest you to note that the current Administration has taken cognizance of the housing sector as an important area requiring priority attention for reinvigoration and revitalization. This accounts for the appreciable budgetary allocation to the sector in the current annual estimate. This vision is increasingly being energized by the Federal Ministry of Power, Works and Housing. Only recently, the Ministry organized a National Housing Summit, where stakeholders met and examined the numerous constraints militating against the provision of affordable housing in Nigeria and proffered a clear, sustainable and strategic blueprint to mitigate same. Identified as a critical factor in the provision of affordable housing was lack of access to construction finance by developers including high risk in current mortgage finance structure which does not support the buying-off of houses to enable developers recoup their investments on time. The Summit resolved that there was need for necessary machinery to be put in place to promote appropriate construction finance schemes. AUHF members are hereby challenged in this regard. In the summit also, various definitions of affordable housing were adduced. However, the consensus from these definitions revealed that there is no one-size-fit all definition for Affordable Housing. The indices that should be used for defining Affordable Housing would include Segregation, Stratification, Classes of people and their income bracket, not more than one-third net household income of the target group and equity contribution of end-users.

8. I am happy to note that despite the challenges that housing delivery has encountered in the country over the years, the renewed vigor and policy re-orientation of this Administration have set the agenda for Housing revolution. In this regard, the Ministry has produced six (6) designs of one bedroom, two-bedroom, three-bedroom flats, bungalows and condominiums that will represent the Nigerian House which responds to our cultural diversity. Another key area of achievement is the pursuit and promotion of local content and standardization of building components such as doors, windows, tiles, roof boards and other accessories to be produced by local manufacturers as part of our support for local industries SMEs and in pursuit of diversification and job creation. Effort is already being made to embrace and deploy modern technology to mass production of housing in all the States of the Federation and FCT using the Traditional procurement platform and the Contractor Finance Initiative model, to reduce the housing deficit.

9. To make the Housing Sector attractive, viable and stimulate growth, the present Administration plans to de-risk lending to approved Housing Developers. This will entail the government providing guarantees and other credit enhancement to developers. Government therefore plans to issue promissory notes to reduce Developers financing requirements. Government recognizes that provision of leverage and guarantees are critical in attracting private sector funds into the industry thereby creating thousands of affordable houses each year as well as generate considerable employment and commercial activities. These are some of the far reaching contribution of the Finance Minister during the Housing Summit.

10. Ladies and Gentlemen, I wish to state here that much discussion has been held on the housing deficit. There is therefore need to change the story to begin to discuss the housing opportunities. Regardless of issues facing the sector, real estate projects are increasingly being launched and completed in Nigeria. With the present Administration’s many incentives, new investors are expected in the market to continue to deliver positive results.

11. It is on this note that I call on all stakeholders, especially members of the African Union for Housing Finance here present to join hands with the Federal Government towards the realization of its objectives in providing affordable housing to the people. As agent of change, members are enjoined to borrow a leaf from Nigeria and influence their respect home governments to domesticate or localize their housing options to reflect the peculiarities and expectations of the people as well as provide the private sector the needed impetus to invest in the sector.

12. Finally, I wish to state that though the challenges to the sector are real and obvious, we are convinced that with the renewed commitment of this Administration, coupled with strengthened collaborations with all stakeholders in the industry, the desired revolution in the housing sector will be achieved in not too distant future.

13. I wish you all very engaging and thoughtful deliberations and thank you for listening.

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Photo News
16 April, 2018

FASHOLA JAPANESE AMBASSADOR KUSAOKE AT THE COMMISSIONING OF 60MVAR CAPACITOR BANK IN ABUJA

Hon Minister of Power Works Housing Mr Babatunde Fashola SAN middle Managing DirectorCEO Transmission Company of NigeriaTCN MrUsman Gur Mohammedleft and Special Guest of Honour Japanese Ambassador to Nigeria Mr Sadanobu Kusaokerightduring the commissioning of 60MVAR Capacitor Bank funded by Japanese International Cooperation Agency JICA at Apo 13233kV Transmission Substation Apo Abuja on Thursday 12 April 2018

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Power News
Photo News
10 April, 2018

FASHOLA IKPEAZU AT THE COMMISSIONING OF 40MVA MOBILE POWER TRANSFORMER AND THE 26TH POWER SECTOR OPERATORS MEETING IN UMUAHIA ABIA STATE

Hon Minister of Power Works Housing Mr Babatunde FasholaSAN2nd rightGovernor of Abia State Dr Okezie Ikpeazuright Traditional ruler of the host community Ohiya HRH Eze Uhuegbuleftand former Commissioner for Works Hon Emeka Nwachukwu2nd leftduring the commissioning of 40MVA 13233kv Mobile Power Transformer shortly before the 26th Meeting with Operators in the Power Sector hosted by the Transmission Company of NigeriaTCN at the Ohiya Transmission Substation Umuahia Abia State on Monday 9th April 2018

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