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Home News General

‘Untrue and misleading’ Osun state government debunks receiving N48bn refund on roads

Freelanews by Freelanews
September 18, 2021
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The state government of Osun has denied receiving N48 billion from the federal government as a reimbursement for federal highways built within the state.

In a statement released on Saturday, the state’s commissioner of finance, Bola Oyebamiji, stated the entire contract value for federal highways in the state is N38 billion.

Following an allegation by Sikiru Ayedun, a former Commissioner for Home Affairs in Osun, that the state had received N48 billion from the federal government, the commissioner issued a statement.

The assertion, according to Mr Oyebamiji, is “untrue, deceptive, and capable of causing discord, friction, and ill blood among the progressive family.”

According to him, the federal government has returned N11.9 billion to the state in three tranches as of September 18, based on the project delivered by the contractors.

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In contrast to Mr Ayedun’s assertion that the return was utilized to pay full wages to state public workers, the commissioner stated that the money was spent on four road projects inherited from the previous government.

Mr. Oyebamiji encouraged Osun residents to verify any information before it is published or disseminated in order to maintain a peaceful and healthy political environment for all.

“As authorized by the Federal Ministry of Works, the total contract value of all federal road projects undertaken by the Osun State Government is N38 billion.

“It thus defies logic to say that the federal government would pay N48 billion for projects with a total contract value of N38 billion.
The federal government is not, as far as we know, a Santa Claus.

“The projects in question, as of November 2018, on the average, was less than 35% completion.”

The commissioner said 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.

“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.”

Mr Oyebamiji said 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 stretch road has been completed including the Gbongan Interchange and the project was at 29% completion.

He added that the contractor handling the Osogbo – Ila Odo road collected a total sum of N9.2bn, with a 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.”

Mr Oyebamiji maintained that the federal government’s N11.9 billion had been used in the construction of four roads inherited from the previous administration 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 the 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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Freelanews is the editorial byline of Freelanews.com, used for staff reports, news updates, press releases, and collaborative stories produced by the Freelanews Editorial Team.

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